HOUSTON, March 5, 2013 (GLOBE NEWSWIRE) -- Memorial Production Partners LP (Nasdaq:MEMP) announced today its operating and financial results for the three and twelve months ended December 31, 2012. In addition, MEMP provided an update of its commodity hedge positions presented in the Hedge Summary Table below along with previously announced 2013 guidance.
Key Fourth Quarter and Full Year 2012 Highlights:
- Average daily production increased 13% to 72.9 MMcfe for the fourth quarter 2012, compared to 64.5 MMcfe for the fourth quarter 2011; and 16% to 67.2 MMcfe for the full year 2012, compared to 58.0 MMcfe in 2011.
- Adjusted EBITDA (1) increased 11% to $27.9 million for the fourth quarter 2012, compared to $25.1 million for the fourth quarter 2011; and 23% to $110.1 million for the full year 2012, compared to $89.4 million in 2011.
- Fourth quarter distribution coverage ratio of 1.10x and full year 2012 distribution coverage ratio of 1.27x.
- Fourth quarter cash distribution of $0.5075 per unit, or $2.03 per unit on an annualized basis, represents a 6.8% increase over the annualized minimum quarterly distribution of $1.90 per unit.
- Completed fifth acquisition for $271 million, which added approximately 1,574 Bbls per day of net production at the time of acquisition.
- Closed a public offering of 11,975,000 common units at $17.00 per unit. MEMP received net proceeds of approximately $194 million, which were primarily used to fund a portion of the purchase price for MEMP's fifth acquisition and for general partnership purposes.
- Increased borrowing base to $460.0 million from $380.0 million under its $1.0 billion revolving credit facility.
- Strengthened commodity hedge portfolio, with 91% of current expected natural gas production hedged through year-end 2013 and approximately 80% hedged in 2014 and 2015 (73% hedged through 2018) and 81% of crude oil production hedged through year-end 2013 and approximately 86% hedged in 2014 and 2015 (79% hedged through 2018).
- Increased proved reserves by 284.7 Bcfe to 608.8 Bcfe as of year-end 2012, up 88% compared to 324.1 Bcfe in 2011.
John Weinzierl, Chairman, President and Chief Executive Officer of Memorial Production Partners GP LLC, the general partner of MEMP, commented, "We are pleased with our fourth quarter operating and financial performance, which capped off an extraordinary year of growth for MEMP. We increased our production and reserves through five acquisitions totaling approximately $446 million. These acquisitions were transformative by diversifying our commodity mix and enabling MEMP to increase its cash distributions to unitholders."