Rex Energy Corporation Announces Third Quarter 2010 Results

STATE COLLEGE, Pa., Nov. 1, 2010 (GLOBE NEWSWIRE) -- Rex Energy Corporation ("Rex Energy") (Nasdaq:REXX) today announced financial and operational results for the third quarter of 2010. Highlights include:

• Keystone Midstream Services' Sarsen Plant, the company's jointly owned cryogenic gas processing plant in Butler County, Pennsylvania, is commissioning operating systems in the facility, and is expected to be capable of processing 20 MMcf per day by mid-November 2010;  
• The company's most recent Marcellus Shale horizontal well in Westmoreland County, Pennsylvania tested at an initial production rate of 3.5 MMcf per day over a 24 hour period;  
• Production for both the first nine months and third quarter was up 23% and 26%, respectively, over the same periods in 2009;  
• Operating revenue for both the first nine months and third quarter was up 47% and 29%, respectively, over the same periods in 2009, and;  
• EBITDAX for both the first nine months and third quarter was up 35% and 10%, respectively, over the same periods in 2009.

Production during the third quarter averaged 20.3 MMcfe per day, which was within the company's guidance for the period and was comprised of 56% oil, 41% natural gas and 3% natural gas liquids. Realized gas prices after adjustment for cash settled derivatives during the period were $5.85 per Mcf, as compared to $6.33 per Mcf in the prior year quarter. Realized oil prices after adjustment for cash settled derivatives during the period were $69.02 per Bbl, as compared to $63.05 per Bbl in the prior year quarter. As a result, oil and gas sales, including cash settled derivatives, increased 22% over the third quarter 2009 to approximately $16.8 million. EBITDAX from continuing operations, a non-GAAP financial measure, increased to $5.7 million, which represents a 10% increase over the same period in 2009. The company recorded net income for the quarter of $9.6 million, or $0.22 per share. Adjusting for certain non-cash items, earnings comparable to analyst estimates was $0.4 million, or $0.01 per share.