Marquee Energy Ltd. reported earnings results for the second quarter and six months ended June 30, 2016. For the quarter, the company reported Oil and natural gas sales were CAD 8,344,000 against CAD 16,082,000 reported last year. Funds flow from operations was CAD 470,000 or against CAD 6,316,000 reported last year. Net income was CAD 1,043,000 or CAD 0.01 basic and diluted against net loss of CAD 4,750,000 or CAD 0.04 basic and diluted reported last year. Capital expenditures was CAD 377,000 against CAD 949,000 reported last year. Net debt was CAD CAD 44,275,000 against CAD 48,829,000 reported last year.

For the six months, the company reported Oil and natural gas sales were CAD 16,093,000 against CAD 30,192,000 reported last year. Funds flow from operations was CAD 1,862,000 or CAD 0.02 basic and diluted against CAD 13,320,000 or CAD 0.11 basic and diluted reported last year. Net loss was CAD 6,875,000 or CAD 0.06 basic and diluted against CAD 8,881,000 or CAD 0.07 basic and diluted reported last year. Capital expenditures were CAD 477,000 against CAD 7,576,000 reported last year. Net debt was CAD CAD 44,275,000 against CAD 48,829,000 reported last year.

For the quarter, the company reported daily sales volume of oil was 1,265 bbls per day against 1,711 bbls per day a year ago. Heavy oil was 261 bbls per day against 622 bbls per day a year ago. NGL's was 136 bbls per day against 185 bbls per day a year ago. Natural gas was 12,864 mcf per day against 15,599 mcf per day a year ago. Operating net back was CAD 6.48 against CAD 18.12 a year ago.

For the six months, the company reported daily sales volume of oil was 1,361 bbls per day against 1,730 bbls per day a year ago. Heavy oil was 334 bbls per day against 696 bbls per day a year ago. NGL's was 147 bbls per day against 206 bbls per day a year ago. Natural gas was 13,657 mcf per day against 16,163 mcf per day a year ago. Operating net back was CAD 6.94 against CAD 18.23 a year ago.

The company currently expects to spend between CAD 3.5 and CAD 5.0 million on capital costs in 2016. In the first eight months of 2016, the oil industry has faced significant headwinds due to the prolonged downward pressure on oil and gas prices resulting from an oversupply of world oil markets. Marquee is fortunate to own a low-cost oil focused asset base which allows the company to mitigate some of its exposure to volatility in commodity prices, while also positioning it for strong growth as commodity pricing improves.