Bengal Energy Ltd. press release
Avery Resources Announces Third-Quarter 2007 Financial and Operating Results
TSX - Toronto Stock Exchange · Canada
CALGARY, Feb. 11 /CNW/ - Avery Resources Inc. (TSX: ARY) ("Avery" or "the Company") today announced its financial and operating results for the fiscal third quarter ended December 31, 2007.
HIGHLIGHTS
Revenue in the quarter amounted to $956,000, a 30 percent increase over the prior quarter; Funds flow from operations increased in the third quarter 2007 to $165,000 over the second quarter 2007 when it was $79,000; Production decreased slightly overall mainly due to an adjustment at our Kaybob property; however, the Toparoa well in Australia saw a 36% jump in production during the quarter from approximately 58 bbl/d to 79 bbl/d; A ceiling test calculation performed at December 31, 2007 resulted in an impairment loss of $600,000 on Avery's Australian cost centre.
$000's except per share, volumes and Three Months Ended Nine Months Ended netback ---------------------------------------------------------- amounts 12/31/07 12/31/06 9/30/07 12/31/07 12/31/06 Revenue Natural gas $ 144 $ 164 $ 190 $ 585 $ 549 Natural gas liquids 104 39 95 283 156 Oil 708 1,618 447 1,447 1,618 Total 956 1,821 732 2,315 2,323 Royalties 111 107 105 299 248 % of revenue 11.6 5.9 14.3 12.9 10.7 Operating & transportation 142 394 147 393 510 Netback 703 1,319 480 1,623 1,580 Funds flow from operations: 165 (xx) 1,314 79 33 (xx) 2,014 Per share ($) (basic & diluted) (0.00) 0.02 (0.00) (0.00) 0.03 Net Earnings (loss): (1,702) (xx)(1,069) (553) (3,013) (xx)(1,233) Per share ($) (basic & diluted) (0.02) (0.02) (0.01) (0.04) (0.02) Capital expenditures $ (77) $ 1,790 $ 735 $ 1,008 $ 3,288 Volumes Natural gas (mcf/d) 244 250 382 332 322 Natural gas liquids (boe/d) 14 9 17 16 10 Oil (bbl/d) 79 256 58 59 86 Total (boe/d @ 6:1) 134 307 138 130 150 Netback ($/boe) Revenue $ 77.80 $ 64.56 $ 57.59 $ 64.59 $ 56.58 Royalties 9.05 3.81 8.24 8.34 6.04 Operating & transportation 11.51 14.02 11.56 10.96 12.44 Total $ 57.24 $ 46.73 $ 37.79 $ 45.29 $ 38.10 (xx) Prior period amounts include a $1.4 million mitigation payment for production delays at Toparoa No. 1 in Australia.
The full management's discussion and analysis as well as the financial statements and notes thereto are available on SEDAR at www.sedar.com.
David A. Little
Chief Executive Officer
February 11, 2008
About Avery
Avery Resources is an international junior oil and gas exploration company based in Calgary, Alberta that trades on the Toronto Stock Exchange under the symbol ARY. The Company is committed to growing shareholder value through international acquisitions and exploration. Avery's primary interest is in Australia, where it is building a significant presence through partnerships, drilling and acquisitions.
Forward-looking statements: Except for statements of historical fact, all statements in this press release, without limitation, regarding new projects, acquisitions, future plans and objectives are forward-looking statements which involve risks and uncertainties. There can be no assurance that such statements will prove to be accurate; actual results and future events could differ materially from those anticipated in such statements.
BOE conversion: In this news release, Avery applies the widely used conversion ratio of six thousand cubic feet ("Mcf") of natural gas to one barrel ("bbl") of oil. Boes may be misleading, particularly if used in isolation. A boe conversion ratio of 6 Mcf: 1 bbl is based upon an energy equivalency conversion method primarily applicable at the burner tip and does not represent a value equivalency at the wellhead.
%SEDAR: 00003559E