Exceed Energy Inc.

Exceed Energy Inc.

June 01, 2009 19:05 ET

Exceed Energy Announces 1st Qtr 2009 Financial Results

CALGARY, ALBERTA--(Marketwire - June 1, 2009) - Exceed Energy Inc. (TSX VENTURE:EX.A) today announced that it has filed its 1st quarter unaudited financial statements and management's discussion and analysis for the first quarter ended March 31, 2009 as well as its NI 52-109 CEO and CFO Certificates... This press release is meant to be read in concurrence with the above filed documents. Copies of these documents are available on SEDAR at www.sedar.com.

In accordance with National Instrument 51-1-2 released by the Canadian Securities Administrators, the Company discloses that its auditors have not reviewed these unaudited interim statements as at and for the interim periods ending March 31, 2009 and 2008.

3 Months Ended 3 Months Ended
March 31, March 31,
Annual financial data 2009 2008

Oil and natural gas revenue $ 431,795 $ 1,131,127
Oil and natural gas revenue, net of royalties $ 386,188 $ 927,635
Operating expense $ 140,249 $ 218,571
Operating Net back (non GAAP) $ 245,939 $ 709,064

Net loss $ (261,722) $ (265,934)
Per share, basic (0.00) $ (0)
Per share, diluted (0.00) $ (0)
Cash flow from operations (non GAAP)(1) $ 39,962 $ 408,324
Per share, basic (non GAAP) 0.00 $ 0
Per share, diluted (non GAAP) 0.00 $ 0

Total assets $ 10,849,484 $ 14,016,788
Total liabilities $ 2,627,397 $ 3,861,464

Share capital data 31-Mar-09 31-Mar-08
Number of class A common shares 64,522,527 41,331,507
Number of class B common shares 0 2,333,602
Number of options outstanding 2,615,000 3,100,000
Average exercise price $ 0.22 0
Number of options exercisable $ 2,194,995 1,273,333
(1) before changes in non-cash working capital related to operating items
The accompanying notes are an integral part of these financial statements.

The Company reports:

- Quarterly revenue for the 1st quarter of fiscal 2009 of $431,795 compared to $1.13 million revenue in the 1st quarter of fiscal 2008.

- Operating expenses of $140,249 for the 1st quarter of fiscal 2009 compared to $218,571 in the 1st quarter of fiscal 2008.

- Net after tax loss of $261,722 for the 1st quarter of fiscal 2009 compared to a net after tax loss of $265,934 in the 1st quarter of fiscal 2008.

- The Company expects to spend $700,000 in 2009.

Commodity prices are expected to remain very low due to macro economic factors causing an over supply in natural gas and crude oil markets. There is some expectation that natural gas prices may recover into the winter of 2009/2010. The Company has in late 2008 and to date in 2009 instigated a G&A reduction program and is working with its partners to reduce field operating costs. The Company has a limited capital expenditure program for 2009 and as a result its production may decrease in 2009.

Additional Information

Forward Looking Statements

This press release may contain forward-looking statements including expectations of future production, cash flow and earnings. Certain information regarding Exceed in this news release including management's assessment of future plans and operations, timing of drilling and tie-in of wells, productive capacity of the new wells, expected production rates, drilling success rates, dates of commencement of production, may constitute forward-looking statements under applicable securities laws and necessarily involve risks. These statements are based on current expectations that involve a number of risks and uncertainties, which could cause actual results to differ from those anticipated. These risks include, but are not limited to: the risks associated with the oil and gas industry (e.g. operational risks in development, exploration and production; delays or changes in plans with respect to exploration or development projects or capital expenditures; the uncertainty of reserve estimates; the uncertainty of estimates and projects relating to production, costs and expenses, and health, safety and environmental risks), commodity price, price and exchange rate fluctuation and uncertainties resulting from the potential delays or changes in plans with respect to exploration or development projects or capital expenditures. Readers are cautioned that the foregoing list of factors is not exhaustive. Additional information on these and other factors that could affect Exceed's operations or financial results are included in Exceed's reports on file with Canadian securities regulatory authorities that may be accessed at www.sedar.com or through the Company's website, www.exceedenergy.com. Furthermore, the forward-looking statements contained in this news release are made as at the date of this news release and Exceed does not undertake any obligation to update publicly or to revise any of the included forward-looking statements, whether as a result of new information, future events or otherwise, except as may be required by applicable securities laws.

Disclosure provided herein in respect of barrels of oil equivalent (boe) may be misleading, particularly if used in isolation. A boe conversion ratio of 6 Mcf: 1 Bbl is based on an energy equivalency conversion method primarily applicable at the burner tip and does not represent a value equivalency at the wellhead.

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.

Contact Information

  • Exceed Energy Inc.
    Richard Wolfli
    President & CEO
    (403) 508-1853
    (403) 508-1781 (FAX)
    Exceed Energy Inc.
    1100, 744 - 4th Ave SW
    Calgary, AB T2P3T4
    Website: www.exceedenergy.com