This Day On The Street
Continue to site
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Saratoga Resources, Inc. Reports Fourth Quarter And 2011 Financial Results, Increased Reserves And New Production Milestone

The change in revenues for the 2011 quarter and year reflects increased prices realized from oil sales and an increase in production volumes (up 9.5% year over year) partially offset by lower natural gas prices. Revenue benefitted from a favorable pricing trend during the year and the realization of premiums to WTI pricing attributable to LLS and HLS pricing for our oil production. The increase in production reflects accelerated investments in our development and infrastructure upgrade program during the second half of the year. The improvement in net income, discretionary cash flow and EBITDAX was driven by revenue gains and was partially offset by the incurrence of $3.9 million of dry hole costs in 2011. 2011 full year net income also benefitted from a one-time gain of $7.7 million on the retirement of our prior credit facilities and a $4.8 million reduction in net interest expense.

Operational Highlights

Operational highlights for 2011 included:

  • 2 development wells, 9 recompletions and 25 workovers completed;
  • 10 new pool discoveries;
  • $5.6 million invested in continuing infrastructure upgrade program to de-bottleneck and support increased production;
  • 107 gross (104 net) wells in production at December 31, 2011; and,
  • 32,185 gross (32,185 net) acres in 12 fields under lease at December 31, 2011.

During 2011, Saratoga drilled two successful development wells, Catina and Roux, plus one exploratory well, the Rio Grande well, which was a dry hole. Saratoga also undertook nine recompletions and twenty-five workovers during the year. Seven of the nine recompletions were successful, with two recompletions not reaching their objectives due to mechanical issues, although the reserves will stay on the books and be accessed through future development drilling.

Saratoga invested $5.6 million in infrastructure improvements and additions to support existing production and anticipated increases in production in 2011.

2 of 9

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
SYM TRADE IT LAST %CHG

Markets

DOW 18,232.02 -53.72 -0.29%
S&P 500 2,126.06 -4.76 -0.22%
NASDAQ 5,089.3620 -1.4320 -0.03%

Partners Compare Online Brokers

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs