logman
14 years ago
GeoResources and Resolute Energy Announce Project to Develop Bakken Oil Properties in Williams County, North Dakota
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GEOI 13.92 +0.10
Chart for GeoResources, Inc.
{"s" : "geoi,ren","k" : "c10,l10,p20,t10","o" : "","j" : ""}
Press Release Source: Resolute Energy Corporation & GeoResources, Inc. On Thursday March 4, 2010, 6:00 am EST
HOUSTON & DENVER--(BUSINESS WIRE)--GeoResources, Inc., (“GeoResources”) (NASDAQ:GEOI - News) and Resolute Energy Corporation (“Resolute”) (NYSE: REN - News) today announced a joint project to develop acreage in the Bakken Shale Trend of North Dakota, one of the fastest growing oil producing areas in the U.S.
GeoResources has acquired approximately 61,000 gross (42,000 net) leasehold acres in Williams County, North Dakota. Resolute has entered into agreements with GeoResources to acquire a 45% interest in the acreage and GeoResources will retain a 45% interest and operations. It is expected that a third industry partner will participate for the remaining 10%. The parties presently plan to drill at least three horizontal wells in the Middle Bakken formation prior to year end, as well as seek to acquire additional acreage in the area. Recent activity in Williams County has confirmed commercial production in the Middle Bakken formation, which is a primary objective for the joint venture. Secondary objectives include the Three Forks, Madison and the Red River formations.
Frank A. Lodzinski, Chief Executive Officer and President of GeoResources commented, “We are very pleased to announce this joint venture with Resolute. We believe it will provide a meaningful addition to our ongoing Bakken and Three Forks projects, with attractive economic returns that continue to improve with the evolution of enhanced horizontal drilling and multiple-staged stimulation technologies. As demonstrated by our other drilling activities, we are confident that we can exploit our horizontal drilling and completion abilities in the Bakken In addition, the GeoResources and Resolute technical teams firmly believe the acreage position is prospective for drilling opportunities in other formations. We are very excited to work with Resolute, which has a highly experienced management and technical team and an impressive history of exploiting and developing oil and gas properties.”
Lodzinski continued, “We expect this project to contribute to GeoResources’ continued growth and to provide additional visibility and interest. In less than three years we have tripled our production and reserves and consistently expanded our acreage positions and drilling inventory.”
Nicholas J. Sutton, Chairman and CEO of Resolute commented, “This is a significant opportunity to advance our liquids-focused strategy in an area that has a great deal of promise. These high quality assets in North Dakota are oily, large, and are highly prospective. While the Bakken Shale has been well known by oil companies for years, technological improvements have only recently unleashed its potential. With this transaction, we are well placed to take full advantage of what we believe is a meaningful opportunity to continue to add to our oil reserves in a relatively low-risk manner. We are looking forward to working with the GeoResources team, and believe that collectively we have the experience, technology and know-how to develop these assets into substantial production, both in the near-term and over the long run. As we communicated during our IPO last year, Resolute’s focus continues to be on domestic, onshore areas that are liquids-rich and that provide strong economic returns to our shareholders.”
About GeoResources, Inc.
GeoResources, Inc. is an independent oil and gas company engaged in the acquisition and development of oil and gas reserves through an active and diversified program which includes purchases of reserves, re-engineering, and development and exploration activities, currently focused in the Southwest, Gulf Coast, and the Williston Basin. For more information, visit our website at www.georesourcesinc.com.
About Resolute Energy Corporation
Resolute is an independent oil and gas company engaged in the acquisition, exploitation and development of oil and gas properties. The company operates producing properties in Utah, Wyoming and Oklahoma and owns exploration and development properties in Wyoming, North Dakota and Alabama. For more information, visit our website at www.resoluteenergy.com
GuruTrader
15 years ago
GeoResources, Inc. to Present at the C. K. Cooper and EQUITIES Magazine West Coast Energy Conference
Press Release
Source: GeoResources, Inc.
On Thursday September 17, 2009, 8:00 am EDT
Buzz up! 0 Print.Companies:GeoResources, Inc.
HOUSTON--(BUSINESS WIRE)--GeoResources, Inc., (NASDAQ:GEOI - News), announced that it will participate in the C. K. Cooper and EQUITIES Magazine West Coast Energy Conference being held today, September 17, 2009 at the Balboa Bay Club & Resort in Newport Beach, California.
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GEOI 11.48 0.00
{"s" : "geoi","k" : "c10,l10,p20,t10","o" : "","j" : ""} Robert J. Anderson, Vice President of Business Development, Acquisitions & Divestitures is scheduled to present at 10:30 a.m. and at 2:30 p.m. (Pacific). Mr. Anderson’s presentation and accompanying slides will be webcast and can be accessed on the conference website at http://www.equitiesmagazine.com/conference. The Company’s presentation materials will also be available on the Company’s website at www.georesourcesinc.com.
About GeoResources, Inc.
GeoResources, Inc. is an independent oil and gas company engaged in the acquisition and development of oil and gas reserves through an active and diversified program which includes purchases of reserves, re-engineering, and development and exploration activities, currently focused in the Southwest and Gulf Coast, Williston Basin and Rocky Mountains. For more information, visit our website at www.georesourcesinc.com.
Forward-Looking Statements Information herein contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, which can be identified by words such as "may," "will," "expect," "anticipate," "estimate" or "continue," or comparable words. All statements other than statements of historical facts that address activities that the Company expects or anticipates will or may occur in the future are forward-looking statements. Readers are encouraged to read the SEC reports of the Company, readers are encouraged to read our Annual Report on Form 10-K/A for the year ended December 31, 2008, and any and all other documents filed with the SEC regarding information about GeoResources for meaningful cautionary language in respect of the forward-looking statements herein. Interested persons are able to obtain free copies of filings containing information about GeoResources, without charge, at the SEC’s Internet site (http://www.sec.gov).
Contact:
GeoResources, Inc.Cathy Kruse, 701-572-2020 701-572-2020 ext. 113cathyk@geoi.net
GuruTrader
15 years ago
GeoResources, Inc. to Present at the Rodman & Renshaw Annual Global Investment Conference
Press Release
Source: GeoResources, Inc.
On Wednesday September 2, 2009, 9:00 am EDT
Buzz up! 0 Print
Companies:GeoResources, Inc.
HOUSTON--(BUSINESS WIRE)--GeoResources, Inc., (NASDAQ:GEOI - News), today announced that it will participate in the Rodman & Renshaw Annual Global Investment Conference being held September 9-11, 2009 at the New York Palace Hotel.
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GEOI 9.94 0.00
{"s" : "geoi","k" : "c10,l10,p20,t10","o" : "","j" : ""} Frank A. Lodzinski, President and Chief Executive Officer, is scheduled to present on Wednesday, September 9, 2009, at 10:50 a.m. (Eastern). Mr. Lodzinski’s presentation and accompanying slides will be webcast and can be accessed on the conference website at http://www.wsw.com/webcast/rrshq15/geoi. The Company’s presentation materials will also be available on the Company’s website at www.georesourcesinc.com.
About GeoResources, Inc.
GeoResources, Inc. is an independent oil and gas company engaged in the acquisition and development of oil and gas reserves through an active and diversified program which includes purchases of reserves, re-engineering, and development and exploration activities, currently focused in the Southwest and Gulf Coast, Williston Basin and Rocky Mountains. For more information, visit our website at www.georesourcesinc.com.
Forward-Looking Statements Information herein contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, which can be identified by words such as "may," "will," "expect," "anticipate," "estimate" or "continue," or comparable words. All statements other than statements of historical facts that address activities that the Company expects or anticipates will or may occur in the future are forward-looking statements. Readers are encouraged to read the SEC reports of the Company, readers are encouraged to read our Annual Report on Form 10-K/A for the year ended December 31, 2008, and any and all other documents filed with the SEC regarding information about GeoResources for meaningful cautionary language in respect of the forward-looking statements herein. Interested persons are able to obtain free copies of filings containing information about GeoResources, without charge, at the SEC’s Internet site (http://www.sec.gov).
Contact:
GeoResources, Inc.Cathy Kruse, 701-572-2020 ext 113cathyk@geoi.net
logman
15 years ago
GeoResources, Inc. Provides Operations Update
Wednesday February 4, 5:00 pm ET
Continues successful horizontal drilling in Texas and North Dakota; Intends to proceed with its capital budget as planned
HOUSTON--(BUSINESS WIRE)--GeoResources, Inc., (Nasdaq:GEOI - News), today provided an operations update. At present, the Company plans to continue its previously announced capital budget and expects to spend approximately $30-$32 million in 2009. Based on internal projections, hedges and Nymex prices, management believes the Company will be able to continue its capital budget out of discretionary cash flow.
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AUSTIN CHALK
GeoResources continues its successful exploitation of the Austin Chalk formation in Giddings Field, Grimes County, Texas. The Hurst Bay 1-H, which is its fifth dual lateral well, has been drilled and completed. The well was drilled to a vertical depth of over 14,500 feet, with an initial horizontal leg of 7,692 feet. The second horizontal leg was kicked off from a point approximately 1,000 feet into the first lateral and drilled 5,253 feet. The Company anticipates that the well will be on production by mid-February. The previously reported Bax 1-H dual lateral well had an initial production rate in excess of 21 MMCFPD commencing on November 20, 2008, and is currently producing approximately 13 MMCFPD with cumulative production of 1 BCF in the first 60 days. The Company has drilled 10 wells to date and achieved a 100% success rate. The drilling rig has moved to the Hoke Cole 1-H which is also a planned dual lateral. Even at present drilling costs and commodity prices, these wells are highly economical. The Company has recently leased 5,683 Federal acres bringing the total acreage in the project to more than 60,000 net acres for the Company and its affiliated partnership. The Company presently expects 15 additional drilling locations and intends to retain the current drilling rig and spud a new well approximately every 60-75 days. The Company will consider deploying a second rig as drilling costs decline. The Federal acreage is on trend with recent successful drilling and adjacent to numerous private fee tracts under lease by the Company, which simplifies prospect access. Accordingly, while drilling units will be subject to state and Federal approval, the Company believes that development will be able to proceed without inordinate delay. GeoResources is the operator of all of these wells and holds a direct 7.2% working interest. In addition, an affiliated partnership owns an 82.8% working interest. The Company holds a 2% general partner interest in the partnership, which interest increases significantly in accordance with economic performance parameters under the terms of the partnership agreement.
BAKKEN SHALE
The Company holds a 10-15% working interest in approximately 35,000 net acres in Mountrail County, North Dakota, through a joint venture. To date, 11 joint venture wells have been drilled by the operator. The joint venture remains active, has continued to acquire attractive acreage, and continuous drilling is presently anticipated throughout 2009. However, in the near term and until costs decline further, wells may include acreage where the joint venture has lower working interests in order to reduce near term capital expenditures. In response to current economics, the operator has curtailed some production and deferred completion of new wells until the spring. As reported by numerous operators, the general level of drilling activity in the Bakken Shale play in North Dakota has slowed due to reductions in commodity prices. The joint venture completed well costs to date have been approximately $5.0 million per well. We expect near term joint venture well costs to be approximately $4.5 million and to average under $4.0 million in four to six months. The Peacemaker 1-8H (3.9% WI) has been completed and started producing early October; however, production has been curtailed to 200 BOPD until prices recover. The Bandit 1-29H (7.4% WI) and the Nightcrawler 1-17H (4.7% WI) have both been drilled but are waiting on fracture stimulation. The joint venture has also drilled the Banshee 1-1H well (4.5% WI), which is in the heart of the play, and it is waiting on completion. The rig is now moving to the Jericho 1-5H well (2.8% WI), the Wombat 1-25H (WI TBD) and then the Raptor 1-6H (10% WI). The Company anticipates that the Raptor will finish in late April to early May.
OTHER NORTH DAKOTA ACTIVITY
As previously announced, the Company has unitized certain shallow oil fields in Bottineau County, North Dakota, for secondary water flood operations and is continuing these activities. A recent increase in the Starbuck Madison Unit production, which includes more than 6,000 net acres, is believed to be initial secondary recovery response. The Company has a 95.88% working interest and an 81.22% net revenue interest in this unit. Phase Two of the development plan was initiated in the fourth quarter and is substantially complete; the Company has temporarily postponed the installation of some flow lines due to extreme weather. Using its base case, management estimates 1.4 million Bbls recoverable with a development cost of approximately $4.00-$5.00 per barrel. Recoverable reserve estimates range from 1.0 million Bbls to 2.4 million Bbls. At Southwest Starbuck, we have completed Phase One of the water flood plan which included drilling one injection well and installing a water plant and flow lines. Initial water injection commenced mid January. The plant and flow lines will also serve the south end of the Starbuck Madison Unit. The initial flood design includes 560 gross acres with a 97.52% working interest and 75.42% net revenue interest. Management estimates that an incremental 170,000 Bbls are recoverable, net to the Company’s interest. Additionally, the Company has drilled and cored an evaluation well at its Northeast Landa Field to support its unitization plan. The Company’s present working interest is 92%. Pending unitization, Phase One flood installation is expected to begin in the third quarter. Even at reduced commodity prices, management believes that the economics of these secondary recovery projects remain attractive.
OKLAHOMA
The previously announced Oklahoma acquisition added numerous proved and potential drilling locations. The Company believes it can exploit exploration and development opportunities associated with the acreage and in acres close by. While lower gas prices have negatively impacted drilling economics, the Company is high-grading drilling locations and has scheduled drilling the first five wells. Additional drilling is expected to be scheduled, particularly as drilling costs decline. The Olson 1-21, a development well, is currently drilling in Roger Mills County to an estimated total depth of 13,800 feet, where the Company has a 26.67% working interest.
GULF COAST DRILLING
The Company is presently drilling or participating in the following wells in the Gulf Coast:
1. Romero #1, Vermillion Parish, Louisiana, 10.42% working interest, estimated total depth of 16,200 feet. This is a development well with exploratory objectives.
2. Conner Heirs #1, Jefferson Davis Parish, Louisiana, 12% working interest, estimated total depth of 15,750 feet. The well is a low risk exploratory test well with multiple objectives and offset production in an adjacent fault block.
3. Moore #1, LaFourche Parish, Louisiana, 6% working interest, estimated total depth of 11,200 feet. The well is an exploratory test with multiple objectives. A second shallow gas well, the Moore #2 with a total depth of 3,200 feet will spud immediately after drilling the initial well. The Company’s working interest in the shallow gas well is 17%. The Company expects to have a 17% working interest in all additional development wells, if any.
WEATHER RELATED ISSUES
Approximately 350-400 Bopd, net to the Company, was shut in as a result of hurricanes in the late summer. Production started to be phased back in late October, but has not reached prior levels and is still under the second quarter, 2008 by about 100 Bopd. Due to the low commodity prices, additional work will likely be further deferred in anticipation of declining construction and workover costs. The Company has incurred incremental operating and capital expenses as a result of the hurricanes. Estimated expenditures in the third and fourth quarters have totaled approximately $1.5 million and we believe a significant portion will be covered by insurance. Amounts cannot be determined with certainty at this time. In addition, due to the extreme cold temperatures and large amounts of snow in the Williston Basin, the Company has elected to defer repairing certain wells and facilities and have shut-in approximately 50 Bopd.
COMMENTS
Frank A. Lodzinski, Chief Executive Officer of GeoResources, said, “We are pleased that our drilling and development programs continue to deliver positive results and that we have been able to acquire additional acreage at attractive prices. In spite of the rapid and steep decline in commodity prices, we have not yet reduced our planned capital budget and believe, predicated on the current Nymex strip and our hedge positions, that with reasonable success we can continue with our 2009 planned budget totaling approximately $30–$32 million. We expect to continue to develop our assets and selectively expand our acreage and prospect inventory, both for our direct interests and our partnership interests. A large portion of our inventory is “held by production” and accordingly, certain projects which are impacted adversely by local markets can be deferred in favor of other projects with more favorable near term economics. We believe we can remain cash flow positive and fulfill all known obligations.”
Mr. Lodzinski further stated, “Our approach and business strategy allows us to meet the challenges of the financial markets and price volatility. While we have continued our capital spending, we anxiously await reduced drilling and service costs. We believe our business strategy and financial management will allow us to survive and prosper during the collapse of the financial markets and industry downturn. It is important for investors to note that, i) we have reduced our debt by $56 million in 2008 to $40 million, ii) we have considerable cash flow to support our staffing, obligations and capital expenditures, and iii) because many of our opportunities are “held by production,” we can shift our capital budget to projects with greater economics under current conditions. We believe our diversified approach contributes to our strength and staying power and will allow the Company to continue to grow profitably.”
About GeoResources, Inc.
GeoResources, Inc. is an independent oil and gas company engaged in the acquisition and development of oil and gas reserves through an active and diversified program which includes purchases of reserves, re-engineering, and development and exploration activities, currently focused in the Southwest, Gulf Coast and the Williston Basin. For more information, visit our website at www.georesourcesinc.com.
Forward-Looking Statements
Information herein contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, which can be identified by words such as "may," "will," "expect," "anticipate," "estimate" or "continue," or comparable words. All statements other than statements of historical facts that address activities that the Company expects or anticipates will or may occur in the future are forward-looking statements. Readers are encouraged to read the SEC reports of the Company, our Annual Report on Form 10-KSB/A for the year ended December 31, 2007, and any and all other documents filed with the SEC regarding information about GeoResources for meaningful cautionary language in respect of the forward-looking statements herein. Interested persons are able to obtain free copies of filings containing information about GeoResources, without charge, at the SEC’s Internet site (http://www.sec.gov).
Contact:
GeoResources, Inc.
Cathy Kruse, 701-572-2020 ext. 113
cathyk@geoi.net
Source: GeoResources, Inc.
logman
16 years ago
Democrats to let offshore drilling ban expire
By ANDREW TAYLOR – 5 hours ago
WASHINGTON (AP) — Democrats have decided to allow a quarter-century ban on drilling for oil off the Atlantic and Pacific coasts to expire next week, conceding defeat in a months-long battle with the White House and Republicans set off by $4 a gallon gasoline prices this summer.
House Appropriations Committee Chairman David Obey, D-Wis., told reporters Tuesday that a provision continuing the moratorium will be dropped this year from a stopgap spending bill to keep the government running after Congress recesses for the election.
Republicans have made lifting the ban a key campaign issue after gasoline prices spiked this summer and public opinion turned in favor of more drilling. President Bush lifted an executive ban on offshore drilling in July.
"If true, this capitulation by Democrats following months of Republican pressure is a big victory for Americans struggling with record gasoline prices," said House GOP leader John Boehner of Ohio.
Democrats had clung to the hope of only a partial repeal of the drilling moratorium, but the White House had promised a veto, Obey said.
The House is expected to act on the spending bill Wednesday. The Senate is likely to go along with the House.
"The White House has made it clear they will not accept anything with a drilling moratorium, and Democrats know we cannot afford to shut down the government over this," said Jim Manley, a spokesman for Senate Majority Leader Harry Reid. "We look forward to working with the next president to hammer out a final resolution of this issue."
While the House would lift the long-standing drilling moratoriums for both the Atlantic and Pacific coasts, a drilling ban in waters within 125 miles of Florida's western coast would remain in force under a law passed by Congress in 2006 that opened some new areas of the east-central Gulf to drilling.
Just last week, the House passed legislation to open waters off the Atlantic and Pacific coasts to oil and gas drilling but only 50 or more miles out to sea and only if a state agrees to energy development off its shore. It quickly became clear that measure would not get the 60 votes needed in the Senate.
Republicans called that effort a sham that would have left almost 90 percent of offshore reserves effectively off-limits.
The Interior Department estimates there are 18 billion barrels of recoverable oil beneath the Outer Continental Shelf, about half of it off California.
While the ban on energy development will be lifted if the Senate goes along with the House action, it doesn't mean any federal sale of oil and gas leases in the offshore waters — much less actual drilling — would be imminent.
The Interior Department's current five-year leasing plan includes potential leases off the Virginia coast but probably would not be pursued unless the state agrees to energy development. And the state is unlikely to do so without Congress agreeing to share federal royalties with the state.
The congressional battle over offshore drilling is far from over. Democrats are expected to press for broader energy legislation, probably next year, that would put limits on any drilling off most of the Atlantic and Pacific coasts. Republicans, meanwhile, are likely to fight any resumption of the drilling bans that have been in place since 1981.
John McCain, the Republican presidential nominee, has promised to make offshore oil drilling a priority if elected president. He has called for developing the oil and gas resources along all of Outer Continental Shelf and for the federal government to share royalties with states who go along with drilling.
Democratic presidential rival Barack Obama has said he would support limited drilling in certain areas — possibly the South Atlantic region — if it is part of a broader energy plan to shift the U.S. away from oil to alternative fuels and more energy efficiency.
The debate over offshore drilling is not expected to subside in the first months of the next presidency — no matter who sits in the White House.
Lifting the drilling ban gives considerable momentum to the underlying bill, which includes the Pentagon budget, $24 billion in aid for flood and hurricane victims and $25 billion in loans for Detroit automakers in addition to keeping the government open past the Oct. 1 start of the 2009 budget year.
But Democrats decided not to use the must-pass measure as a battering ram to carry an extension of unemployment benefits for the long-term jobless past White House veto promises, prompting grumbling among some lawmakers. Efforts to boost food stamps and give states billions of dollars to help with Medicaid bills also fell through.
But the measure would double, to $5.2 billion, funding for heating subsidies for the poor, Obey said.
The measure also would provide more than $600 billion to fund the 2009 budgets for the Pentagon, Homeland Security Department and the Veterans Affairs Department. Nine other spending bills for the 2009 budget year starting Oct. 1 remain unfinished.
Bush had threatened to veto bills that don't cut the number and cost of pet projects known as "earmarks" sought by lawmakers in half from current levels or cause agency operating budgets, taken together, to exceed his request. Obey said, however, the White House would reluctantly sign the measure.
Associated Press writer H. Josef Hebert contributed to this report.
logman
16 years ago
GeoResources, Inc. Provides Operations Update
Tuesday August 12, 8:30 am ET
Continues Successful Horizontal Drilling in Texas and North Dakota
HOUSTON--(BUSINESS WIRE)--GeoResources, Inc., (Nasdaq:GEOI - News), today provided an operations update. The Company has completed additional horizontal wells in Texas and North Dakota.
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DRILLING RESULTS
GeoResources continues its successful exploitation of the Austin Chalk formation in the Giddings Field, Grimes County, Texas with its completion of the Keisler #2-H horizontal dual lateral well for an initial production rate in excess of 20 MMCFPD. This is the third dual lateral and the ninth successful completion since closing the acquisition of the field in February of 2007. The Company has achieved a 100% success rate in drilling these Austin Chalk horizontal wells. Previously, the Company reported that the Jeff Haynie was completed for 17 MMCFPD. This well has reached the 1 Billion Cubic Feet of cumulative gas production in just 70 days, quicker than any other well the Company has drilled, and it is continuing to produce at over 10 MMCFPD. The significance of reaching this milestone in such a short time period is the quick payout of the drilling capital as well as an indication of the ultimate gas recovery from the well. Several wells in this area that have cumulative production of 1 BCF within the first four months are reasonably projected to have estimated ultimate reserves exceeding 5 BCF. The Company continues to pursue its development strategy and is currently drilling the Bax #1-H as a dual lateral well which is expected to be completed and placed on production during the third quarter.
The Company has acquired additional acreage in the Giddings Field area and is in the process of permitting more drilling locations. Based on continued technical evaluation, successful leasing and acceptable well performance, GeoResources expects to retain the current drilling rig and crew and spud a new well approximately every 60-75 days for the next three years. The Company is the operator of these wells and holds a direct 7.2% working interest. In addition, an affiliated partnership owns an 82.8% working interest. The Company holds a 2% general partner interest in the partnership, which increases significantly in accordance with economic performance parameters under the terms of the partnership agreement.
The Company’s Mountrail County, North Dakota drilling activity remains quite active with the Pathfinder #1-9H (5.1% Company Working Interest (“WI”)) now completed with an initial production rate of 1,463 BOEPD but limited to 600 BOPD by oil pipeline capacity issues. The Prowler #1-16H (6.1%WI) was fracture stimulated during late July and had an initial rate of 908 BOEPD. The Prospector #1-36H (5.1%) and the Payara #1-21H (6.0%WI) are both currently in process of completion. The Voyager #1-28H (8.9%WI) is expected to commence drilling within three weeks of moving off the completion of the Payara #1-16H. The second contracted rig is currently scheduled to commence drilling of the Goldeneye #1-2H (4.1% WI) in approximately two weeks with the Peacemaker #1-8H (3.8% WI), the Bandit #1-29H (10.0% WI) and the Nightcrawler #1-17H (4.5% WI) scheduled to follow. These and previously reported wells total nine gross wells and the Company presently has an additional eight wells scheduled. The program is continuing and numerous projected wells are in process of being planned and of being permitted.
The Company holds a 10–15% working interest in approximately 26,000 acres in Mountrail County, North Dakota and is participating in numerous Bakken Shale wells through a joint venture with Slawson Exploration. Continuous drilling with one drilling rig is expected throughout 2008 and 2009 and a second rig has been contracted and is scheduled to commence operations within the next two weeks. In addition, GeoResources presently has minor interests in twenty-four wells or locations that are producing, in various stages of drilling and completion or are scheduled. These small participations result in valuable engineering and geological data. As the Company concentrates on Slawson operated wells, it will evaluate all available technical information while attempting to increase its position in this expanding play.
OKLAHOMA ACQUISITION
The previously announced Oklahoma acquisition results in approximately 100 additional drilling locations with the vast majority being proved undeveloped locations. In addition, management believes that the acreage provides significant exploration and development opportunities directly associated with the acquired interests and in regional proximity thereto. GeoResources’ management and technical staff have significant prior experience in Oklahoma. The acquisition closed in June and the Company is presently organizing a drilling program which is expected to begin in the 4th quarter.
COMMENTS
Frank A. Lodzinski, Chief Executive Officer of GeoResources, said, “Our drilling and development program continues to deliver positive results. We expect to continue to develop our assets and expand our acreage and prospect inventory. We are pleased with our entry into Oklahoma, where we have considerable prior experience. That acquisition brings significant drilling opportunities and we believe we can expand in the areas. Over the next few months we expect to be revising our capital budget to incorporate our Oklahoma drilling and to reflect results of other projects currently under development. We believe our diversified approach will allow the Company to continue to grow profitably.”
About GeoResources, Inc.
GeoResources, Inc. is an independent oil and gas company engaged in the acquisition and development of oil and gas reserves through an active and diversified program which includes purchases of reserves, re-engineering, and development and exploration activities, currently focused in the Southwest and Gulf Coast, the Williston Basin and the Rocky Mountains. In April 2007, the Company completed the merger with Southern Bay Oil and Gas, L.P. and Chandler Energy, LLC. For more information, visit our website at www.georesourcesinc.com.
logman
16 years ago
Press Release Source: GeoResources, Inc.
GeoResources, Inc. Reports Second Quarter and Six-Months Financial Results
Monday August 11, 10:26 am ET
HOUSTON--(BUSINESS WIRE)--GeoResources, Inc., (NASDAQ:GEOI - News), today announced its financial results for the first six-months and the quarter ended June 30, 2008, compared to the results for the same periods in 2007.
For the three months ended June 30, 2008, the Company reported net income of $7.8 million, or $0.50 per share (diluted) compared to a net loss of $1.3 million or $0.09 per share in 2007. Total revenue increased 240% to $28.2 million in the second quarter of 2008 compared to $8.3 million the same quarter in 2007.
For the first half of 2008, net income was $12.0 million, or $0.80 per share, on revenue of $52.2 million versus a net loss of $463,000, or $0.05 per share on revenue of $12.4 in the first half of 2007.
Oil and natural gas production increased substantially in the second quarter. Natural gas production increased to 719 MMcf from 361 MMcf, an increase of 99%. Oil production for the second quarter increased to 186 MBbls from 82 MBbls in the prior year’s period, an increase of 127%.
For the six months ended June 30, 2008, natural gas sales totaled 1,528 MMcf or 177% greater than the 552 MMcf sold during the first half of 2007. Oil sales for the first half of 2008 increased 204% to 386 Mbbls from 127 Mbbls in the first half of 2007.
The average realized price of natural gas was $9.74 per Mcf for the second quarter of 2008, 41% more than the second quarter of 2007. The average realized price of oil for the second quarter of 2008 was $97.66 per barrel or 75% more than the second quarter in the prior year.
The average realized price of natural gas was $8.68 per Mcf for the first half of 2008 or 31% more than the first half of the prior year. The average realized price of oil was $89.01 per barrel or 63% more for the first half of 2008 than the first six months in the prior year.
Earnings before interest, income taxes, depreciation, depletion and amortization, and exploration expense (“EBITDAX”) increased 581% to approximately $17.7 million for the second quarter 2008 compared to $2.6 million in the second quarter 2007. EBITDAX for the first six-months of 2008 increased 552% to approximately $30.0 million compared to $4.6 million in prior year’s first half.
The following tables reconcile reported net income to EBITDAX for the periods indicated (in thousands):
Three Months Ended June 30,
2008 2007
Net income (loss) $ 7,790 $ (1,349 )
Add back:
Interest expense 1,314 199
Income tax 4,546 1,849
Depreciation, depletion and amortization 3,573 1,932
Exploration and impairments 502 -
EBITDAX (1) $ 17,725 $ 2,631
What we found at the end of our Rainbow.
Thanks Texas 2
xxxxtrader
17 years ago
Southern Bay, Chandler fold into GeoResources
Wednesday April 18, 2:12 pm ET
Southern Bay Oil & Gas LP and Chandler Energy LLC have officially been merged with GeoResources Inc., following shareholder approvals.
Williston, N.D.-based GeoResources, a natural resources company, remained the surviving entity, but the corporate headquarters will be relocated to Houston.
To merge the companies, Southern Bay made capital contributions of about $19.4 million.
Southern Bay partners received about 8.3 million shares of GeoResources' common stock, while Chandler members received 1.9 million shares. Certain working-interest owners in a Chandler-operated oil and gas project in eastern Colorado received 496,000 shares. Total outstanding common shares increased to about 14.6 million shares.
As part of the merger, GeoResources' common stock was approved for listing on the NASDAQ Global Market and trades under the symbol "GEOI." The GeoResources board was reconstituted to have total of seven directors comprised principally of parties appointed by Houston-based Southern Bay, an owner of oil and gas properties, and Denver-based exploration company Chandler Energy.
The executive officers are:
Frank Lodzinski, president and chief executive officer. He held the same role with Southern Bay.
Collis P. Chandler III, executive vice president and chief operating officer for the Northern region. Chandler headed up Chandler Energy.
Francis Mury, executive vice president and COO of the Southern region. Mury had the same role for Southern Bay.
Jeffrey Vickers, GeoResources' president, is now vice president, Williston Basin exploration and development of the new entity.
Robert Anderson, vice president of acquisitions and divestitures for Southern Bay, retains the same title and adds business development.
Howard Ehler of Southern Bay continues as vice president and chief financial officer for the new company.
Cathy Kruse, corporate secretary for GeoResources retains her title.
The new entity has assets in the Gulf Coast, Rocky Mountains and Williston Basin, with a current daily production of about 1,500 barrels of oil equivalent.
Published April 18, 2007 by the Houston Business Journal
energymanNJ
17 years ago
Nasdaq: GEOI>>GeoResources, Inc. Reports Results of Special Shareholders' Meeting
WILLISTON, N.D., April 2, 2007 /PRNewswire-FirstCall via COMTEX/ -- GeoResources, Inc., (), today announced that at a special meeting of shareholders on March 29, 2007 in Williston, North Dakota, the shareholders of the company approved the issuance of shares pursuant to the merger agreement with Southern Bay Oil & Gas, L.P. and Chandler Energy, LLC. However, the approval by two- thirds of GeoResources shareholders to increase the total authorized shares of stock to 100 million common shares and 20 million preferred shares from the 10 million common shares currently authorized was not obtained, which is one of the conditions to closing the merger agreement, as the Company does not have enough authorized but unissued shares to complete the approved transactions. The meeting was therefore adjourned until April 17, 2007 in order to solicit additional proxies on this proposal. The Company needs approximately 565,000 additional shares or 14.9% of its outstanding shares, to vote for the proposal in order for it to be adopted. Also receiving shareholder approval was the Company's Amended and Restated 2004 Employee Stock Incentive Plan.
(Logo: http://www.newscom.com/cgi-bin/prnh/20051114/CGM073LOGO )
About GeoResources, Inc.
GeoResources, Inc., a Williston, North Dakota-based natural resources company, is engaged primarily in oil and gas exploration and production and oil and gas drilling. For more information visit the company's website at www.geoi.net.
About Southern Bay Oil & Gas L.P.
Southern Bay Oil & Gas, L.P. is headquartered in Houston, Texas. Southern Bay and its subsidiaries own and operate producing oil and gas properties on the Texas and Louisiana Gulf Coast, and in the Permian Basin in Texas. Southern Bay and its affiliates also conduct oil and gas exploration operations in these geographic areas. For more information visit the company's website at www.southernbayenergy.com.
About Chandler Energy, LLC
Chandler Energy, LLC is a Denver, Colorado based oil and gas exploration and production company with operations in the Rocky Mountains and Michigan.
Forward-Looking Statements
Information herein contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, which can be identified by words such as "may," "will," "expect," "anticipate," "estimate" or "continue," or comparable words. GeoResources cannot make any assurances that the agreement referenced in this release will close. In addition, all statements other than statements of historical facts that address activities that the company expects or anticipates will or may occur in the future are forward-looking statements. Readers are encouraged to read the SEC reports of the Company, particularly its Form 10-KSB for the Fiscal Year Ended December 31, 2005, for meaningful cautionary language disclosure.
SOURCE GeoResources, Inc.
CONTACT: Cathy Kruse, of GeoResources, Inc., +1-701-572-2020, ext 113, cathyk@geoi.net
URL: http://www.georesources.net/
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