EMPIRE ENERGY GROUP LIMITED EMPIRE ENERGY GROUP LIMITED |
and its controlled entities ABN 29 002 148 361 |
HALF YEAR FINANCIAL REPORT 30 JUNE 2016 |
EXECUTIVE CHAIRMAN'S REVIEW OF OPERATIONS 4
CONSOLIDATED STATEMENTS OF PROFIT OR LOSS AND
CONSOLIDATED STATEMENTS OF FINANCIAL POSITION 16
CONSOLIDATED STATEMENTS OF CASHFLOWS 17
CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY 18
NOTES TO THE FINANCIAL STATEMENTS 20
LEAD AUDITOR'S INDEPENDENCE DECLARATION 31 INDEPENDENT AUDITOR'S REPORT 332
COMPANY INFORMATIONDirectors | Company Secretary |
B W McLeod (Executive Chairman) | R V Ryan |
D H Sutton | |
K A Torpey | |
Bankers | |
Registered Office's | Australian & New Zealand Banking Group Limited |
Level 7 | Macquarie Bank Limited |
151 Macquarie Street | PNC Bank |
Sydney NSW 2000 AUSTRALIA | |
Telephone: +61 2 9251 1846 | |
Facsimile: +61 2 9251 0244 | Solicitors |
Clifford Chance | |
380 Southpointe Boulevard, Suite 130 | Level 16 |
Canonsburg PA 15317 USA | No. 1 O'Connell Street |
Telephone: +1 724 483 2070 | Sydney NSW 2000 |
Auditors | US Solicitors |
Nexia Australia | K&L Gates LLP |
Level 16 | K&L Gates Center |
No.1 Market Street | 210 Sixth Avenue |
Sydney NSW 2000 | Pittsburgh PA 15222-2613 |
US Auditors | Stock Exchange Listings |
Schneider Downs & Co. Inc | |
1133 Penn Avenue | Australia |
Pittsburgh PA 15222 | Australian Securities Exchange |
(Home Exchange Brisbane, Queensland) | |
ASX Code: EEG - Ordinary Shares | |
Share Registry | |
Computershare Investor Services Pty Limited | USA |
Level 3 | New York OTCQX Market: Code: EEGNY |
60 Carrington Street | Sponsor: Bank of New York |
Sydney NSW 2000 | 1 ADR for 20 Ordinary shares |
Telephone: 1300 850 505 | |
www.empireenergygroup.net | |
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Executive Chairman's Review of OperationsKEY POINTS FOR THE 6 MONTHS ENDING 30 JUNE 2016
Group EBITDAX $1.4 million (30 June 2015: $2.2 million).
After tax profit was $13.6 million (after write-back of previously impaired assets plus the addition of new assets).
Production 1,109 Boe/d (30 June 2015:1,151 Boe/d).
2P PV10 59% higher at $70.8mm (compared to 2015 report at $44.5mm).
2P reserves 8% higher at 13.7 MMBoe (compared to 2015 report at 12.7MMBoe).
McArthur Basin Prospective Resource increased P(50)* of 2,068 MMBoe.
Cash flow positive at current oil and gas prices
Net tangible assets per share $0.10 (30 June 2015: $0.13)
* "Prospective Resource"- is the estimated quantities of petroleum that may potentially be recovered by the application of a future development project(s) relate to undiscovered accumulations. These estimates have both an associated risk of discovery and a risk of development. Further exploration appraisal and evaluation is required to determine the existence of a significant quantity of potentially moveable hydrocarbons.
Valuation of assets
At December 31, 2015 due to prevailing oil and gas prices and production environment, it was determined that a majority of undeveloped locations were uneconomic at the time. At June 30, 2016, with an improved production environment for both oil and gas, slightly improved prices, the addition of new reserves through updated seismic and additional leases, a newly engineered water flood program and a review of behind pipe opportunities, the Company undertook a review of reserves at the half year. 2P reserves increased by 1.0MMBoe to 13.7MMBoe and the PV10 for 2P reserves increased by 59% to $70.8 million. This led to a non- cash write-back of approximately $20.6 million against the December 31, 2015 asset impairment charge of
$22.2 million.
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Empire Energy Group Ltd. published this content on 13 September 2016 and is solely responsible for the information contained herein.
Distributed by Public, unedited and unaltered, on 14 September 2016 01:25:02 UTC.
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