Quicksilver Resources Reports Third-Quarter 2014 Results

FORT WORTH, Texas, Nov. 10, 2014 (GLOBE NEWSWIRE) -- Quicksilver Resources Inc. (NYSE:KWK) today announced preliminary 2014 third-quarter results.

Third-quarter highlights:
  • Global borrowing base reaffirmed at $325 million with unanimous lender approval; received favorable covenant changes
  • Revealed strong results in first two West Texas wells completed with joint venture partner, Eni
  • Maintained Barnett Shale production compared to Q3 2013 due to 17 net wells brought online in first nine months of 2014

"Quicksilver has made significant progress on our stated goals since our last earnings call. Oil discoveries in West Texas, improved well results and cost structure in the Barnett and affirmation of our borrowing base and the covenant changes with our banks are all positive developments," said Glenn Darden, CEO of Quicksilver Resources. "These achievements have not only strengthened the company's asset base, but should also be very helpful in our marketing process and other negotiations."

Financial Results

Reported net income for the third-quarter 2014 was $24 million, or $0.13 per diluted share, compared to reported net income of $11 million, or $0.06 per diluted share, in the 2013 quarter.

Reported net income includes the following significant, non-operational items:
  • $40 million unrealized gain from commodity derivatives in the 2014 quarter compared to a $25 million unrealized gain in the 2013 quarter
  • $8 million adjustment to the gain on sale related to the TG Transaction in the 2013 quarter
  • $2 million for strategic transaction costs in the 2014 quarter
  • $2 million for other non-cash impairments in the 2013 quarter

Excluding the impact of the items noted above and other miscellaneous non-operational items, adjusted net loss for the third-quarter 2014, a non-GAAP financial measure, was $12 million, or $0.07 per diluted share, compared to adjusted net loss of $8 million or $0.05 per diluted share, in the 2013 quarter.

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