TransAtlantic Petroleum Corp.

TransAtlantic Petroleum Corp.

November 14, 2008 19:51 ET

TransAtlantic Petroleum Corp.: Third Quarter 2008 Financial Results and Operations Update

CALGARY, ALBERTA--(Marketwire - Nov. 14, 2008) - TransAtlantic Petroleum Corp. (TSX:TNP) today reported the following (all results in U.S. dollars):

Consolidated net loss for the quarter ended September 30, 2008 was $1.5 million or $0.02 per share, compared to a net loss of $2.2 million or $0.05 per share for the same quarter last year. The Company's consolidated net loss for the third quarter 2008 is primarily composed of general and administrative costs of $719,000 and international expenditures of $858,000. As of September 30, 2008, the Company had cash and cash equivalents of $10.1 million, no debt and working capital of $9.4 million compared to cash and cash equivalents of $657,000, current debt of $4.0 million and working capital of $316,000 at September 30, 2007.

With regard to the development of its international properties, in October 2008 the Company began re-entry operations on one well in Morocco. In September 2008, the Company agreed to farm-in to Sterling Resources Ltd.'s Sud Craiova Block in western Romania. In exchange for a 50% working interest, the Company will drill three 1,000 meter exploration wells on the Sud Craiova license. The Company expects to commence drilling operations in Romania in December 2008. Also in September 2008, the Company agreed to farm-in to Incremental Petroleum Limited's License 4262 in southeastern Turkey. In exchange for a 60% working interest, the Company agreed to drill one exploration well. By drilling this well, the Company will also earn an undivided 75% working interest in four additional licenses covering 1,863 square kilometers (460,321 acres) in southeastern Turkey, subject to government approval. The Company began drilling operations on this well in October 2008. By the end of November 2008, drilling operations will commence to test the Bedinan Ordivician formation (approximately 3,700 meters) on Block 4174 in southeastern Turkey pursuant to a farmout agreement in which the Company retains a 25% working interest. The Company will be carried through testing of the well.

The re-entry operation in Morocco is being performed with a drilling rig supplied by Longe Energy Limited. As announced in the Company's press releases dated August 27 and September 19, 2008, the Company has agreed to acquire Longe Energy Limited in a transaction expected to close in December 2008, subject to regulatory and shareholder approval.

TransAtlantic is engaged in the exploration, development and production of crude oil and natural gas in Morocco, Turkey and Romania. Common shares of TransAtlantic are listed on the Toronto Stock Exchange under the symbol "TNP."

This news release contains statements regarding drilling, plans, plans to raise capital, and plans to acquire a company, as well as other expectations, plans, goals, objectives, assumptions or information about future events, conditions, results of operations or performance that may constitute forward-looking statements or information under applicable securities legislation. Such forward-looking statements or information are based on a number of assumptions which may prove to be incorrect. In addition to other assumptions identified in this news release, assumptions have been made regarding, among other things, the ability of the Company to continue to develop and exploit attractive foreign initiatives.

Although the Company believes that the expectations reflected in such forward-looking statements or information are reasonable, undue reliance should not be placed on forward-looking statements because the Company can give no assurance that such expectations will prove to be correct. Forward-looking statements or information are based on current expectations, estimates and projections that involve a number of risks and uncertainties which could cause actual results to differ materially from those anticipated by the Company and described in the forward-looking statements or information. These risks and uncertainties include but are not limited to the continuing ability of the Company to operate effectively internationally, reliance on current oil and gas laws, rules and regulations, volatility of oil and gas prices, fluctuations in currency and interest rates, imprecision of resource estimates, the results of exploration, development and drilling, imprecision in estimates of future production capacity, changes in environmental and other regulations or the interpretation of such regulations, the ability to obtain necessary regulatory approvals, weather and general economic and business conditions.

The forward-looking statements or information contained in this news release are made as of the date hereof and the Company undertakes no obligation to update publicly or revise any forward-looking statements or information, whether as a result of new information, future events or otherwise, unless so required by applicable securities laws.


Contact Information

  • TransAtlantic Petroleum Corp.
    Scott C. Larsen
    (214) 220-4323