Milagro Energy Inc.
TSX : MIG

Milagro Energy Inc.

August 14, 2006 09:20 ET

Milagro Energy Inc. Announces Filing of Its Q2 Interim Report

CALGARY, ALBERTA--(CCNMatthews - Aug. 14, 2006) - Milagro Energy Inc. (TSX:MIG) ("MIG" - Toronto Stock Exchange) has filed its Q2 Interim Report for the three months ended June 30, 2006 on the System for Electronic Document Analysis and Retrieval ("SEDAR"). The Q2 can be found for viewing on the SEDAR website at www.sedar.com.

On August 9, Milagro spudded a (100% WI) well at Bear Canyon in the Peace River Arch. If successful, there are three potential follow-up locations available on 100% Milagro lands.



HIGHLIGHTS 2006
(Unaudited) Q2 Q1 %Change
------------------------------------------------------------------------

OPERATING
Average daily production
Oil & NGLs (bbls per day) 335 297 13
Natural gas (mcf per day) 1,869 1,189 57
Equivalent barrels (BOE per day) 647 495 31
------------------------------------------------------------------------

FINANCIAL
($000s except per share amounts)
Oil and gas revenue 3,046 2,085 46
Cash flow from operations 677 159 325
Per share - basic and diluted 0.01 - 100
Net earnings (loss) 34 (726) 104
Per share - basic and diluted - (0.01) 100
------------------------------------------------------------------------


Per barrel of oil equivalent ("boe") amounts have been calculated using a conversion rate of six thousand cubic feet of natural gas to one barrel of oil ("6:1"). The 6:1 conversion ratio is based on an energy equivalency conversion method primarily applicable at the burner tip and does not represent a value equivalency at the wellhead. BOE disclosure may be misleading, particularly if used in isolation. Readers should be aware that historical results are not necessarily indicative of future performance.

Contact Information

  • Milagro Energy Inc.
    Jeffrey Rekunyk
    President & CEO
    (403) 693-4006
    or
    Milagro Energy Inc.
    Brad Haack
    Vice-President, Finance & CFO
    (403) 693-4007
    Website: www.milagroenergy.com