-----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, NbbLo9maCLK8x7UkHlIVEqYS0T60MFxJ0ggAz/is0yPGUnWETXmB8TkUDp6zroZJ DsYfQTVSINH4VAYMuG7fOA== 0000867665-05-000070.txt : 20050914 0000867665-05-000070.hdr.sgml : 20050914 20050914103656 ACCESSION NUMBER: 0000867665-05-000070 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 20050914 ITEM INFORMATION: Regulation FD Disclosure ITEM INFORMATION: Financial Statements and Exhibits FILED AS OF DATE: 20050914 DATE AS OF CHANGE: 20050914 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: 051083641 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 slidepresentation8k09142005.txt UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 8-K CURRENT REPORT Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 September 14, 2005 Date of Report (Date of earliest event reported) ABRAXAS PETROLEUM CORPORATION (Exact name of registrant as specified in its charter) Nevada 0-19118 74-2584033 (State or other jurisdiction of (Commission (IRS Employer incorporation) File Number) Identification No.) 500 N. Loop 1604 East, Suite 100 San Antonio, Texas 78232 (210) 490-4788 (Address of principal executive offices and Registrant's telephone number, including area code) Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below): [ ] Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) [ ] Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) [ ] Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) [ ] Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) Item 7.01 Regulation FD Disclosure The information in this Report (including Exhibit 99.1) is furnished pursuant to Item 7.01 and shall not be deemed "filed" for purposes of Section 18 of the Securities Exchange Act of 1934, as amended, or otherwise subject to the liabilities of the Section. The information in this Report will not be deemed an admission as to the materiality of any information required to be disclosed solely to satisfy the requirements of Regulation FD. On September 14, 2005, the Company's CEO, Robert L.G. Watson., will make a presentation to multiple money managers in Texas. Attached as Exhibit 99.1 are materials that Mr. Watson will present. Item 9.01 Financial Statements and Exhibits (c) Exhibits 99.1 Slide presentation. SIGNATURES Pursuant to the requirements 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: /s/ Chris Williford ----------------------------------------- Chris Williford Executive Vice President, Chief Financial Officer and Treasurer Dated: September 14, 2005 EX-99 2 slideshow.txt Exhibit 99.1 Slide 1: Abraxas Petroleum Corporation September 14, 2005 The information presented herein may contain predictions, estimates and other forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Although the Company believes that its expectations are based on reasonable assumptions, it can give no assurance that its goals will be achieved. Important factors that could cause actual results to differ materially from those included in the forward-looking statements include the timing and extent of changes in commodity prices for oil and gas, the need to develop and replace reserves, environmental risks, competition, government regulation and the ability of the Company to meet its stated business goals. Picture: Collage of oil field pictures & outline of the U.S. Slide 2: Re-Emerging Growth Story Abraxas Petroleum Corporation o AMEX: ABP o Basic shares outstanding - 42.0 million o Average trading volume (3 mos.) - 350,000 shares per day o Share price appreciation (2005 to date) - 105% o Operations in Texas and Wyoming Natural gas o Approximately 80% Quality assets o High ownership interests o Operations o High producing rates per well o Large acreage positions o Substantial upside Slide 3: Refinanced 2004... 11 1/2% notes contained capital expenditure restrictions Refinanced debt in October of 2004: Sources: Uses: ---------------------------------------------------------------------- New $125 mm floating rate notes due 2009 11 1/2% notes due 2007 New $25 mm bridge loan Foothill credit facility New $35 mm term loan in Canada New $15 mm revolving credit facility (undrawn at closing) Bifurcated collateral base by country Slide 4: IPO 2005... Grey Wolf Exploration Inc. IPO o Closed: February 28, 2005 o $65 million in net proceeds repaid: o $35 million term loan o $25 million bridge loan o $3.10 per proved Mcfe o $20 million one-time gain o Reduced 32% debt with 17% proved reserves Simplified Capital Structure Focused Asset Base Slide 5: Goals 2005... Focus on Drill Bit Growth through Capital Development Program in Texas and Wyoming o $32 mm budget Continue to Maximize Shareholder Value Slide 6: Focus...Focus...Focus... Reserve Distribution of 93.7 Bcfe at 12/31/04 Map of the United States highlighting Wyoming and Texas Wyoming 0.8 Bcfe 1% West Texas 65.1 Bcfe 69% South Texas 27.8 Bcfe 30% Slide 7: U.S. Production... Production increasing after 6% decline in 2004 amid capital expenditure restrictions ($9.3 mm) Bar chart of U.S. production & capital expenditures by quarter Slide 8: West Texas... Map of Texas highlighting West Texas Working interest average of 74% in 166 wells Focus - continued development of deep Devonian / Montoya gas and overlying Cherry Canyon oil Over 200 potential drilling locations (33 PUD's) 2004 activity - Intensive engineering field studies in preparation for expanded budget 2005 plans - 8 wells & Hudgins Ranch Acquisition (Oates SW) (current: 1 completing and 1 re-entering) (completed: 4 wells - combined gross IP of 5.2 MMcfepd) Slide 9: Oates SW in West Texas... Map of acreage in Oates SW Field area marked with 3-D seismic, producing and potential well locations Surface / Executive Rights 50% Mineral Interest 25% Mineral Interest Oil & Gas Lease Devonian horizontal wells Initial Wolfcamp re-entry Initial Woodford re-entry Remaining re-entry candidates Inventory on 160-acre spacing Slide 10: South Texas... Map of Texas highlighting South Texas Working interest average of 93% in 45 wells Focus - continued development of deep horizontal Edwards gas 13 identified drilling locations (10 PUD's) 2004 activity - Preparation for expanded budget 2005 plans - 3 wells (combined gross IP of 8.5 MMcfepd) Multiple low-risk re-completion projects Slide 11: Wyoming... Map of Wyoming highlighting East Central Wyoming 100% working interest in 6 wells 51,000 net acres, long-term leases Focus - development of multiple oil horizons 18 identified drilling locations 2004 activity - 1 vertical well 2005 plans - 4 wells (1 drilling and 2 awaiting completion) Slide 12: Maximize Shareholder Value... Continue to improve balance sheet with target debt/total mkt. cap of 40% to 60% after Grey Wolf IPO @ 60% Maintain financial flexibility and liquidity Prioritize large opportunity set of over 230 potential drilling locations, 43 of which are PUD's Slide 13: 2002...2003...2004 Pro-Forma December 31, 2002 December 31, 2004 % Change Debt (mm) $300.4 $125.0 - 58% Proved Reserves (Bcfe) 166.5 93.7 - 44% Debt / Mcfe $1.80 $1.33 - 26% Bar chart of debt and reserves from 2002 - 2004 Slide 14: 2005 U.S. Guidance... Production: Full Year (Bcfe) 6.5 - 7.5 Exit Rate (MMcfe/d) 19 - 21 Price Differentials from NYMEX Gas ($/Mcf) 0.55 Oil ($/Bbl) 0.75 Production Taxes (% of revenue) 10% Direct Lease Operating Expenses ($/Mcfe) 1.10 G&A ($/Mcfe) 0.75 D/D/A ($/Mcfe) 1.25 Capital Expenditures($MM) 32.0 Hedge position: 9,500 - 10,000 Mcfe/d through March 2006 w $5.00 floor Slide 15: Summary... Niche exploitation and production company High quality assets with substantial upside 2005 goals: Grey Wolf Exploration Inc. IPO Capital Development Program in Texas and Wyoming Maximize Shareholder Value Slide 16: www.abraxaspetroleum.com Picture: Brooks Draw, Wyoming -----END PRIVACY-ENHANCED MESSAGE-----