CALGARY, Aug. 29 /CNW/ - Mystique Energy, Inc. (MYS:TSX Venture) ("Mystique") today reported its financial and operational results for the three month and six month periods ended June 30, 2007.
Financial and operational results for the second quarter of 2007 include:
- Cash flow of $(1,431,530) compared to $316,926 for the second quarter
of 2006.
- Net loss of $1,464,104 compared to $129,976 for the second quarter of
2006.
- Production sales averaged 336 barrels of oil equivalent per day
("boepd")(x) compared to an average production rate of 232 boepd in
the first quarter of 2006.
- Accepted an offer to purchase the remainder of its oil and gas assets
and tax pools, effective 2007-06-01, for gross proceeds of
$19.2 million.
Other developments included:
- Obtained creditor protection under the Companies' Creditors
Arrangement Act (Canada) ("CCAA") pursuant to an Order from the
Alberta Court of Queen's Bench (the "Court") effective 2007-04-24.
Developments that occurred during the third quarter included:
- Closed the sale of the remainder of its oil and gas assets and tax
pools, effective 2007-06-01, for gross proceeds of $19.2 million.
- The initial Court order granting creditor protection under CCAA was
extended until 2007-10-15.
- Effective 2007-08-28, Mr. Nick Antonenko has been appointed a director
of Mystique. He has resigned his position as Vice President,
Production Operations.
Complete financial and operating results will be filed on SEDAR and made
available on Mystique's website, www.mystiqueenergy.ca, later today.
(x) Use of the term barrels of oil equivalent "boe" may be misleading,
particularly if used in isolation. A boe conversion ratio of
6 mcf: 1 bbl is based on an energy equivalency conversion method
primarily applicable at the burner tip and does not represent a
value equivalency at the wellhead.
The TSX Venture Exchange has not reviewed and does not accept
responsibility for the adequacy or accuracy of this release. This news
release may contain forward-looking information. Actual future results
may differ materially from those contemplated. The risks, uncertainties,
and other factors that could influence actual results are described in
documents filed with regulatory authorities.
BALANCE SHEETS
(Unaudited)
JUNE 30 DECEMBER 31
2007 2006
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ASSETS
Current
Accounts receivable $ 1,605,284 $ 1,873,645
Other tax receivable 165,032 165,032
Prepaid expenses and deposits 108,006 129,623
---------------------------
1,878,322 2,168,300
Restricted Cash - 110,540
Future Income Tax 1,231,583 2,297,130
Oil and Gas Properties (Note 2) 23,365,014 28,433,017
---------------------------
$ 26,474,919 $ 33,008,987
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LIABILITIES
Current
Accounts payable and accrued liabilities $ 11,612,629 $ 10,067,841
Bank indebtedness (Note 5) 9,558,986 13,444,168
---------------------------
21,171,615 23,512,009
Advances Payable - 59,354
Asset Retirement Obligation (Note 3) 519,805 678,975
---------------------------
21,691,420 24,240,338
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SHAREHOLDERS' EQUITY
Share Capital (Note 4) 16,547,706 18,844,836
Contributed Surplus 1,230,947 1,031,474
Deficit (12,995,154) (11,117,661)
---------------------------
4,783,499 8,758,649
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$ 24,474,919 $ 33,008,987
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Approved by the Directors:
"Victor Luhowy" "Brent Walter"
----------------- -----------------
Director Director
STATEMENTS OF OPERATIONS AND DEFICIT
(Unaudited)
THREE MONTHS ENDED SIX MONTHS ENDED
JUNE 30 JUNE 30
2007 2006 2007 2006
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Revenues
Oil and gas
revenue $ 1,395,224 $ 1,002,534 $ 3,288,610 $ 2,139,716
Royalties net
of ARTC (376,405) (187,982) (906,486) (398,212)
Other revenue 72,543 7,687 176,979 21,285
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1,091,362 822,239 2,559,103 1,762,789
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Expenses
Production 249,566 187,068 611,024 367,361
Transportation 18,245 20,268 39,503 47,383
General and
administration 2,041,642 193,917 2,390,536 296,249
Depletion,
depreciation
and accretion 778,178 546,319 1,990,906 1,187,883
Interest 213,439 104,060 436,737 132,400
Stock-based
compensation
(Note 4) 99,736 101,651 199,473 195,831
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3,400,806 1,153,283 5,668,179 2,227,107
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Income (Loss)
Before Income
Taxes (2,309,444) (331,044) (3,109,076) (464,318)
Income taxes
Future income
tax (845,340) (201,068) (1,231,583) (195,143)
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Net Income (Loss)
For The Period (1,464,104) (129,976) (1,877,493) (269,175)
Deficit, Beginning
of Period (11,531,050) (973,198) (11,117,661) (833,999)
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Deficit, End Of
Period $(12,995,154) $ (1,103,174) $(12,995,154) $ (1,103,174)
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Earnings Per Share
Basic $ ( 0.03) $ 0.00 $ (0.03) $ (0.01)
Diluted $ ( 0.03) $ 0.00 $ (0.03) $ (0.01)
Weighted Average
Number Of Shares
Basic 59,840,682 49,678,208 59,840,682 48,025,381
Diluted 59,840,682 50,076,636 59,840,682 49,184,489
STATEMENTS OF CASH FLOWS
(Unaudited)
THREE MONTHS ENDED SIX MONTHS ENDED
JUNE 30 JUNE 30
2007 2006 2007 2006
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Operating Activities
Net Income (loss)
for the period $ (1,464,104) $ (129,976) $ (1,877,493) $ (269,175)
Add: Items not
involving cash:
Future income
tax (845,340) (201,068) (1,231,583) (195,143)
Stock-based
compensation
expense 99,736 101,651 199,473 195,831
Depletion,
depreciation
and accretion 778,178 546,319 1,990,906 1,187,883
-------------------------------------------------------
(1,431,530) 316,926 (918,697) 919,396
Change in
non-cash
working capital
items:
Accounts
receivable 170,836 427,758 260,618 (2,205,262)
Accounts
payable and
accrued
liabilities 1,457,659 (3,109,802) 1,910,297 (225,040)
Other tax
receivable - (31,348) - (65,783)
Prepaid
expenses and
deposits (10,340) (33,321) 21,617 15,475
-------------------------------------------------------
186,625 (2,429,787) 1,273,835 (1,561,214)
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Financing Activities
Shares issued for
cash - (4,598) - 2,771,677
Bank indebtedness 221,897 6,827,001 (3,885,183) 7,559,361
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221,897 6,822,403 (3,885,183) 10,331,038
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Investing Activities
Oil and gas
property
acquisitions (496,764) (3,744,873) 2,917,928 (10,865,681)
Purchase of
capital assets - (3,531) - (13,711)
Net change in
non-cash working
capital balances 88,242 (644,212) (306,580) (1,257,301)
-------------------------------------------------------
(408,522) (4,392,616) 2,611,348 (12,136,693)
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Increase (Decrease)
In Cash - - - (3,366,869)
Cash, Beginning Of
Period - - - 3,366,869
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Cash, End of
Period $ - $ - $ - $ -
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Interest Paid $ 206,439 $ 52,263 $ 429,737 $ 52,263
%SEDAR: 00001147E