-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, DmwV2AtnfFudukZWJnm4Ze6NxPUTJ8scA3+qDQA6tcaIYbcgwW1452tSRAX2sfn+ mNwgdrOPFgB2g/CId57ysA== 0000867665-02-000002.txt : 20020415 0000867665-02-000002.hdr.sgml : 20020415 ACCESSION NUMBER: 0000867665-02-000002 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 1 CONFORMED PERIOD OF REPORT: 20020327 ITEM INFORMATION: Other events FILED AS OF DATE: 20020327 FILER: COMPANY DATA: COMPANY CONFORMED NAME: ABRAXAS PETROLEUM CORP CENTRAL INDEX KEY: 0000867665 STANDARD INDUSTRIAL CLASSIFICATION: CRUDE PETROLEUM & NATURAL GAS [1311] IRS NUMBER: 742584033 STATE OF INCORPORATION: NV FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 001-16071 FILM NUMBER: 02588715 BUSINESS ADDRESS: STREET 1: 500 N LOOP 1604 E STE 100 CITY: SAN ANTONIO STATE: TX ZIP: 78232 BUSINESS PHONE: 2104904788 MAIL ADDRESS: STREET 1: 500 N LOOP 1604 EAST STE 100 CITY: SAN ANTONIO STATE: TX ZIP: 78232 8-K 1 releaseye2001.txt YEAR END EARNINGS RELEASE UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 F O R M 8-K CURRENT REPORT Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 Date of Report March 27, 2002 Abraxas Petroleum Corporation (Exact name of registrant as specified in its charter) Nevada (State of other jurisdiction of incorporation) 0-19118 74-2584033 (Commission File Number) (I.R.S. Employer Identification Number) 500 N. Loop 1604 East, Suite 100 San Antonio, Texas 78232 (Address of principal executive offices) Registrant's telephone number, including area code: 210-490-4788 Item 5.OTHER EVENTS See attached Press Release The following exhibits are filed as part of this report: NUMBER DOCUMENT 99.1 Press release dated March 22, 2002 SIGNATURES Pursuant to the requirement of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. ABRAXAS PETROLEUM CORPORATION By: ___________________________________ Chris Williford Executive Vice President, Chief Financial Officer and Treasurer Dated: March 27, 2002 EXHIBIT 99.1 NEWS RELEASE ABRAXAS ANNOUNCES 2001 FINANCIAL RESULTS AND YEAR-END RESERVES Year 2001 Results Include Increased Revenue and Operating Income and Reduced LOE and G&A Expenses Versus 2000 - Reserve Replacement was 146% with Drillbit Finding Cost of $1.24/Mcfe SAN ANTONIO, TX (March 27, 2002) - Abraxas Petroleum Corporation (AMEX:ABP) today reported revenue and operating income for the year-ended December 31, 2001 of $77.2 million and $19.2 million, respectively, compared to $76.6 million and $11.9 million in 2000. LOE and G&A expense were $18.6 million and $6.4 million respectively compared to $18.8 million and $6.5 million in 2000. For 2001, net income was a loss of $19.7 million after proved property impairment of $2.6 million or a loss of $.76 per share, compared to a gain of $8.4 million for 2000, which included a non-recurring cash gain of $34.0 million, or $0.37 per share based on primary shares outstanding. EBITDA for the year was $53.2 million compared to $82.0 million in 2000, with the lower 2001 amount primarily due to lower average commodity prices and asset sales. Cash flow before working capital changes for 2001 was $19.3 million, or $.74 per share, as compared to $55.6 million, or $2.43 per share, for 2000, which included the cash gain. Revenues in the fourth quarter of 2001 were $12.1 million compared to $27.2 million in 2000. Net earnings for the fourth quarter of 2001 were a loss of $12.8 million, which included the previously disclosed impairment charge, compared to $292,000 in 2000. EBITDA in the quarter was $4.8 million, compared to $18.9 million in 2000 primarily due to lower commodity prices and asset sales. Cash flow before working capital changes in year 2001 fourth quarter was ($2.1) million compared to $13.1 million posted in the same quarter of 2000. Capital expenditures for 2001 were $57 million of which $17 million was for land, seismic, and facilities. The Company drilled 20 wells (16 net) with a 95% success rate primarily in our core areas of Peace River Arch and Caroline in Canada and Texas. Total reserve additions were 32 Bcfe, net of revisions, resulting in a drillbit finding cost of $1.24. Total production for the year was approximately 22 Bcfe. The Company's estimated proved reserves at year-end 2001 were 230 Bcfe with an estimated future net cash flow, discounted at 10%, or PV10, of $210 million. Year-end realized prices utilized in this estimation included oil at $18.30 per barrel and natural gas at $2.31 per Mcf. If the Company had utilized this PV10 in determining any impairment to its oil and gas properties at year-end, a write down in its oil and gas property carrying value would have been recorded in the amount of $71.3 million. The Company elected to utilize prices being received on March 22, 2002 for determining its ultimate impairment and recorded a write down of $2.6 million, all related to its Canadian assets. These realized prices on March 22 were $24.21 per barrel of oil and $3.02 per Mcf of natural gas. The estimated PV10 of the Company's proven oil and gas properties, utilizing these higher prices was approximately $287 million. Key annual results are summarized below. (YTD Amounts)(In Thousands) 2001 2000 --------------------------- Revenues ..................................... $ 77,243 $ 76,600 Operating Income (Loss) ...................... $ 19,125 $ 11,943 Net Income (Loss) ............................ $ (19,718) $ 8,449 Earnings (Loss) Per Share .................... $ (.76) $ .37 Cash Flow (After Interest) ................... $ 19,323 $ 55,648 Cash Flow Per Share .......................... $ .74 $ 2.43 EBITDA ....................................... $ 53,195 $ 81,993 Consolidated PV-10 ........................... $ 209,666 $1,006,400 Average Oil Price (after hedge) .............. $ 24.63 $ 18.69 Average Gas Price (after hedge) .............. $ 3.20 $ 2.71 U. S. Reserves ............................... 134.9 Bcfe 151.4 Bcfe Canada Reserves .............................. 94.7 Bcfe 93.0 Bcfe Total Assets ................................. $ 303,713 $ 335,560 As a result of final 2001 financial results and current market conditions, Abraxas has updated its operating and financial guidance for year 2002 as follows: Full-Year Full-Year 2001 Actual 2002 Forecast ------------- ------------- Production: MBO .......................................... 0.45 0.266 MBNGL ........................................ 0.27 0.319 BCF .......................................... 17.5 20.0 BCFE ......................................... 21.9 23.5 Price Differentials (Pre Hedge): $ Per BO ..................................... 1.97 0.84 $ Per BNGL ................................... 5.09 4.59 $ Per MCF .................................... 0.49 0.47 Lifting Costs, $ Per MCFE ......................... 0.85 0.75 G&A, $ Per MCFE ................................... 0.29 0.28 Capital Expenditures ($ Millions) ................. 57.1 37.4 Above guidance assumes no property sales during 2002 Abraxas invites your participation in a conference call on Thursday, March 28th, at 1:30 pm CT to discuss the contents of this release and respond to questions. Please call 1-800-289-0437 between 1:20 and 1:30 pm CT, confirmation code 651785, if you would like to participate in the call. There will be a replay of the conference call available by calling 1-888-203-1112, confirmation code 651785, beginning approximately 3:30 pm CT Thursday, March 28th , through 5:00 pm CT Thursday, April 4th. Abraxas Petroleum Corporation is a San Antonio-based crude oil and natural gas exploitation and production company that also processes natural gas. The Company operates in Texas, Wyoming and western Canada. For additional information about the Company, please visit our web site, www.abraxaspetroleum.com for the most current and updated information. The web site is updated daily in order to comply with the SEC Regulation FD (Fair Disclosure). Safe Harbor for forward-looking statement: Statements in this release looking forward in time involve known and unknown risks and uncertainties, which may cause the Company's actual results in future periods to be materially different from any future performance suggested in this release. Such factors may include, but may not be necessarily limited to, changes in the prices received by the Company for crude oil and natural gas. In addition, the Company's future crude oil and natural gas production is highly dependent upon the Company's level of success in acquiring or finding additional reserves. Further, the Company operates in an industry sector where securities values are highly volatile and may be influenced by economic and other factors beyond the Company's control. In the context of forward-looking information provided for in this release, reference is made to the discussion of risk factors detailed in the Company's filing with the Securities and Exchange Commission during the past 12 months. FOR MORE INFORMATION CONTACT: Janice Herndon/Manager Corp. Communications Telephone 210-490-4788 jherndon@abraxaspetroleum.com www.abraxaspetroleum.com
Abraxas Petroleum Corporation and Subsidiaries Consolidated Statements of Operations Three Months Ended Twelve Months Ended (In thousands except per share data) December 31, December 31, ------------- ------------ ------------ ------------ 2001 2000 2001 2000 ------------- ------------ ------------ ------------ Revenue: Oil and gas production revenues $11,158 $26,501 $73,201 $72,973 Gas processing revenues 727 643 2,438 2,717 Rig revenues 149 121 756 505 Other 106 (46) 848 405 ------------- ------------ ------------ ------------ 12,140 27,219 77,243 76,600 Operating costs and expenses: Lease operating and production taxes 4,937 5,276 18,616 18,783 Depreciation, depletion, and amortization 7,334 9,645 32,484 35,857 Rig operations 154 129 702 717 Proved Property impairment 2,638 - 2,638 - Stock - based compensation - 634 (2,767) 2,767 General and administrative 1,179 2,131 6,445 6,533 ------------- ------------ ------------ ------------ 16,242 17,815 58,118 64,657 ------------- ------------ ------------ ------------ Operating income (loss) (4,102) 9,404 19,125 11,943 Other (income) expense: Interest income (4) (48) (78) (530) Amortization of deferred financing fees 953 568 2,268 2,091 Interest expense 7,823 7,769 31,523 31,140 Loss (gain) on sale of equity investment 845 - 845 (33,983) Other 191 173 207 1,563 ------------- ------------ ------------ ------------ 9,808 8,462 34,765 281 Income (loss) from operations before taxes and extraordinary gain (13,910) 942 (15,640) 11,662 Income tax expense (benefit) (1,060) (34) 2,402 3,705 Minority interest in income of consolidated foreign subsidiary - 684 1,676 1,281 ------------- ------------ ------------ ------------ Net income (loss) before extraordinary gain (12,850) 292 (19,718) 6,676 Extraordinary gain: Debt extinguishment - - - 1,773 ------------- ------------ ------------ ------------ Net income (loss) ($12,850) $292 ($19,718) $8,449 ============= ============ ============ ============ Earnings (loss) per common share: Net Income (loss) before extraordinary gain ($0.43) $0.01 ($0.76) $0.29 Extraordinary gain - - - 0.08 ------------- ------------ ------------ ------------ Net income (loss) per common share ($0.43) $0.01 ($0.76) $0.37 ============= ============ ============ ============ Earnings (loss) per common share assuming dilution: Net Income (loss) before extraordinary gain ($0.43) $0.01 ($0.76) $0.21 Extraordinary gain - - - 0.05 ------------- ------------ ------------ ------------ Net income (loss) per common share ($0.43) $0.01 ($0.76) $0.26 ============= ============ ============ ============
ABRAXAS PETROLEUM CORPORATION YEAR-END RESULTS Three Months Twelve Months (In thousands except per share data) Ended December 31, Ended December 31, 2001 2000 2001 2000 ---- ---- ---- ---- Operations Data: Revenues $12,140 $27,219 $77,243 $76,600 Cash Flow (Before Working Capital Changes) (2,141) 13,165 19,323 55,648 Net Income(Loss) (12,850) 292 (19,718) 8,449 Net Income(Loss) Per Share (.43) .01 (.76) .37 Weighted Ave. Shares Outstanding-Basic 30.0 22.6 25.8 22.6 Production: Crude Oil (BPD) 877 1,766 1,244 1,740 NGL (BPD) 820 776 762 860 Natural Gas (MCFPD) 44,297 50,543 47,933 54,542 MMCFEPD 54.5 65.8 60.0 70.1 Prices (net of hedge losses): Crude Oil ($/BBL) $18.72 $25.96 $24.63 $18.69 NGL's ($/BBL) 14.76 25.58 21.51 22.42 Natural Gas ($/MCF) 2.09 4.40 3.20 2.71 Price per MCFE 2.23 4.38 3.34 2.84 Expenses: Lease Operating ($/MCFE) $.99 $.87 $ .85 $.73 General & Administrative ($/MCFE)* .24 .35 .29 .27 Interest ($/MCFE) 1.56 1.28 1.44 1.19 D/D/A ($/MCFE) 1.46 1.59 1.48 1.40
*Amount does not include stock-based compensation.
Balance Sheet Data (In $000s) Year End Year End December 31, 2001 December 31, 2000 ------------------- ------------------ Cash $7,605 $2,004 Working Capital (Deficit) (4,994) (13,829) Plant/Property/Equipment, Net 281,894 304,784 Total Assets 303,713 335,560 Long-Term Debt 285,184 266,441 Shareholders Equity (Deficit) (28,490) (6,503) Common Shares Outstanding (Millions) 30.0 22.6
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