Quicksilver Resources Reports First-Quarter 2014 Results

FORT WORTH, Texas, May 6, 2014 (GLOBE NEWSWIRE) -- Quicksilver Resources Inc. (NYSE:KWK) today announced preliminary 2014 first-quarter results.

2014 YTD Highlights:
  • Closed sale of Niobrara Asset in Colorado to Southwestern Energy Co. for total cash proceeds of $93.5 million
  • Redeemed outstanding 2015 senior notes and outstanding 2016 senior notes
  • Reduced net debt over the last four quarters by $500 million, excluding the impact of expenses related to debt refinancing in 2013
  • Increased activity in the Barnett Shale, which is expected to build net Barnett volumes in the second quarter of 2014 by greater than 10% over first-quarter volumes
  • Secured amendment to Fortune Creek agreements to lower gathering rate and defer the capital spending commitment in the Horn River Basin

"Quicksilver is making significant gains on reducing debt and creating new growth opportunities," said Glenn Darden, Quicksilver's Chief Executive Officer. "The focus is completing our transaction in the Horn River Basin and executing on the development plan of our streamlined portfolio."

Financial Results

Reported net loss for the first-quarter 2014 was $59 million, or $0.34 per diluted share, which includes a pre-tax unrealized, non-cash derivative loss of $32 million, compared to a reported net loss of $60 million, or $0.35 per diluted share, in the 2013 quarter. Reported net loss in the 2013 quarter also includes a pre-tax unrealized, non-cash derivative loss of $41 million.

Excluding the impact of unrealized derivative loss as noted above, and other non-operational items, adjusted net loss for the first-quarter 2014, a non-GAAP financial measure, was $14 million, or $0.08 per diluted share, compared to adjusted net loss of $6 million or $0.04 per diluted share, in the 2013 quarter.

The sale of the Niobrara Asset is effective January 1, 2014 but will not be reflected until the second-quarter 2014 when proceeds were received, in accordance with accounting rules.

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