Business
Storm Cat Energy Corporation Announces Year-End 2006 Results
Storm Cat Energy Corporation Announces Year-End 2006 Results.
About this update from Sama Resources Inc.
[{"type":"text","content":"\n\n\n\n- Gas Production Increases 132%\n\n\n- Oil and Gas Sales Revenue Increases 124%\n\n\n- 100 Wells Drilled During 2006\n\n\nDENVER & CALGARY, ALBERTA, March 19 /CNW/ - Storm Cat Energy Corporation\n(AMEX: SCU; TSX: SME) today announced year-end 2006 financial and operating\nresults.\n\n\nFinancial Overview (all figures in U.S. Dollars)\n\n\nFor the year ended December 31, 2006 Storm Cat reported record oil and\ngas sales revenue of $9.4 million, a 124 percent increase over full-year 2005\nsales. Sales revenue is a function of sales volumes and average sales prices.\nSales volumes increased 132% between year-end 2005 and year-end 2006. The\nvolume increase resulted primarily from acquisitions and successful drilling\nover the past year that produced new sales volumes that offset the natural\ndecline in production from existing wells. The Company's average price for\nnatural gas decreased 3% to $5.88 per thousand cubic feet (Mcf) in 2006 from\n$6.08 per Mcf in 2005.\n\n\nThe Company reported a net loss of $6.9 million, or $0.10 per share, for\nthe full-year 2006, as compared to a net loss of $8.4 million, or $0.18 per\nshare, for the full-year 2005. The net loss for the year reflected a $1.9\nmillion impairment expense, incurred in the third quarter, related to the\nCompany's Moose Mountain Saskatchewan Project, and higher general and\nadministrative expenses, composed primarily of $2.8 million in non-cash\nemployee stock compensation expense, increased Sarbanes-Oxley and audit fees\nof $0.3 million, increased Director and Officer insurance of $0.2 million and\na one-time charge of $0.5 million related to the bank credit facility entered\ninto during the year. Net income for 2006 also reflected a tax benefit of $1.6\nmillion related the Canadian flow through shares.\n\n\nTotal assets increased 96% to $112.0 million in 2006 from $57.0 million\nin 2005. The book value of oil and gas properties increased 289% to $96.6\nmillion at year-end 2006 from $24.8 million at year-end 2005.\n\n\nWeighted average shares outstanding for year-end 2006 increased to 70.4\nmillion as compared to 47.3 million at year-end 2005. The increase in average\nshares outstanding is attributed to the private placement the Company\ncompleted in Canada using, in part, the flow-through share structure, as well\nas the exercise of outstanding warrants and...