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

Penn West Exploration Announces Its Financial Results For The Second Quarter Ended June 30, 2013

Although we believe that the expectations reflected in the forward-looking statements contained in this document, and the assumptions on which such forward-looking statements are made, are reasonable, there can be no assurance that such expectations will prove to be correct. Readers are cautioned not to place undue reliance on forward-looking statements included in this document, as there can be no assurance that the plans, intentions or expectations upon which the forward-looking statements are based will occur. By their nature, forward-looking statements involve numerous assumptions, known and unknown risks and uncertainties that contribute to the possibility that the predictions, forecasts, projections and other forward-looking statements will not occur, which may cause our actual performance and financial results in future periods to differ materially from any estimates or projections of future performance or results expressed or implied by such forward-looking statements. These risks and uncertainties include, among other things: the impact of weather conditions on seasonal demand and ability to execute capital programs; risks inherent in oil and natural gas operations; uncertainties associated with estimating reserves and resources; competition for, among other things, capital, acquisitions of reserves, resources, undeveloped lands and skilled personnel; incorrect assessments of the value of acquisitions; geological, technical, drilling and processing problems; general economic and political conditions in Canada, the U.S. and globally; industry conditions, including fluctuations in the price of oil and natural gas, price differentials for crude oil produced in Canada as compared to other markets, and transportation restrictions; royalties payable in respect of our oil and natural gas production and changes to government royalty frameworks; changes in government regulation of the oil and natural gas industry, including environmental regulation; fluctuations in foreign exchange or interest rates; unanticipated operating events or environmental events that can reduce production or cause production to be shut-in or delayed, including wild fires and flooding; failure to obtain regulatory, industry partner and other third-party consents and approvals when required, including for acquisitions, dispositions and mergers;  failure to realize the anticipated benefits of dispositions, acquisitions, joint ventures and partnerships; changes in tax and other laws that affect us and our securityholders; ; the potential failure of counterparties to honour their contractual obligations; and the other factors described in our public filings (including our Annual Information Form) available in Canada at http://www.sedar.com and in the United States at http://www.sec.gov. Readers are cautioned that this list of risk factors should not be construed as exhaustive.


                             Penn West Petroleum Ltd.
                           Consolidated Balance Sheets

    (CAD millions, unaudited)             June 30, 2013      December 31, 2012

    Assets
    Current
                  Accounts receivable         $     368            $       364
                  Other                              64                     79
                  Deferred funding
                  assets                            118                    187
                  Risk management                    35                     76
                                                    585                    706
    Non-current
                  Deferred funding
                  assets                            250                    238
                  Exploration and
                  evaluation assets                 669                    609
                  Property, plant and
                  equipment                      10,869                 10,892
                  Goodwill                        2,020                  2,020
                  Risk management                    56                     26
                                                 13,864                 13,785
    Total assets                              $  14,449            $    14,491

    Liabilities and Shareholders'
    Equity
    Current
                  Accounts payable and
                  accrued liabilities         $     614            $       764
                  Dividends payable                 131                    129
                  Current portion of
                  long-term debt                     63                      5
                  Risk management                    37                      9
                                                    845                    907
    Non-current
                  Long-term debt                  3,062                  2,685
                  Decommissioning
                  liability                         639                    635
                  Risk management                    32                     35
                  Deferred tax
                  liability                       1,324                  1,350
                  Other non-current
                  liabilities                         7                      5
                                                  5,909                  5,617
    Shareholders' equity
                  Shareholders' capital           9,067                  8,985
                  Other reserves                     79                     97
                  Deficit                         (606)                  (208)
                                                  8,540                  8,874
    Total liabilities and
    shareholders' equity                      $  14,449            $    14,491


                                              Penn West Petroleum Ltd.
                                      Consolidated Statements of Income (Loss)

                                               Three months ended         Six months ended
                                                          June 30                  June 30
    (CAD millions, except per share
    amounts, unaudited)                           2013       2012          2013       2012

      Oil and natural gas sales               $    746    $   770      $  1,442    $ 1,659
      Royalties                                  (132)      (147)         (251)      (308)
                                                   614        623         1,191      1,351

      Risk management gain (loss)
        Realized                                   (1)          4             7       (15)
        Unrealized                                  34        363          (39)        300
                                                   647        990         1,159      1,636

    Expenses
      Operating                                    214        255           431        528
      Transportation                                 7          7            15         15
      General and administrative                    43         44            86         83
      Restructuring                                 13          -            13          -
      Share-based compensation                      16       (30)            24       (13)
      Depletion and depreciation                   270        306           549        618
      Gain on dispositions                           -       (23)             -       (95)
      Exploration and evaluation                     -          -             -          1
      Unrealized risk management (gain) loss         2         19           (3)       (23)
      Unrealized foreign exchange loss              64         35            93          4
      Financing                                     47         49            92         96
      Accretion                                     11         10            22         21
                                                   687        672         1,322      1,235
    Income (loss) before taxes                    (40)        318         (163)        401

      Deferred tax expense (recovery)                -         83          (26)        107

    Net and comprehensive income (loss)       $   (40)    $   235      $  (137)    $   294

    Net income (loss) per share
      Basic                                   $ (0.08)    $  0.50      $ (0.28)    $  0.62
      Diluted                                 $ (0.08)    $  0.50      $ (0.28)    $  0.62
    Weighted average shares
    outstanding (millions)
      Basic                                      484.6      474.3         483.2      473.5
      Diluted                                    484.6      474.4         483.2      473.6


                                Penn West Petroleum Ltd.
                         Consolidated Statements of Cash Flows

                                   Three months ended               Six months ended
                                              June 30                        June 30
    (CAD millions,
    unaudited)                     2013          2012           2013            2012

    Operating activities
          Net income
          (loss)                $  (40)       $   235        $ (137)         $   294
          Depletion and
          depreciation              270           306            549             618
          Gain on
          dispositions                -          (23)              -            (95)
          Exploration and
          evaluation                  -             -              -               1
          Accretion                  11            10             22              21
          Deferred tax
          expense
          (recovery)                  -            83           (26)             107
          Share-based
          compensation                5          (30)              8            (18)
          Unrealized risk
          management loss
          (gain)                   (32)         (344)             36           (323)
          Unrealized
          foreign
          exchange loss              64            35             93               4
          Decommissioning
          expenditures              (7)          (15)           (25)            (39)
          Change in
          non-cash
          working capital          (72)            23           (65)            (56)
                                    199           280            455             514
    Investing activities
          Capital
          expenditures            (112)         (329)          (539)           (989)
          Property
          dispositions
          (acquisitions),
          net                        29            19             38             341
          Change in
          non-cash
          working capital         (112)         (131)           (94)           (139)
                                  (195)         (441)          (595)           (787)
    Financing activities
          Increase in
          bank loan                 100           260            343             469
          Issue of equity             -             -              2               3
          Dividends paid          (104)          (99)          (205)           (199)
                                    (4)           161            140             273

    Change in cash                    -             -              -               -
    Cash, beginning of
    period                            -             -              -               -
    Cash, end of period         $     -       $     -        $     -         $     -


                             Penn West Petroleum Ltd.
                  Statements of Changes in Shareholders' Equity
    (CAD millions,
    unaudited)
                             Shareholders'       Other
                                   Capital    Reserves     Deficit       Total

    Balance at
    January 1, 2013              $   8,985     $    97     $ (208)     $ 8,874
    Net and
    comprehensive
    loss                                 -           -       (137)       (137)
    Share-based
    compensation                         -           8           -           8
    Issued on
    exercise of
    options and
    share rights                        28        (26)           -           2
    Issued to
    dividend
    reinvestment
    plan                                54           -           -          54
    Dividends
    declared                             -           -       (261)       (261)
    Balance at June
    30, 2013                     $   9,067     $    79     $ (606)     $ 8,540

    (CAD millions,           Shareholders'       Other    Retained
    unaudited)                     Capital    Reserves    Earnings       Total

    Balance at
    January 1, 2012              $   8,840     $    95     $   132     $ 9,067
    Net and
    comprehensive
    income                               -           -         294         294
    Share-based
    compensation                         -          17           -          17
    Issued on
    exercise of
    options and
    share rights                        21        (18)           -           3
    Issued to
    dividend
    reinvestment
    plan                                56           -           -          56
    Dividends
    declared                             -           -       (256)       (256)
    Balance at June
    30, 2012                     $   8,917     $    94     $   170     $ 9,181

Investor Information

8 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 17,757.91 +138.40 0.79%
S&P 500 2,077.42 +14.31 0.69%
NASDAQ 5,013.1230 +26.2560 0.53%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs