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

Midstates Petroleum Announces Year-End 2012 Proved Reserves Increased 188% To 75.5 Million Boe

Non-GAAP Disclosures and Definitions

PV-10

PV-10 is the estimated future net cash flows from proven reserves, discounted at an annual rate of 10 percent before giving effect to income taxes. Under SEC guidelines, the commodity prices used in the December 31, 2012 and December 31, 2011 PV-10 estimates were based on the 12-month un-weighted arithmetic average of the first day of the month prices for the period January 1, 2012 through December 31, 2012 and January 1, 2011 through December 31, 2011, respectively. Prices are adjusted for transportation fees and regional price differentials. For crude oil and NGL volumes, the average West Texas Intermediate posted price of $91.21 per barrel was used to calculate PV-10 at December 31, 2012 and $92.71 at December 31, 2011. For natural gas volumes, the average Henry Hub spot price of $2.76 per million British thermal units (“MMBTU”) was used to calculate PV-10 at December 31, 2012 and $4.12 at December 31, 2011. All prices were held constant throughout the estimated economic life of the properties.

PV-10 is a non-GAAP financial measure, as defined under Regulation G of the rules and regulations of the Securities and Exchange Commission, and generally differs from standardized measure, the most directly comparable GAAP financial measure, because it does not include the effect of income taxes on discounted future net cash flows. PV-10 is a useful measure for investors as it is based on prices and discount factors that are consistent for all entities and can be used to evaluate proved reserves on a more comparable basis. Midstates’ management uses PV-10 when assessing the potential return on investment related to its oil and gas properties and acquisitions. However, PV-10 is not a substitute for the standardized measure of discounted future net cash flows. Midstates’ PV-10 and the standardized measure of discounted future net cash flows do not purport to present the fair value of the Company’s proved oil and natural gas reserves.

3 of 4

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
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
SYM TRADE IT LAST %CHG

Markets

DOW 18,080.14 +21.45 0.12%
S&P 500 2,117.69 +4.76 0.23%
NASDAQ 5,092.0850 +36.0220 0.71%

Partners Compare Online Brokers

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs