Selected Highlights:
-- Operating income and net income up 161% and 78%, respectively, vs. Q3
'09
-- Operating cash flow at Sept. 30 reaches $1.4 million
-- Two new wells drilled in Mountain View Field
-- Pyramid and Victory Oil Company agree in principle on California JV
program
Pyramid Oil Company (
PYRAMID OIL COMPANY
STATEMENTS OF OPERATIONS
(UNAUDITED)
Three months ended Nine months ended
September 30, September 30,
----------------------- -----------------------
2010 2009 2010 2009
----------- ----------- ----------- -----------
REVENUES:
Oil and gas sales $ 1,099,464 $ 945,413 $ 3,329,594 $ 2,341,359
Gain on sale of fixed
assets 320,556 0 320,556 0
----------- ----------- ----------- -----------
1,420,020 945,413 3,650,150 2,341,359
----------- ----------- ----------- -----------
COSTS AND EXPENSES:
Operating expenses 386,897 346,800 1,165,209 1,023,339
General and
administrative 195,838 198,703 653,793 653,805
Severance award agreement 113,500 0 113,500 209,935
Taxes, other than income
and payroll taxes 39,654 33,809 97,313 114,593
Valuation allowances 0 0 867,468 0
Provision for depletion,
depreciation and
amortization 151,855 150,209 498,115 468,665
Accretion expense 6,664 5,898 18,775 17,696
Other costs and expenses 26,403 18,628 90,946 88,773
----------- ----------- ----------- -----------
920,811 754,047 3,505,119 2,576,806
----------- ----------- ----------- -----------
OPERATING INCOME (LOSS) 499,209 191,366 145,031 -235,447
----------- ----------- ----------- -----------
OTHER INCOME (EXPENSE):
Interest income 13,521 20,508 29,904 68,378
Other income 3,600 3,600 9,997 10,800
Interest expense -30 -299 -333 -1,072
----------- ----------- ----------- -----------
17,091 23,809 39,568 78,106
----------- ----------- ----------- -----------
INCOME (LOSS) BEFORE INCOME
TAX PROVISION (BENEFIT) 516,300 215,175 184,599 -157,341
Income tax provision
(benefit)
Current 47,200 -43,499 92,100 -181,082
Deferred 75,300 37,300 -180,100 30,500
----------- ----------- ----------- -----------
122,500 -6,199 -88,000 -150,582
----------- ----------- ----------- -----------
NET INCOME (LOSS) $ 393,800 $ 221,374 $ 272,599 $ -6,759
=========== =========== =========== ===========
EARNINGS PER COMMON SHARE
Basic and diluted income
(loss) per common share $ 0.08 $ 0.05 $ 0.06 $ 0.00
=========== =========== =========== ===========
Basic weighted average
number of common shares
outstanding 4,677,728 4,677,728 4,677,728 4,677,728
=========== =========== =========== ===========
Diluted weighted average
number of common shares
outstanding 4,720,014 4,677,728 4,719,276 4,677,728
=========== =========== =========== ===========
PYRAMID OIL COMPANY
BALANCE SHEETS
ASSETS
September 30, December 31,
2010 2009
(Unaudited) (Audited)
-------------- --------------
CURRENT ASSETS:
Cash and cash equivalents $ 1,677,586 $ 1,438,825
Short-term investments 3,110,446 3,344,061
Trade accounts receivable 406,751 375,954
Income taxes receivable 4,200 124,281
Crude oil inventory 63,861 62,760
Deferred income taxes 241,400 196,200
Prepaid expenses and other assets 107,090 169,595
-------------- --------------
TOTAL CURRENT ASSETS 5,611,334 5,711,676
-------------- --------------
PROPERTY AND EQUIPMENT, at cost
Oil and gas properties and equipment
(successful efforts method) 17,613,326 16,085,228
Capitalized asset retirement costs 389,463 382,550
Drilling and operating equipment 2,109,993 2,109,993
Land, buildings and improvements 1,066,571 1,065,371
Automotive, office and other
property and equipment 1,183,114 1,160,617
-------------- --------------
22,362,467 20,803,759
Less: accumulated depletion, depreciation,
amortization and valuation allowance -18,329,833 -17,125,834
-------------- --------------
TOTAL PROPERTY AND EQUIPMENT 4,032,634 3,677,925
-------------- --------------
OTHER ASSETS
Deposits 250,000 250,000
Deferred income taxes 620,300 485,400
Other Assets 17,013 17,013
TOTAL OTHER ASSETS 887,313 752,413
-------------- --------------
TOTAL ASSETS $ 10,531,281 $ 10,142,014
============== ==============
PYRAMID OIL COMPANY
BALANCE SHEETS
LIABILITIES AND STOCKHOLDERS' EQUITY
September 30, December 31,
2010 2009
(Unaudited) (Audited)
-------------- --------------
CURRENT LIABILITIES:
Accounts payable $ 160,120 $ 88,170
Accrued professional fees 111,663 138,381
Accrued taxes, other than income taxes 35,661 62,310
Accrued payroll and related costs 72,864 51,606
Accrued royalties payable 172,253 159,933
Accrued insurance 0 54,947
Current debt 905 20,640
-------------- --------------
TOTAL CURRENT LIABILITIES 553,466 575,987
-------------- --------------
LIABILITY FOR ASSET RETIREMENT OBLIGATION 1,219,013 1,193,324
-------------- --------------
TOTAL LIABILITIES 1,772,479 1,769,311
-------------- --------------
COMMITMENTS
STOCKHOLDERS' EQUITY:
Preferred stock-no par value;
10,000,000 authorized shares;
no shares issued or outstanding 0 0
Common stock-no par value;
50,000,000 authorized shares;
4,677,728 shares issued and outstanding 1,629,445 1,515,945
Retained earnings 7,129,357 6,856,758
-------------- --------------
TOTAL STOCKHOLDERS' EQUITY 8,758,802 8,372,703
-------------- --------------
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY $ 10,531,281 $ 10,142,014
============== ==============
Contact Information: CONTACTS: John H. Alexander President and CEO Pyramid Oil Company 661-325-1000 Geoff High Principal Pfeiffer High Investor Relations, Inc. 303-393-7044