GoldMining Inc. press release
Georox has released its unaudited financial and operational results for the three months ended June 30, 2014
TSX - Toronto Stock Exchange · Gold · Copper · Silver · Uranium · Canada
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CALGARY, Aug 26, 2014/CNW/ - Georox Resources Inc. ("Georox" or the "Corporation") (GXR:TSX-V; OF6A:FRA) Georox has released financial and operating results for the second quarter ended June 30, 2014.
Unaudited second-quarter financial results are as follows:
Revenues from oil and gas sales increased 292 per cent to $1,501,543for the three month period ended June 30, 2104from the comparative period $382,688in 2013.
EBITDA (earnings before interest, taxes, depreciation and amortization) increased to $1,272,679as compared with an adjusted EBITDA of $90,875for the comparative period of 2013. This represents an increase of 1300 percent in the second quarter.
Georox's oil and natural gas production increased by 236 per cent 16,861boes for the three-month period ended June 30, 2014from 7,140 boes for the comparative quarter in 2013. There was also an increase of 226 per cent from the first quarter to the second quarter of 2014.
Average net production volumes increased from 313 per cent to 250 boes per day for the three month period ended June 30, 2014from 80 boes per day for the comparative period in 2013.
Operating net back increased to $56on average for the three month period ended June 30, 2014up from $46for the comparative period in 2013.
The average oil price received was $89per boe during the three month period ended June 30, 2014from $76per boe in comparative period in 2013. For the first quarter the oil price received was $74per boe.
The Corporation has drawn an aggregate of $4,199,919from the total of $4,550,000available pursuant to its loan agreement with a bank as at June 30, 2014. As at August 26, 2014the loan is $3,600,000. The Corporation also owes $2,200,000on a second mezzanine loan.
| | | | Three months ended
June 30, 2014 | Three months ended
June 30, 2013 | | Six months ended
June 30, 2014 | Six months ended
June 30, 2013 | | | | | | | | | | | Revenue | | | | | | | | | Petroleum and natural gas | | | 1,501,543 | 382,688 | | 2,060,886 | 674,529 | | Royalties | | | (270,401) | (30,803) | | (284,822) | (66,038) | | | | $ | 1,231,142 | 351,885 | $ | 1,776,064 | 608,491 | | Expenses | | | | | | | | | Operating | | | 238,604 | 118,033 | | 418,801 | 215,323 | | Exploration | | | - | - | | - | 6,462 | | Depreciation, depletion and impairment | | | 545,414 | 94,505 | | 582,232 | 200,971 | | Stock-based compensation | | | 14,946 | - | | 14,946 | - | | General and administrative | | | 265,809 | 159,756 | | 409,137 | 274,884 | | | | | 1,064,773 | 372,294 | | 1,425,116 | 697,640 | | Operating income (loss) | | | 166,369 | (20,409) | | 350,948 | (89,149) | | Gain on sale of property and equipment | | | - | 49,299 | | - | 463,895 | | Gain on acquisition of property and equipment | | | 560,896 | - | | 560,896 | - | | Finance income (expense) | | | (78,555) | (615) | | (92,454) | (1,197) | | Net income for the year | | | 648,710 | 28,275 | | 819,390 | 373,549 | | | | | | | | | | | Other comprehensive income (loss) | | | | | | | | | Net change in fair value of available for sale financial assets | | | 2,500 | (32,520) | | - | (52,520) | | Othercomprehensive loss for the year | | | - | (32,520) | | - | (52,520) | | Total comprehensive income for the year | | $ | 651,210 | (4,245) | $ | 819,390 | 321,029 | | | | | | | | | | | Income from continuing operations per share | | | | | | | | | Basic and diluted | | $ | 0.02 | 0.00 | $ | 0.02 | 0.01 | | Net income per share | | | | | | | | | Basic and diluted | | $ | 0.02 | 0.00 | $ | 0.02 | 0.01 | | | | | | | | | |
The full Q2 Unaudited Financial Statements and Management Discussion and Analysis can be found in the Corporations filings at www.sedar.ca
Operations Update.
Georox is pleased to announce that the previously mentioned Silverdalevertical well B15-01-48-28W3 has been brought on production on July 15thand is currently producing at a stabilized rate of 19 m3/d of oil (120 bopd gross) of which Georox's Net share @ 8.458% is 1.6 m3/day or 10 bopd.
In Georox's Silverdalethe GP Hz Project in which Georox has an interest is a well is scheduled to be drilled in the 3rdquarter that is expected to an increase in operating cash flow through the handling of produced water through its own facilities.
At Georox's recently acquired Red Earthfield a Pressure build-up on one of its' prime workover candidates is currently taking place to assess the viability of fracing it to increase productivity.
About Georox
Georox is a Canadian natural resource company engaged in the acquisition, exploration and development of oil and gas properties in Western Canada.
FORWARD-LOOKING STATEMENTS
This news release contains forward-looking statements relating to the future operations of the Corporation and other statements that are not historical facts. Forward-looking statements are often identified by terms such as "will", "may", "should", "anticipate", "expects" and similar expressions. All statements other than statements of historical fact, included in this release, including, without limitation, statements regarding future plans and objectives of the Corporation, are forward looking statements that involve risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements.
Although Georox believes that the expectations and assumptions on which the forward-looking statements are based are reasonable, undue reliance should not be placed on the forward-looking statements because Georox can give no assurance that they will prove to be correct. Since forward-looking statements address future events and conditions, by their very nature they involve inherent risks and uncertainties. Actual results could differ materially from those currently anticipated due to a number of factors and risks.
The reader is cautioned that assumptions used in the preparation of any forward-looking information may prove to be incorrect. Events or circumstances may cause actual results to differ materially from those predicted, as a result of numerous known and unknown risks, uncertainties, and other factors, many of which are beyond the control of Georox. As a result, we cannot guarantee that any forward-looking statement will materialize and the reader is cautioned not to place undue reliance on any forward-looking information. Such information, although considered reasonable by management at the time of preparation, may prove to be incorrect and actual results may differ materially from those anticipated. Forward-looking statements contained in this news release are expressly qualified by this cautionary statement. The forward-looking statements contained in this news release are made as of the date of this news release, and Georox does not undertake any obligation to update publicly or to revise any of the included forward-looking statements, whether as a result of new information, future events or otherwise, except as expressly required by Canadian securities law.
Neither the TSXV nor its Regulation Services Provider (as that term is defined in the policies of the TSXV) accepts responsibility for the adequacy or accuracy of this release.
SOURCE Georox Resources Inc.
Burkhard Franz, President and Chief Executive Officer, Tel: (250) 712-2213, Fax: (250) 712-2215Copyright CNW Group 2014