RIVERTON, Wyo., March 14, 2011 (GLOBE NEWSWIRE) -- U.S. Energy Corp. (Nasdaq:USEG) ("USE" or the "Company") today reported 2010 highlights and selected financial results for the year ended December 31, 2010. Selected Highlights for 2010 and Period Subsequent to December 31, 2010
- Recognized $27.2 million in revenue during the year, compared to revenues of $10.3 million during the prior year, a 163% increase primarily as a result of the production from our oil and gas in the Williston Basin of North Dakota.
- Produced 448,855 BOE, or 1,230 BOE/D, which was an increase of 173% over 2009 daily production.
- Increased total proved reserves to 1,954,941 BOE (79% oil), replacing 193% of 2010 production.
- Increased estimated PV10 value to $52.1 million, which represents an 80% increase in reserves and a 102% increase in PV10 value over December 31, 2009.
- Announced the closing of a $75 million senior credit facility with BNP Paribas, which currently has a borrowing base $18.5 million based on our wholly owned oil and gas subsidiary, Energy One LLC's June 30, 2010 financial statements.
- Announced a Capital Expenditures budget of $45.7 million. The budget is comprised of approximately $33.2 million to be spent on our two drilling programs in the Williston Basin of North Dakota, with the remaining $12.5 million to be spent on exploration initiatives in California, Texas, Louisiana, and Southeastern Colorado, contingent upon initial success in each of the individual programs.
- Acquired an additional 6,200 net mineral acres in the core of the Williston Basin Bakken and Three Forks formation play by entering into a participation agreement with Zavanna LLC and other Sellers.
- Entered into an Acquisition, Exploration, and Development Agreement with Cirque Resources LP to acquire a 40% working interest in 6,120 gross (2,448 net) acres in the prolific San Joaquin Basin of California.
- Acquired an 80% working interest in approximately 3,000 net acres in Southeastern Colorado targeting the Mississippian formation. This prospect will be U.S. Energy Corp.'s entrée into operations.
- Entered into a participation agreement with Crimson Exploration, Inc. to acquire a 30% working interest in an oil prospect in Zavala County Texas, targeting the oil window of the Eagle Ford shale formation.
- Received the $1 million annual option payment from Thompson Creek Metals for 2011.
|U.S. ENERGY CORP.|
|(Amounts in thousands, except per share amounts)|
|December 31, 2010||December 31, 2009|
|Cash, equivalents & U.S. Treasuries||$ 23,853||$ 55,462|
|Current assets||$ 29,824||$ 62,100|
|Current liabilities||$ 18,763||$ 8,672|
|Working capital||$ 11,061||$ 53,428|
|Total assets||$ 156,016||$ 146,723|
|Long-term obligations||$ 1,550||$ 1,573|
|Shareholders' equity||$ 130,688||$ 129,133|
|For the years ended December 31,|
|Operating revenues||$ 27,176||$ 10,349|
|Income (loss) from continuing operations||$ (4,232)||$ (9,271)|
|Other income & expenses||$ 1,722||$ (1,186)|
|Income tax benefit||$ 1,738||$ 2,279|
|Net income/(loss)||$ (772)||$ (8,178)|
|Net income/(loss) per share|
|Basic||$ (0.03)||$ (0.38)|
|Diluted||$ (0.03)||$ (0.38)|
|EBITDA||$ 9,690||$ (5,293)|