Business
Compton Reports 2008 Year-End Results
CALGARY, March 24 /CNW/ - Compton Petroleum Corporation (TSX - CMT, NYSE - CMZ) reports its finan...
About this update from Cullinan Metals Corp
[{"type":"text","content":"\n\n\n\nCALGARY, March 24 /CNW/ - Compton Petroleum Corporation (TSX - CMT, NYSE\n- CMZ) reports its financial and operating results for the year and fourth\nquarter ended December 31, 2008.\n\n\nThe full text of Management's Discussion and Analysis ("MD&A") and the\nCompany's audited consolidated financial statements can be found on the\nCompany's website at www.comptonpetroleum.com and at www.sedar.com.\n\n\n2008 In Review\n\n\n2008 was a mixed year for Compton - one in which our challenges largely\novershadowed our achievements. The rapid deterioration of capital markets, the\nonset of a global recession and falling commodity prices have also had a major\nimpact on the Company, particularly in the fourth quarter.\n\n\nSummary of Results:\n\n- Generated funds flow from operations of $255.9 million, or $1.94 per\n diluted share.\n- Adjusted operational earnings for the year were $54.9 million.\n- Achieved annual average production of 28,658 boe/d.\n\nAchievements:\n\n- Realized $203 million on the sale of non-core properties and reduced\n bank debt by $109 million.\n- Successfully employed horizontal drilling using multi-stage fractured\n completions in the Hooker and Niton core areas during the year.\n- Drilled 256 wells with a 96% success rate on expenditures of\n $327 million, before acquisitions and divestures.\n- Increased proved developed producing reserves by approximately\n 6 MMBoe or 7.3% before production and property sales.\n- Added 14.6 MMBoe of proved reserves, or 1.4 times 2008 production,\n through discoveries, extensions and improved recoveries.\n\nChallenges:\n\n- As a result of rapidly deteriorating market conditions in the latter\n part of 2008, the corporate sale process undertaken pursuant to a\n review of strategic alternatives was terminated.\n- A 15% negative revision to estimated proved and probable reserves at\n December 31, 2007. The majority of these revisions resulted from\n actual well performance, in specific instances, being less than\n initially anticipated.\n- A net loss for the year of $43.0 million, largely resulting from one-\n time charges and an unrealized foreign exchange loss.\n\nFinancial Review\n\n-------------------------------------------------------------------------\n(000s, except\n per share Three Months Ended Dec. 31 Year Ended Dec. 31\n amounts) 2008 2007 % Change ...