|By PR Newswire||
|November 12, 2012 07:22 PM EST||
Drilling Results Set Stage for Production Growth
CALGARY, Nov. 12, 2012 /CNW/ - Bengal Energy Ltd. (TSX: BNG) ("Bengal" or the "Company") today announced its financial and operating results for the three and six months ended September 30, 2012. The Company focused on drilling during the quarter, spending $10 million to pursue its successful drilling program in Australia.
FISCAL Q2 2013 HIGHLIGHTS:
100% Drilling Success at Cuisinier: Since March 2012, Bengal has drilled four oil producers, resulting in a
drilling success rate of eight for eight in the Cooper Basin of
Australia. The Company is currently producing 325 barrels of oil per
day (bopd) (net to the Company) from two of the newly drilled wells,
under Extended Production Test, while certain regulatory and capacity
constraints limit full production from all the wells. The following
presents the current status of the Company's Cuisinier wells.
The Company is currently trucking its production to a nearby terminal. The operator of the field is progressing plans for facilities upgrades and pipeline connection to a large facility at an adjacent field that should handle production from all wells in the field. The operator is also applying for a Petroleum Lease ("PL") that will allow all the wells in the field to produce at their productive capacities. The Company expects regulatory approval and facilities upgrades to be completed in the quarter ending June 30, 2013.
(Net to Bengal)
|Cuisinier 1, 2 and 3||125 bopd (aggregate)||Shut-in, awaiting Petroleum Lease|
|Cuisinier 4||125 bopd||Shut-in, awaiting tie-in|
|Cuisinier 5 and 6||325 bopd (aggregate)||Production Test|
|Barta North and Cuisinier North 1||75 bopd (aggregate)||Shut-in awaiting tests and tie-in|
Cuisinier Reserves Increase Substantially: An independent reserves update of the quantity of oil reserve volumes
contained on Company lands within the boundaries of the Barta
sub-Block, of Authority to Prospect ("ATP") 752 onshore Australia in
the Cooper/Eromanga Basins in the State of Queensland effective
September 30, 2012, prepared by GLJ Petroleum Consultants Ltd.
recognized 717,000 proved barrels (an increase of 904%), 1,550,000
proved plus probable barrels (an increase of 269%) and 7,512,000 proved
plus probable plus possible barrels (an increase of 614%) to Bengal.
The net present values discounted at 10% amount to $16 million for
proved, $37 million for proved plus probable and $164 million for
proved plus probable plus possible.
Company's New Rig Drills First Well at Tookoonooka: The Company's recently purchased drilling rig, Bengal 1, has been fully
commissioned and, on October 5, 2012 commenced drilling of the first
well on the Company's 100% owned ATP 732P Permit ("Tookoonooka") in the
Cooper Basin. The first exploration well in the Company's Tookoonooka
drilling campaign, Caracal-1, has been cased as a potential oil
producer awaiting testing results.
- Bengal Reports Financial Results: The Company reported that revenues in the three and six months ended September 30, 2012 amounted to $437,000 and $935,000, respectively compared to $1,017,000 and $2,336,000 respectively in 2011. The lower revenues resulted from production reductions primarily related to expiration of Extended Production Tests for the Cuisinier 1, 2 and 3 wells; as mentioned earlier, the regulatory approvals (expected in the quarter ending June 30, 2013) will allow all the wells in the Cuisinier Field to produce at their productive capacities. The net loss for the three and six month periods amounted to ($845,000) or ($0.02) per share and ($1,056,000) or ($0.02) per share, respectively compared to ($4,247,000) or ($0.08) per share and ($5,308,000) or ($0.10) per share, respectively. The 2011 losses were impacted by an impairment loss related to the drilling of two dry holes in 2011 and 2008. The Company spent $10,299,000 in the three-month period ended September 30, 2012 and $17,625,000 in the six month period ended September 30, 2012 related to the drilling of four Cuisinier wells, the acquisition of the Rig, seismic acquisition in Australia and India and preparation for drilling the Caracal-1 well.
For more information on the Company's operational activities and permits, refer to Bengal's website at www.bengalenergy.ca.
Financial and Operating Summary
$000s except per share, volumes
and netback amounts
Three Months Ended
Six Months Ended
|Natural gas liquids||19||13||46||45||29||55|
|% of revenue||8.7||9.3||(7)||8.9||9.2||(3)|
|Operating & transportation||162||316||(49)||409||838||(51)|
|Cash from (used in) operations:||315||159||(98)||(444)||(1,212)||(63)|
|Per share ($) (basic & diluted)||0.01||0.00||-||(0.01)||(0.02)||(50)|
|Funds from (used in) operations:(2)||(471)||(430)||10||(533)||(423)||26|
|Per share ($) (basic & diluted)||(0.01)||(0.01)||-||(0.01)||(0.01)||−|
|Per share ($) (basic & diluted)||(0.02)||(0.08)||(75)||(0.02)||(0.10)||(80)|
|Natural gas (mcf/d)||159||196||(19)||192||221||(13)|
|Natural gas liquids (boe/d)||3||3||-||4||3||33|
|Total (boe/d @ 6 mcf:1 bbl)||65||130||(50)||77||140||(45)|
|Operating & transportation||27.40||26.78||2||29.32||32.70||(10)|
|(1)||Netback is a non-IFRS measure. Netback per boe is calculated by dividing the revenue and costs in total for the Company by the total production of the Company measured in boe.|
|(2)||Funds from operations is a non-IFRS measure. The comparable IFRS measure is cash from operations. A reconciliation of the two measures can be found in Bengal's management's discussion and analysis for the quarter ended September 30, 2012.|
Bengal offers an attractive portfolio of both lower-risk and high-impact drilling opportunities. Increasing production from new wells drilled at Cuisinier is expected to drive operating income and set the stage for future development. Potential near-term exploration drilling success on permit ATP 732P could create further momentum. The Company also offers long-term plays in India to potentially add value in 2013 and onward. The Company will continue to evaluate accretive production acquisition, exploration and corporate transaction opportunities within and around the Company's core areas.
Bengal has filed its consolidated financial statements and management's discussion and analysis for the quarter ended September 30, 2012 with Canadian securities regulators. The documents are available on SEDAR at www.sedar.com or by visiting Bengal's website at www.bengalenergy.ca.
Bengal Energy Ltd. is an international junior oil and gas exploration and production company with assets in Australia and India. The Company is committed to growing shareholder value through international exploration, production and acquisitions. Bengal trades on the TSX under the symbol BNG. Additional information is available at www.bengalenergy.ca.
This news release contains certain forward-looking statements or information ("forward-looking statements") as defined by applicable securities laws that involve substantial known and unknown risks and uncertainties, many of which are beyond Bengal's control. These statements relate to future events or our future performance. All statements other than statements of historical fact may be forward looking statements. The use of any of the words "plan", "expect", "prospective", "project", "intend", "believe", "should", "anticipate", "estimate", or other similar words or statements that certain events "may" or "will" occur are intended to identify forward-looking statements. The projections, estimates and beliefs contained in such forward-looking statements are based on management's estimates, opinions, and assumptions at the time the statements were made, including assumptions relating to: the impact of economic conditions in North America, Australia, India and globally; industry conditions; changes in laws and regulations including, without limitation, the adoption of new environmental laws and regulations and changes in how they are interpreted and enforced; increased competition; the availability of qualified operating or management personnel; fluctuations in commodity prices, foreign exchange or interest rates; stock market volatility and fluctuations in market valuations of companies with respect to announced transactions and the final valuations thereof; and the ability to obtain required approvals, extensions, permits and leases from regulatory authorities. We believe the expectations and assumptions reflected in those forward-looking statements are reasonable but, no assurances can be given that any of the events anticipated by the forward-looking statements will transpire or occur, or if any of them do so, what benefits that Bengal will derive from them. As such, undue reliance should not be placed on forward-looking statements. Forward-looking statements contained herein include, but are not limited to, statements regarding: facility upgrades and pipeline tie-ins and the impact thereof; the application for the PL, including the timing and impact thereof; the timing of receipt of regulatory approvals and the impact thereof; impact of Cuisinier production on operating income; impact of drilling success on the ATP 732P. The forward-looking statements contained herein are subject to numerous known and unknown risks and uncertainties that may cause Bengal's actual financial results, performance or achievement in future periods to differ materially from those expressed in, or implied by, these forward-looking statements, including, but not limited to, risks associated with: the failure to obtain required regulatory approvals or extensions, or leases; failure to secure required equipment and personnel; changes in general global economic conditions including, without limitations, the economic conditions in North America, Australia, India; increased competition; the availability of qualified operating or management personnel; fluctuations in commodity prices, foreign exchange or interest rates; changes in laws and regulations including, without limitation, the adoption of new environmental and tax laws and regulations and changes in how they are interpreted and enforced; the results of exploration and development drilling and related activities; imprecision of reserve and resource estimates; unexpected decline rates in wells; wells not performing as expected; the ability to access sufficient capital from internal and external sources; and stock market volatility. Readers are encouraged to review the material risks discussed in Bengal's Annual Information Form under the heading "Risk Factors" and in Bengal's annual MD&A under the heading "Risk Factors". The Company cautions that the foregoing list of assumptions, risks and uncertainties is not exhaustive. The forward-looking statements contained in this news release speak only as of the date hereof and Bengal does not assume any obligation to publicly update or revise them to reflect new events or circumstances, except as may be require pursuant to applicable securities laws.
Barrels of Oil Equivalent
When converting natural gas to equivalent barrels of oil, Bengal uses the widely recognized standard of 6 thousand cubic feet (mcf) to one barrel of oil (boe). However, a 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. Given that the value ratio based on the current price of crude oil as compared to natural gas is significantly different from the energy equivalency of 6:1, utilizing a conversion on a 6:1 basis may be misleading as an indication of value.
Within this release references are made to terms commonly used in the oil and gas industry. Funds from operations, funds from operations per share and netbacks do not have any standardized meaning under International Financial Reporting Standards (IFRS) and previous generally accepted accounting principles (GAAP) and are referred to as non-IFRS measures. Funds from operations per share is calculated based on the weighted average number of common shares outstanding consistent with the calculation of net income (loss) per share. Netbacks equal total revenue less royalties and operating and transportation expenses calculated on a boe basis. Management utilizes these measures to analyze operating performance. The Company's calculation of the non-IFRS measures included herein may differ from the calculation of similar measures by other issuers. Therefore, the Company's non-IFRS measures may not be comparable to other similar measures used by other issuers. Funds from operations is not intended to represent operating profit for the period nor should it be viewed as an alternative to operating profit, net income, cash flow from operations or other measures of financial performance calculated in accordance with IFRS. Non-IFRS measures should only be used in conjunction with the Company's annual audited and interim financial statements.
SOURCE Bengal Energy Ltd.
An IoT product’s log files speak volumes about what’s happening with your products in the field, pinpointing current and potential issues, and enabling you to predict failures and save millions of dollars in inventory. But until recently, no one knew how to listen. In his session at @ThingsExpo, Dan Gettens, Chief Research Officer at OnProcess, discussed recent research by Massachusetts Institute of Technology and OnProcess Technology, where MIT created a new, breakthrough analytics model for ...
Dec. 9, 2016 07:45 PM EST Reads: 674
IoT is rapidly changing the way enterprises are using data to improve business decision-making. In order to derive business value, organizations must unlock insights from the data gathered and then act on these. In their session at @ThingsExpo, Eric Hoffman, Vice President at EastBanc Technologies, and Peter Shashkin, Head of Development Department at EastBanc Technologies, discussed how one organization leveraged IoT, cloud technology and data analysis to improve customer experiences and effici...
Dec. 9, 2016 06:45 PM EST Reads: 5,131
Everyone knows that truly innovative companies learn as they go along, pushing boundaries in response to market changes and demands. What's more of a mystery is how to balance innovation on a fresh platform built from scratch with the legacy tech stack, product suite and customers that continue to serve as the business' foundation. In his General Session at 19th Cloud Expo, Michael Chambliss, Head of Engineering at ReadyTalk, discussed why and how ReadyTalk diverted from healthy revenue and mor...
Dec. 9, 2016 06:15 PM EST Reads: 1,760
The 20th International Cloud Expo has announced that its Call for Papers is open. Cloud Expo, to be held June 6-8, 2017, at the Javits Center in New York City, brings together Cloud Computing, Big Data, Internet of Things, DevOps, Containers, Microservices and WebRTC to one location. With cloud computing driving a higher percentage of enterprise IT budgets every year, it becomes increasingly important to plant your flag in this fast-expanding business opportunity. Submit your speaking proposal ...
Dec. 9, 2016 05:30 PM EST Reads: 2,363
In this strange new world where more and more power is drawn from business technology, companies are effectively straddling two paths on the road to innovation and transformation into digital enterprises. The first path is the heritage trail – with “legacy” technology forming the background. Here, extant technologies are transformed by core IT teams to provide more API-driven approaches. Legacy systems can restrict companies that are transitioning into digital enterprises. To truly become a lead...
Dec. 9, 2016 05:30 PM EST Reads: 460
The Internet of Things (IoT) promises to simplify and streamline our lives by automating routine tasks that distract us from our goals. This promise is based on the ubiquitous deployment of smart, connected devices that link everything from industrial control systems to automobiles to refrigerators. Unfortunately, comparatively few of the devices currently deployed have been developed with an eye toward security, and as the DDoS attacks of late October 2016 have demonstrated, this oversight can ...
Dec. 9, 2016 05:15 PM EST Reads: 1,460
You have great SaaS business app ideas. You want to turn your idea quickly into a functional and engaging proof of concept. You need to be able to modify it to meet customers' needs, and you need to deliver a complete and secure SaaS application. How could you achieve all the above and yet avoid unforeseen IT requirements that add unnecessary cost and complexity? You also want your app to be responsive in any device at any time. In his session at 19th Cloud Expo, Mark Allen, General Manager of...
Dec. 9, 2016 05:15 PM EST Reads: 1,883
Bert Loomis was a visionary. This general session will highlight how Bert Loomis and people like him inspire us to build great things with small inventions. In their general session at 19th Cloud Expo, Harold Hannon, Architect at IBM Bluemix, and Michael O'Neill, Strategic Business Development at Nvidia, discussed the accelerating pace of AI development and how IBM Cloud and NVIDIA are partnering to bring AI capabilities to "every day," on-demand. They also reviewed two "free infrastructure" pr...
Dec. 9, 2016 04:45 PM EST Reads: 1,292
As data explodes in quantity, importance and from new sources, the need for managing and protecting data residing across physical, virtual, and cloud environments grow with it. Managing data includes protecting it, indexing and classifying it for true, long-term management, compliance and E-Discovery. Commvault can ensure this with a single pane of glass solution – whether in a private cloud, a Service Provider delivered public cloud or a hybrid cloud environment – across the heterogeneous enter...
Dec. 9, 2016 04:45 PM EST Reads: 1,861
"Dice has been around for the last 20 years. We have been helping tech professionals find new jobs and career opportunities," explained Manish Dixit, VP of Product and Engineering at Dice, in this SYS-CON.tv interview at 19th Cloud Expo, held November 1-3, 2016, at the Santa Clara Convention Center in Santa Clara, CA.
Dec. 9, 2016 03:30 PM EST Reads: 1,234
Extracting business value from Internet of Things (IoT) data doesn’t happen overnight. There are several requirements that must be satisfied, including IoT device enablement, data analysis, real-time detection of complex events and automated orchestration of actions. Unfortunately, too many companies fall short in achieving their business goals by implementing incomplete solutions or not focusing on tangible use cases. In his general session at @ThingsExpo, Dave McCarthy, Director of Products...
Dec. 9, 2016 03:15 PM EST Reads: 982
"ReadyTalk is an audio and web video conferencing provider. We've really come to embrace WebRTC as the platform for our future of technology," explained Dan Cunningham, CTO of ReadyTalk, in this SYS-CON.tv interview at WebRTC Summit at 19th Cloud Expo, held November 1-3, 2016, at the Santa Clara Convention Center in Santa Clara, CA.
Dec. 9, 2016 03:15 PM EST Reads: 869
The many IoT deployments around the world are busy integrating smart devices and sensors into their enterprise IT infrastructures. Yet all of this technology – and there are an amazing number of choices – is of no use without the software to gather, communicate, and analyze the new data flows. Without software, there is no IT. In this power panel at @ThingsExpo, moderated by Conference Chair Roger Strukhoff, Dave McCarthy, Director of Products at Bsquare Corporation; Alan Williamson, Principal...
Dec. 9, 2016 02:45 PM EST Reads: 638
Businesses and business units of all sizes can benefit from cloud computing, but many don't want the cost, performance and security concerns of public cloud nor the complexity of building their own private clouds. Today, some cloud vendors are using artificial intelligence (AI) to simplify cloud deployment and management. In his session at 20th Cloud Expo, Ajay Gulati, Co-founder and CEO of ZeroStack, will discuss how AI can simplify cloud operations. He will cover the following topics: why clou...
Dec. 9, 2016 02:45 PM EST Reads: 1,043
Video experiences should be unique and exciting! But that doesn’t mean you need to patch all the pieces yourself. Users demand rich and engaging experiences and new ways to connect with you. But creating robust video applications at scale can be complicated, time-consuming and expensive. In his session at @ThingsExpo, Zohar Babin, Vice President of Platform, Ecosystem and Community at Kaltura, discussed how VPaaS enables you to move fast, creating scalable video experiences that reach your aud...
Dec. 9, 2016 02:42 PM EST Reads: 255
WebRTC is the future of browser-to-browser communications, and continues to make inroads into the traditional, difficult, plug-in web communications world. The 6th WebRTC Summit continues our tradition of delivering the latest and greatest presentations within the world of WebRTC. Topics include voice calling, video chat, P2P file sharing, and use cases that have already leveraged the power and convenience of WebRTC.
Dec. 9, 2016 02:15 PM EST Reads: 1,785
"At ROHA we develop an app called Catcha. It was developed after we spent a year meeting with, talking to, interacting with senior citizens watching them use their smartphones and talking to them about how they use their smartphones so we could get to know their smartphone behavior," explained Dave Woods, Chief Innovation Officer at ROHA, in this SYS-CON.tv interview at 19th Cloud Expo, held November 1-3, 2016, at the Santa Clara Convention Center in Santa Clara, CA.
Dec. 9, 2016 02:15 PM EST Reads: 822
20th Cloud Expo, taking place June 6-8, 2017, at the Javits Center in New York City, NY, will feature technical sessions from a rock star conference faculty and the leading industry players in the world. Cloud computing is now being embraced by a majority of enterprises of all sizes. Yesterday's debate about public vs. private has transformed into the reality of hybrid cloud: a recent survey shows that 74% of enterprises have a hybrid cloud strategy.
Dec. 9, 2016 11:45 AM EST Reads: 2,381
In his keynote at 18th Cloud Expo, Andrew Keys, Co-Founder of ConsenSys Enterprise, provided an overview of the evolution of the Internet and the Database and the future of their combination – the Blockchain. Andrew Keys is Co-Founder of ConsenSys Enterprise. He comes to ConsenSys Enterprise with capital markets, technology and entrepreneurial experience. Previously, he worked for UBS investment bank in equities analysis. Later, he was responsible for the creation and distribution of life sett...
Dec. 9, 2016 11:45 AM EST Reads: 7,384
DevOps is being widely accepted (if not fully adopted) as essential in enterprise IT. But as Enterprise DevOps gains maturity, expands scope, and increases velocity, the need for data-driven decisions across teams becomes more acute. DevOps teams in any modern business must wrangle the ‘digital exhaust’ from the delivery toolchain, "pervasive" and "cognitive" computing, APIs and services, mobile devices and applications, the Internet of Things, and now even blockchain. In this power panel at @...
Dec. 9, 2016 11:30 AM EST Reads: 1,026