NuLoch Resources Inc.

NuLoch Resources Inc.

May 21, 2009 19:17 ET

NuLoch Resources Releases Q1 2009 Financial Results

CALGARY, ALBERTA--(Marketwire - May 21, 2009) - NuLoch Resources Inc. (TSX VENTURE:NLR.A) (TSX VENTURE:NLR.B) advises that it has filed its unaudited interim financial statements as at March 31, 2009 and for the period then ended along with the associated Management Discussion and Analysis at The Annual General and Special Meeting of Shareholders will be held on May 27, 2009 at 10:00 am at the Sheraton Suites Calgary Eau Claire, 255 Barclay Parade S.W., Calgary.

Q1 2009 Accomplishments

- Production averaged 515 boe/d in the quarter compared to 520 boe/d in
Q4 2008 and 412 boe/d in Q1 2008;
- Carefully managed capital expenditures commensurate with available funds
- Tied-in a natural gas well at Farrow (0.7 net) drilled during 2008;
- Participated in drilling of a natural gas well at Enchant (0.2 net) with
tie-in during April 2009;
- Subsequent to Q1, acquired 16,800 net undeveloped acres of land and
15 b/d of light oil production at Tableland Saskatchewan in exchange for
1,400,000 Class A common shares.

Three months ended
March 31,
2009 2008
------ ------
Production - daily average
Oil and NGL (bbls/d) 159 165
Natural gas (Mcf/d) 2,140 1,483
Combined oil equivalent (boe/d)(1) 515 412
Average sales prices
Oil and NGL ($/bbl) 46.01 95.02
Natural gas ($/Mcf) 5.06 7.90
Combined oil equivalent ($/boe) 35.19 66.46

($ thousands except per share amounts)
Petroleum and natural gas revenue 1,632 2,493

Funds flow from operations(2) 469 1,216
Per share - basic 0.01 0.04
Per share - diluted 0.01 0.04

Net earnings (loss) (614) 285
Per share - basic (0.02) 0.01
Per share - diluted (0.02) 0.01

Working capital (deficiency) - end of period (4,470) 1,182
Line of credit available(3) 5,700 6,500

Capital expenditures 525 5,050

Class A, end of period 30,780 30,780
Class B, end of period 653 653
Options, end of period 3,143 2,885
Basic, weighted average combined 37,305 27,989
Diluted, weighted average 37,305 28,520
(1) Six mcf of natural gas is considered equivalent to 1 barrel of oil
(see Advisories).
(2) Cash flow from operations before changes in non-cash operating working
capital (see Advisories).
(3) In April 2009, the line of credit was reduced from $9.0 million to
$5.7 million.


Use of Barrels of Oil Equivalent (boe)

Disclosure provided herein in respect of boe units may be misleading, particularly if used in isolation. A boe conversion ratio of 6 Mcf of natural gas to 1 bbl of crude oil is based on an energy equivalency conversion method primarily applicable at the burner tip and may not represent a value equivalency at the wellhead.

Non-GAAP Measurement - Funds Flow

Funds flow from operations, calculated as cash flow from operating activities before changes in non-cash working capital, is used by the Company as a key measure of performance. Funds flow from operations does not have a standardized meaning prescribed by Canadian GAAP and therefore may not be comparable with the calculation of similar measures for other companies. Funds flow from operations as presented is not intended to represent operating profits for the period, nor should it be viewed as an alternative to cash provided by operating activities, net earnings or other measures of financial performance calculated in accordance with GAAP. Many of the Company's peers in the oil and natural gas industry use the same definition and, therefore, disclosure herein enhances comparability with those peers. Funds flow from operations per share is calculated using the same share bases which are used in the determination of earnings per share.

Forward-Looking Statements

Certain statements in this document or incorporated herein by reference constitute "forward-looking statements". These forward-looking statements can generally be identified as such because of the context of the statements, including words indicating that the Company "believes", "anticipates", "expects", "plans" or words of a similar nature. Such forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company, or industry results, to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. Such factors include, among others, the following: general economic and business conditions which will, among other things, impact demand for and market prices of the Company's products; industry capacity; the ability of the Company to implement its business strategy, including exploration and development activities; the ability of the Company to complete its capital programs; successful negotiations with bankers and other third parties; the success of exploration and development activities; production levels; government regulations and the expenditures required to comply with them (especially safety and environmental laws and regulations); asset retirement obligations; and other circumstances affecting revenues and expenses.

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

Contact Information

  • NuLoch Resources Inc.
    R. Glenn Dawson
    President and CEO
    (403) 920-0455
    (403) 920-0457 (FAX)
    NuLoch Resources Inc.
    2200, 444 - 5th Avenue SW
    Calgary, Alberta T2P 2T8