2 weeks Ago By [email protected] (MENAFN)
Third Quarter 2024 Highlights: Operations Update: Epsilon's capital expenditures were $3.9 million for the quarter ended September 30, 2024. These were primarily related to the completion of one gross (0.
25 net) well in Ector Co., Texas and the drilling of two gross (1 net) wells in Alberta, Canada. The Marcellus wells (7 gross) completed in Q1 2024 were not turned in line during the quarter.
Three of the seven wells were put on flowback during the last week of October and are now producing approximately 60 MMcf per day gross. Our operating partner in PA has maintained production curtailments. We estimate that 3-4 MMcf per day of NRI production was offline during the quarter.
Jason Stabell, Epsilon's Chief Executive Officer, commented,“We delivered our fourth consecutive quarter of liquids volume, revenue and cash flow growth from our Permian assets continuing to fill the gap while we wait for an improved natural gas pricing environment. In Pennsylvania, we are expecting increased production and cash flow in the fourth quarter and next year aided by improving natural gas fundamentals. Our diversified and growing asset portfolio is well positioned to produce volume and cash flow growth in 2025.
The recently announced entry into Alberta, Canada provides an attractive new area to deploy capital starting in in the fourth quarter. We will provide an update on our 2025 Canadian investment plans once finalized with our operating partner. Finally, our diversified assets, strong balance sheet and liquidity continue to differentiate us in the small cap energy space.
” Current Hedge Book: Earning's Call: The Company will host a conference call to discuss its results on Thursday, November 7, 2024 at 2:00 p.m. Central Time (3:00 p.
m. Eastern Time). Interested parties in the United States and Canada may participate toll-free by dialing (833) 816-1385.
International parties may participate by dialing (412) 317-0478. Participants should ask to be joined to the“Epsilon Energy Third Quarter 2024 Earnings Conference Call.” A webcast can be viewed at: .
A webcast replay will be available on the Company's website ( ) following the call. About Epsilon Epsilon Energy Ltd. is a North American onshore natural gas and oil production and gathering company with assets in Pennsylvania, Texas, Alberta CA, New Mexico, and Oklahoma.
Forward-Looking Statements Certain statements contained in this news release constitute forward looking statements. The use of any of the words“anticipate”,“continue”,“estimate”,“expect”, 'may”,“will”,“project”,“should”, 'believe”, and similar expressions are intended to identify forward-looking statements. These statements involve known and unknown risks, uncertainties and other factors that may cause actual results or events to differ materially from those anticipated.
Forward-looking statements are based on reasonable assumptions, but no assurance can be given that these expectations will prove to be correct and the forward-looking statements included in this news release should not be unduly relied upon. Contact Information: 281-670-0002 Jason Stabell Chief Executive Officer ..
. Andrew Williamson Chief Financial Officer ..
. Epsilon defines Adjusted EBITDA as earnings before (1) net interest expense, (2) taxes, (3) depreciation, depletion, amortization and accretion expense, (4) impairments of natural gas and oil properties, (5) non-cash stock compensation expense, (6) gain or loss on derivative contracts net of cash received or paid on settlement, and (7) other income. Adjusted EBITDA is not a measure of financial performance as determined under U.
S. GAAP and should not be considered in isolation from or as a substitute for net income or cash flow measures prepared in accordance with U.S.
GAAP or as a measure of profitability or liquidity. Additionally, Adjusted EBITDA may not be comparable to other similarly titled measures of other companies. Epsilon has included Adjusted EBITDA as a supplemental disclosure because its management believes that EBITDA provides useful information regarding its ability to service debt and to fund capital expenditures.
It further provides investors a helpful measure for comparing operating performance on a "normalized" or recurring basis with the performance of other companies, without giving effect to certain non-cash expenses and other items. This provides management, investors and analysts with comparative information for evaluating the Company in relation to other natural gas and oil companies providing corresponding non-U.S.
GAAP financial measures or that have different financing and capital structures or tax rates. These non-U.S.
GAAP financial measures should be considered in addition to, but not as a substitute for, measures for financial performance prepared in accordance with U.S. GAAP.
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