Austral Pacific Releases Q1 Results and Looks to the Future

About this update from Apex Resources Inc.

[{"type":"text","content":"\n\n\n\nWELLINGTON, New Zealand, May 14 /CNW/ -- Austral Pacific Energy Ltd.\n(TSX-V: APX; NZSX: APX; Amex: AEN) Chief executive, Thom Jewell, said the\ncompany recorded a loss of $6,567,884 for the quarter ended March 31, 2008.\nThe majority ($4.4mm) of this figure relates to non cash components associated\nprimarily with unrealised derivative losses and depletion. The underlying\nperformance of the company is strong.\n\n\nThe company has made significant gains over the period resulting in a\nreduction of its liability from $49mm to $32mm and managing its short term\nfinancial challenges by restructuring its loans and reduction of its long term\ndebt from $18 to $14.5mm with a further reduction to $11mm expected during the\nsecond quarter.\n\n\nThe company has also been successful in monetising one its non core\nprojects in Papua New Guinea at an opportune point in its value cycle. "We\nwill continue to high grade the portfolio of assets with disciplined capital\nspending, divestments and additions as warranted," said Jewell.\n\n\nThe Cheal field continues to pump cash into the organisation. The\nCompany's 69.5% of the Cheal field has produced 35,931 barrels of oil and\ngenerated net revenue of $2,817,267 during the quarter.\n\n\nJewell said, "the individual wells are performing as anticipated and I am\nconfident that we will be able to increase both the reserves and the total\nfield production with additional drilling. We are also pleased with the\nperformance of the A1 well which is the first producing well from the\nshallower Urenui sands overlying the entire Cheal field. Bringing this well on\nstream this quarter and will allow us to realise additional reserves and\nproduction for the field."\n\n\nTwo additional wells have been prepared and could spud before the end of\nthis month. While these wells are targeting incremental reserves, the\nfacilities are designed to allow successful exploration, appraisal or\ndevelopment wells to be converted to producing wells and put on stream\nrapidly. More than 10 additional drilling locations have been targeted to\nextend the play trend beyond the existing field but within the permit area\nover the next two years. These wells if successful may be produced through the\nworld class production facilities that are now in place and operating\nsmoothly.\n\n\n"We have...

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