BLACK DIAMOND INC 
By FRISCO, Texas,
Financial Results for the Three Months and Year Ended
Comstock reported net income of
Comstock reported net income of
Year 2007 Drilling Results
Comstock also announced the results of its 2007 drilling program. In 2007 Comstock drilled 180 wells (138.2 net). One hundred sixty-five of the wells drilled were successful and fifteen were dry holes.
Comstock spent
Comstock drilled 128 successful wells (100.2 net) in its East Texas and
North Louisiana region in 2007. These wells were tested at an average per
well initial production rate of 1.4 Mmcfe per day. Comstock's production in
this region has increased 38% in 2007 as compared to 2006 as a result of this
drilling program. During the fourth quarter of 2007, Comstock drilled its
first successful horizontal Cotton Valley gas well in the Waskom field in East
Texas. The Bell #11A-H well was drilled to a total vertical depth of 9,490
feet with a 2,548 foot horizontal leg drilled through the upper and lower
In South Texas, Comstock drilled twenty successful wells (13.7 net) and
two (0.5 net) dry holes during 2007. The successful wells had an average per
well initial production rate of 5.5 Mmcfe per day. Seven of the successful
wells were in the Las Hermanitas field in Duval County, Texas, five were in
the Javelina Field in Hidalgo County, five were in the Company's Ball Ranch
field, two were in the Double A Wells field and one was in the
Comstock drilled thirteen wells (11.5 net) in Mississippi during 2007, eight of which were successful. Five of these wells were tested at an average per well initial production rate of 214 barrels of oil per day and three wells tested at 1.8 Mmcf of natural gas per day. Comstock also drilled two (0.3 net) successful wells in its other regions.
Comstock's offshore operations are conducted by its 49% owned subsidiary,
Bois d'Arc Energy, Inc. (NYSE: BDE) ("Bois d'Arc"). Bois d'Arc made capital
expenditures of
This press release may contain "forward-looking statements" as that term is defined in the Private Securities Litigation Reform Act of 1995. Such statements are based on management's current expectations and are subject to a number of factors and uncertainties which could cause actual results to differ materially from those described herein. Although the Company believes the expectations in such statements to be reasonable, there can be no assurance that such expectations will prove to be correct.
Comstock Resources, Inc. is a growing independent energy company based in
Frisco, Texas and is engaged in oil and gas acquisitions, exploration and
development primarily in Texas, Louisiana and the Gulf of
COMSTOCK RESOURCES, INC.
CONSOLIDATED OPERATING RESULTS
(In thousands, except per share amounts)
Three Months Ended Year Ended
December 31, December 31,
2007 2006 2007 2006
Oil and gas sales $195,764 $126,775 $687,073 $511,928
Operating expenses:
Oil and gas operating 32,364 29,083 123,632 107,303
Exploration 6,370 3,470 43,079 20,132
Depreciation, depletion
and amortization 64,732 49,465 243,619 153,922
Impairment - 275 826 10,444
General and
administrative 16,142 9,031 42,682 31,769
Total operating
expenses 119,608 91,324 453,838 323,570
Income from operations 76,156 35,451 233,235 188,358
Other income (expenses):
Interest income 348 288 1,389 1,012
Other income 180 165 685 781
Interest expense (11,446) (9,107) (41,326) (27,429)
Gain on derivatives - 108 - 10,716
Total other
income (expenses) (10,918) (8,546) (39,252) (14,920)
Income before income taxes
and minority interest 65,238 26,905 193,983 173,438
Provision for income taxes (29,222) (12,492) (85,177) (74,339)
Minority interest in
earnings of
Bois d'Arc Energy (14,318) (6,001) (39,905) (28,434)
Net income $ 21,698 $ 8,412 $ 68,901 $ 70,665
Net income per share:
Basic $ 0.50 $ 0.20 $ 1.59 $ 1.67
Diluted $ 0.48 $ 0.19 $ 1.54 $ 1.61
Weighted average common and
common stock equivalent
shares outstanding:
Basic 43,544 42,493 43,415 42,220
Diluted 44,583 43,707 44,405 43,556
COMSTOCK RESOURCES, INC.
CONSOLIDATED OPERATING RESULTS
(IN THOUSANDS)
Three Months Ended Year Ended
December 31, December 31,
2007 2006 2007 2006
Cash flow from operations:
Net cash provided by
operating activities $121,421 $90,305 $446,305 $364,605
Excess tax benefit from
stock-based compensation 5,920 5,296 6,522 6,218
Increase in accounts
receivable 13,870 13,691 15,100 2,917
Decrease in other current
assets (5,040) (3,665) (2,452) (3,526)
Decrease (increase) in
accounts payable and
accrued expenses (2,572) (24,819) 11,775 (21,666)
Cash flow from operations $133,599 $80,808 $477,250 $348,548
EBITDAX:
Net income $ 21,698 $ 8,412 $ 68,901 $ 70,665
Interest expense 11,446 9,107 41,326 27,429
Income tax expense 29,222 12,492 85,177 74,339
Depreciation, depletion and
amortization 64,732 49,465 243,619 153,922
Impairment - 275 826 10,444
Minority interest in
earnings of
Bois d'Arc Energy 14,318 6,001 39,905 28,434
Stock-based compensation 6,252 3,415 19,162 13,249
Exploration expense 6,370 3,470 43,079 20,132
Unrealized loss (gain) on
derivatives - 69 - (11,242)
EBITDAX $154,038 $92,706 $541,995 $387,372
As of December 31,
2007 2006
Balance Sheet Data:
Cash and cash equivalents $ 24,406 $ 10,715
Other current assets 100,099 88,113
Property and equipment, net 2,222,875 1,773,626
Other 7,007 5,671
Total assets $2,354,387 $1,878,125
Current liabilities $ 130,800 $ 151,861
Long-term debt 760,000 455,000
Deferred income taxes 371,896 311,236
Reserve for future abandonment costs 52,606 57,116
Minority interest in
Bois d'Arc Energy 267,441 220,349
Stockholders' equity 771,644 682,563
Total liabilities and
stockholders' equity $2,354,387 $1,878,125
COMSTOCK RESOURCES, INC.
CONSOLIDATED OPERATING RESULTS
(In thousands, except per unit amounts)
For the Three Months Ended December 31, 2007
Bois d'Arc
Onshore(1) Energy Total
Oil production
(thousand barrels) 242 438 680
Gas production
(million cubic
feet - Mmcf) 10,769 8,050 18,819
Total production (Mmcfe) 12,226 10,676 22,902
Oil sales $ 18,481 $ 40,051 $ 58,532
Gas sales 77,038 60,194 137,232
Total oil and gas sales $ 95,519 $100,245 $195,764
Average oil price
(per barrel) $ 76.10 $ 91.51 $ 86.01
Average gas price
(per thousand cubic
feet - Mcf) $ 7.15 $ 7.48 $ 7.29
Average price
(per Mcf equivalent) $ 7.81 $ 9.39 $ 8.55
Lifting cost $ 16,082 $ 16,282 $ 32,364
Lifting cost
(per Mcf equivalent) $ 1.32 $ 1.53 $ 1.41
Oil and Gas Capital
Expenditures $238,912 $ 39,794 $278,706
For the Three Months Ended December 31, 2006
Bois d'Arc
Onshore(1) Energy Total
Oil production
(thousand barrels) 225 350 575
Gas production
(million cubic
feet - Mmcf) 7,944 6,795 14,739
Total production
(Mmcfe) 9,296 8,894 18,190
Oil sales $11,147 $20,206 $ 31,353
Gas sales 49,354 46,068 95,422
Total oil and gas sales $60,501 $66,274 $126,775
Average oil price
(per barrel) $ 49.46 $ 57.77 $ 54.51
Average gas price
(per thousand cubic
feet - Mcf) $ 6.21 $ 6.78 $ 6.47
Average price
(per Mcf equivalent) $ 6.51 $ 7.45 $ 6.97
Lifting cost $13,482 $15,601 $ 29,083
Lifting cost
(per Mcf equivalent) $ 1.45 $ 1.75 $ 1.60
Oil and Gas Capital
Expenditures $75,790 $52,812 $128,602
For the Year Ended December 31, 2007
Bois d'Arc
Onshore(1) Energy Total
Oil production
(thousand barrels) 1,008 1,671 2,679
Gas production
(million cubic
feet - Mmcf) 39,231 32,186 71,417
Total production
(Mmcfe) 45,282 42,211 87,493
Oil sales $ 61,474 $123,895 $185,369
Gas sales 270,139 231,565 501,704
Total oil and gas sales $331,613 $355,460 $687,073
Average oil price
(per barrel) $ 60.96 $ 74.15 $ 69.18
Average gas price
(per thousand cubic
feet - Mcf) $ 6.89 $ 7.19 $ 7.03
Average price (per
Mcf equivalent) $ 7.32 $ 8.42 $ 7.85
Lifting cost $ 64,791 $ 58,841 $123,632
Lifting cost (per Mcf
equivalent) $ 1.43 $ 1.39 $ 1.41
Oil and Gas Capital
Expenditures $525,714 $206,863 $732,577
For the Year Ended December 31, 2006
Bois d'Arc
Onshore(1) Energy Total
Oil production
(thousand barrels) 921 1,383 2,304
Gas production
(million cubic
feet - Mmcf) 30,271 23,183 53,454
Total production
(Mmcfe) 35,797 31,481 67,278
Oil sales $ 50,955 $ 89,421 $140,376
Gas sales 206,263 165,289 371,552
Total oil and gas sales $257,218 $254,710 $511,928
Average oil price
(per barrel) $ 55.32 $ 64.66 $ 60.93
Average gas price
(per thousand cubic
feet - Mcf) $ 6.81 $ 7.13 $ 6.95
Average price (per
Mcf equivalent) $ 7.19 $ 8.09 $ 7.61
Lifting cost $ 53,903 $ 53,400 $107,303
Lifting cost (per Mcf
equivalent) $ 1.51 $ 1.70 $ 1.59
Oil and Gas Capital
Expenditures $288,729 $244,610 $533,339
(1) Includes the onshore results of operations of Comstock Resources,
Inc.
COMSTOCK RESOURCES, INC.
REGIONAL OPERATING RESULTS
(In thousands, except per unit amounts)
For the Three Months Ended December 31, 2007
East Texas/
North South Total
Louisiana Texas Other Onshore
Oil production
(thousand barrels) 40 56 146 242
Gas production
(million cubic
feet - Mmcf) 6,559 3,364 846 10,769
Total production
(Mmcfe) 6,800 3,702 1,724 12,226
Oil sales $ 3,552 $ 5,068 $ 9,861 $ 18,481
Gas sales 46,133 25,117 5,788 77,038
Total oil and
gas sales $49,685 $ 30,185 $15,649 $ 95,519
Average oil
price (per barrel) $ 88.80 $ 90.50 $ 67.54 $ 76.10
Average gas price
(per thousand
cubic feet - Mcf) $ 7.03 $ 7.47 $ 6.84 $ 7.15
Average price
(per Mcf equivalent) $ 7.31 $ 8.15 $ 9.08 $7.81
Lifting cost(1) $ 6,710 $ 4,772 $ 4,600 $ 16,082
Lifting cost
(per Mcf equivalent) $0.99 $ 1.29 $ 2.67 $ 1.32
Oil and Gas
Capital Expenditures:
Acquisitions $ - $160,101 $ - $160,101
Leasehold costs 576 789 71 1,436
Exploratory
drilling - 3,916 (51) 3,865
Development
drilling 56,454 11,922 2,111 70,487
Other development 798 1,710 515 3,023
Total $57,828 $178,438 $ 2,646 $238,912
For the Three Months Ended December 31, 2006
East Texas/
North South Total
Louisiana Texas Other Onshore
Oil production
(thousand barrels) 28 45 152 225
Gas production
(million cubic
feet - Mmcf) 4,775 2,345 824 7,944
Total production
(Mmcfe) 4,941 2,613 1,742 9,296
Oil sales $ 1,658 $ 2,547 $ 6,942 $11,147
Gas sales 29,304 15,179 4,871 49,354
Total oil and
gas sales $30,962 $17,726 $11,813 $60,501
Average oil price
(per barrel) $ 59.21 $ 56.60 $ 45.67 $ 49.46
Average gas price
(per thousand
cubic feet - Mcf) $ 6.14 $ 6.47 $ 5.91 $ 6.21
Average price
(per Mcf equivalent) $ 6.27 $ 6.78 $ 6.78 $ 6.51
Lifting cost(1) $ 5,878 $ 3,842 $ 3,762 $13,482
Lifting cost
(per Mcf equivalent) $ 1.19 $ 1.47 $ 2.16 $ 1.45
Oil and Gas Capital
Expenditures:
Acquisitions $ - $ - $ - $ -
Leasehold costs 127 (1,266) 1,132 (7)
Exploratory
drilling - 5,964 1,737 7,701
Development
drilling 53,511 2,634 8,070 64,215
Other development 1,987 1,378 516 3,881
Total $55,625 $ 8,710 $11,455 $75,790
For the Year Ended December 31, 2007
East Texas/
North South Total
Louisiana Texas Other Onshore
Oil production
(thousand barrels) 162 214 632 1,008
Gas production
(million cubic
feet - Mmcf) 24,407 11,790 3,034 39,231
Total production
(Mmcfe) 25,378 13,077 6,827 45,282
Oil sales $ 11,052 $ 15,189 $35,233 $ 61,474
Gas sales 164,926 85,427 19,786 270,139
Total oil and
gas sales $175,978 $100,616 $55,019 $331,613
Average oil price
(per barrel) $ 68.22 $ 70.98 $ 55.75 $ 60.96
Average gas price
(per thousand
cubic feet - Mcf) $ 6.76 $ 7.25 $ 6.52 $ 6.89
Average price
(per Mcf equivalent) $ 6.93 $ 7.69 $ 8.06 $ 7.32
Lifting cost(2) $ 29,527 $ 16,832 $18,432 $ 64,791
Lifting cost
(per Mcf
equivalent) $ 1.16 $ 1.29 $ 2.70 $ 1.43
Oil and Gas
Capital Expenditures:
Acquisitions $ - $191,290 $ - $191,290
Leasehold costs 3,377 2,755 2,850 8,982
Exploratory
drilling - 11,910 2,379 14,289
Development
drilling 215,593 61,738 25,024 302,355
Other development 2,620 3,337 2,841 8,798
Total $221,590 $271,030 $33,094 $525,714
For the Year Ended December 31, 2006
East Texas/
North South Total
Louisiana Texas Other Onshore
Oil production
(thousand barrels) 117 209 595 921
Gas production
(million cubic
feet - Mmcf) 17,850 9,073 3,348 30,271
Total production
(Mmcfe) 18,550 10,328 6,919 35,797
Oil sales $ 7,295 $13,332 $30,328 $ 50,955
Gas sales 119,106 65,594 21,563 206,263
Total oil and
gas sales $126,401 $78,926 $51,891 $257,218
Average oil price
(per barrel) $ 62.35 $ 63.79 $ 50.97 $ 55.32
Average gas price
(per thousand
cubic feet - Mcf) $ 6.67 $ 7.23 $ 6.44 $ 6.81
Average price
(per Mcf equivalent) $ 6.81 $ 7.64 $ 7.50 $ 7.19
Lifting cost(2) $ 23,107 $14,612 $16,184 $ 53,903
Lifting cost
(per Mcf
equivalent) $ 1.25 $ 1.41 $ 2.34 $ 1.51
Oil and Gas
Capital Expenditures:
Acquisitions $ 912 $60,707 $ - $ 61,619
Leasehold costs 620 6,358 2,955 9,933
Exploratory
drilling - 6,039 1,737 7,776
Development
drilling 145,036 14,537 28,558 188,131
Other development 13,307 2,374 5,589 21,270
Total $159,875 $90,015 $38,839 $288,729
(2) Includes production taxes of $13,830 and $11,344 for the years ended
December 31, 2007 and 2006, respectively.
SOURCE Comstock Resources, Inc.
