Business
AKITA Drilling Ltd. Announces Record Results
AKITA Drilling Ltd. Announces Record Results.
About this update from Akita Drilling Ltd. Class A
[{"type":"text","content":"\n\n\n\n\nCALGARY, July 27 /CNW/ - AKITA Drilling Ltd. announced second quarter\nearnings and funds flow today. AKITA Drilling Ltd.'s net earnings for the six\nmonths ended June 30, 2006 were $18,550,000 or $1.00 per share on revenue of\n$94,124,000. Comparative figures for 2005 were $12,580,000 or $0.68 per share\nof net earnings on revenue of $74,729,000. Funds flow from operations for the\nperiod was $25,277,000 compared to $19,515,000 in 2005.\nEarnings for the three months ended June 30, 2006 were $7,548,000 ($0.41\nper share) on revenue of $32,929,000 compared with $3,895,000 ($0.21 per\nshare) on revenue of $24,840,000 in 2005. Funds flow from operations for the\nquarter ended June 30, 2006 was $8,758,000 compared to $5,984,000 in the\ncorresponding quarter in 2005.\n\n>\n\nFederal, provincial and territorial government tax rate reductions that\nwill become effective over the next few years resulted in a $1,800,000\nreduction of future income taxes.\nAKITA currently has four rigs under construction, including one that is\nscheduled to commence operations during the third quarter of 2006.\nConstruction on the additional three rigs is proceeding on schedule, and such\nrigs are expected to be integrated into AKITA's fleet over the next six to\nnine months.\nDemand for rigs in most depth ranges has been reasonably strong, despite\nthe recent reduction in natural gas prices. Activity levels for deep capacity\nrigs, and to a lesser extent shallow capacity rigs, will likely soften if gas\nprices remain at current or lower levels for a prolonged period. In addition\nto finding ways to optimize rig utilization for its existing fleet, management\nis focused on seeking opportunities that meet AKITA's current strengths\nrelated to drilling in the North and in heavy oil regions in Alberta.\nFinancial results for the second quarter and on a year-to-date basis are\nas follows:\n\n\n>\n\n%SEDAR: 00002868E\n\n\n","length":13853,"tagName":"div"}]