|By Marketwired .||
|May 15, 2014 07:11 PM EDT||
PLANO, TX--(Marketwired - May 15, 2014) - In the news release, "Torchlight Energy Reports First Quarter 2014 Earnings," issued earlier today by Torchlight Energy Resources, Inc. (NASDAQ: TRCH), please be advised that the three financial tables have been replaced. Complete corrected text follows.
Torchlight Energy Reports First Quarter 2014 Earnings
PLANO, TX -- March 15, 2014 -- Torchlight Energy Resources, Inc. (NASDAQ: TRCH) ("Torchlight Energy" or "the Company"), a rapidly growing mid-continent oil and gas company, today reported its first quarter results for the three months ended March 31, 2014. The Company filed a 10-Q with the U.S. Securities and Exchange Commission for the first quarter of 2014 on May 15, 2014.
First Quarter 2014 Highlights
- Revenues increased 198% to $0.64 million revenues for first quarter 2014 vs. 2013
- 15 producing wells at March 31, 2014 with net 250 BOEPD
- Drilling programs for all five initial wells with Ring Energy underway
- Increased total acreage in the Hunton play to over 25,000 gross acres across 5 AMIs
- Raised $7 million of capital through the sale of common stock in Q1 2014
"We remain on target with our exploration and production goals for 2014," stated Tom Lapinski, Chief Executive Officer of Torchlight Energy. "By taking smaller working interests in a number of projects in several prospective areas, we have been able to aggressively drill more lower risk wells without deploying significant amounts of capital on a per well basis. However, as we continue throughout the year, our working interest percentages should increase as we start to drill in new AMIs."
The Company had $22.2 million of assets and $12.8 million shareholders' equity at March 31, 2014 compared to $16.7 million and $9.2 million, respectively, at December 31, 2013.
Torchlight Energy currently has interests in four main oil and gas projects:
1. Marcelina Creek Field Development in Wilson County, Texas
2. Ring Energy Joint Venture in Southwest Kansas
3. Hunton play in partnership with Husky Ventures in Central Oklahoma
4. Smokey Hills Prospect in McPherson County, Kansas
Torchlight Energy commenced drilling its initial 5-well program in Southwest Kansas in February 2014. This program, which is part of a joint venture agreement with Ring Energy, Inc., entails drilling vertical wells in Mississippian targets. Results have not yet been announced.
As of March 31, 2014, Torchlight Energy has five AMIs with Husky Ventures: the Cimarron Trail; the Chisolm Trail; the Viking Prospect in Central Oklahoma; the Rosedale Prospect interest in ten townships in South Central Oklahoma; and Prairie Grove prospect, the most recent AMI the Company entered into in February 2014. Total prospective acreage across all AMIs is approaching 300,000 acres. Torchlight is actively producing in 15 wells, drilling 5 wells, and fracking or flowing back 5 additional wells across all of its AMIs with Husky Ventures.
The Company acquired an 18% working interest in the Smokey Hills Prospect in McPherson County, Kansas that included approximately 10,000 gross acres and a well, the Hoffman 1-H. Torchlight plans to increase its working interest to approximately 50% and drill 10 vertical wells in this area during late second quarter or early third quarter 2014.
Drilling plans for the next 90 to 120 days are progressing as planned. The Company expects to continue its program of 5 wells per month with Husky, going to 6 sometime in early third quarter 2014, continue its drill program in SW Kansas with Ring Energy, drill another Austin Chalk horizontal well in South Texas starting in June or early July 2014 and lastly, Torchlight expects to begin its Central Kansas operated play by early third quarter 2014.
The Company is actively engaged in discussions for additional $20 to $25 million of debt financing in order to meet drilling capital needs for all of its programs. Looking beyond 2014 all future drilling needs are expected be met out of cash flow from continuing operations and/or borrowing capability on a traditional reserve based line of credit.
Management will host a conference call at 4:15 p.m. ET on May 15, 2014 to discuss its first quarter 2014 earnings results.
Date: Thursday, May 15, 2014
Time: 4:15 pm ET
Dial-in (US): 877-941-1429
Dial-in (International): 480-629-9857
Conference ID: 4683113
A replay of the call will be available after 7:30 pm ET May 15, 2014. To access the replay, use 877-870-5176 for U.S. callers and 858-384-5517 for international callers. The PIN number is 4683113.
About Torchlight Energy
Torchlight Energy Resources, Inc. (NASDAQ: TRCH), based in Plano, Texas, is a high growth oil and gas Exploration and Production (E&P) company with a primary focus on acquisition and development of highly profitable domestic oil fields. The company currently holds interests in Texas, Kansas and Oklahoma where their targets are established plays such as the Eagle Ford Shale, Mississippi Limestone and Hunton Limestone trends. For additional information on the company, please visit www.torchlightenergy.com.
Forward Looking Statement
This news release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. These statements may involve risks and uncertainties that could cause actual results to differ materially from those described in such statements. Such forward-looking statements involve known and unknown risks and uncertainties, including risks associated with the company's ability to obtain additional capital in the future to fund planned expansion, the demand for oil and natural gas, general economic factors, competition in the industry and other factors that may cause actual results to be materially different from those described herein as anticipated, believed, estimated or expected. The company is under no obligation (and expressly disclaims any such obligation) to update or alter its forward-looking statements whether as a result of new information, future events or otherwise.
TORCHLIGHT ENERGY RESOURCES, INC. CONSOLIDATED CONDENSED BALANCE SHEETS March 31, December 31, 2014 2013 (Unaudited) (Audited) ------------- ------------- ASSETS Current assets: Cash $ 1,873,388 $ 1,811,713 Accounts receivable 629,636 429,699 Note receivable 129,820 - Prepaid costs 53,823 9,144 ------------- ------------- Total current assets 2,686,667 2,250,556 Investment in oil and gas properties, net 17,964,852 13,038,751 Office Equipment 27,453 11,604 Debt issuance costs, net 999,712 920,947 Goodwill 447,084 447,084 Other Assets 74,081 74,379 ------------- ------------- TOTAL ASSETS $ 22,199,849 $ 16,743,321 ============= ============= LIABILITIES AND STOCKHOLDERS' EQUITY Current liabilities: Accounts payable $ 2,064,080 $ 985,123 Accrued liabilities 240,000 - Related party payables 90,000 90,000 Convertible promissory notes, net of discount of $3,895,347 at March 31, 2014 5,425,910 - Notes payable within one year 772,397 753,904 Due to working interest owners 444,303 580,484 Interest payable 298,520 309,498 ------------- ------------- Total current liabilities 9,335,210 2,719,009 Convertible promissory notes, net of discount of $5,500,462 at December 31, 2013 - 4,802,711 Asset retirement obligation 24,916 24,382 Commitments and contingencies - - Stockholders' equity: Common stock, par value $0.001 per share; 75,000,000 shares authorized; 18,345,308 issued and outstanding at March 31, 2014; 16,141,765 issued and outstanding at December 31, 2013 18,346 16,142 Additional paid-in capital 28,917,918 21,978,616 Warrants outstanding 7,306,170 3,043,420 Accumulated deficit -23,402,711 -15,840,959 ------------- ------------- Total stockholders' equity 12,839,723 9,197,219 ------------- ------------- TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY $ 22,199,849 $ 16,743,321 ============= =============
TORCHLIGHT ENERGY RESOURCES, INC. CONSOLIDATED STATEMENTS OF OPERATIONS THREE MONTHS THREE MONTHS ENDED ENDED March 31, March 31, 2014 2013 (Unaudited) (Unaudited) ------------- ------------- Revenue Oil and gas sales $ 642,970 $ 229,204 Royalties 39,165 - Cost of revenue (179,051) (68,000) ------------- ------------- Gross income 503,084 161,204 Operating expenses: General and administrative expense 5,821,068 533,549 Depreciation, depletion and amortization 334,331 116,847 ------------- ------------- Total operating expenses 6,155,399 650,396 Other income (expense) Interest income 50 - Interest and accretion expense (1,909,487) (169,001) ------------- ------------- Total other income (expense) (1,909,437) (169,001) Net loss before taxes (7,561,752) (658,193) Provision for income taxes - - ------------- ------------- Net (loss) $ (7,561,752) $ (658,193) ============= ============= Loss per share: Basic and Diluted $ (0.48) $ (0.05) ============= ============= Weighted average shares outstanding: Basic and Diluted 15,741,749 13,634,482 ============= =============
TORCHLIGHT ENERGY RESOURCES, INC. CONSOLIDATED STATEMENTS OF CASH FLOW (Unaudited) THREE MONTHS THREE MONTHS ENDING ENDING March 31, March 31, 2014 2013 ------------- ------------- Cash Flows From Operating Activities Net (loss) $ (7,561,752) $ (658,193) Adjustments to reconcile net loss to net cash from operations: Stock based compensation 4,393,375 131,005 Accretion of convertible note discounts 1,605,025 138,194 Depreciation, depletion and amortization 334,331 116,847 Change in: Accounts receivable (199,937) 30,981 Note receivable (129,820) - Prepaid expenses (44,679) (11,538) Other assets 298 - Accounts payable and accrued liabilities 1,318,957 146,750 Related party payable - 4,852 Due to working interest owners (136,181) - Asset retirement obligation 534 - Interest payable (24,168) 42,369 ------------- ------------- Net cash used in operating activities (444,017) (58,733) ------------- ------------- Cash Flows From Investing Activities Investment in oil and gas properties (5,247,243) (198,918) Acquisition of office equipment (15,849) - ------------- ------------- Net cash used in investing activities (5,263,092) (198,918) ------------- ------------- Cash Flows From Financing Activities Proceeds from sale of common stock 5,570,291 - Proceeds from warrant exercise 180,000 - Proceeds from promissory notes 18,493 1,627,680 Repayment of promissory notes - (51,000) ------------- ------------- Net cash provided by financing activities 5,768,784 1,576,680 ------------- ------------- Net increase (decrease) in cash 61,675 1,319,029 Cash - beginning of period 1,811,713 63,252 ------------- ------------- Cash - end of period $ 1,873,388 1,382,281 ============= ============= Supplemental disclosure of cash flow information: Non cash transactions: Common stock issued for services $ 7,375 $ - Warrants issued in connection with promissory notes $ - $ 294,378 Warrants issued for services $ 4,464,765 $ - Beneficial conversion feature on promissory notes $ - $ 593,170 Common stock issued in conversion of promissory notes $ 981,825 $ - Common stock issued in warrant exercises $ 180,000 $ - Asset retirement obligation $ - $ - Interest paid $ 309,498 $ 5,868
SYS-CON Events announced today that Cloud Academy will exhibit at SYS-CON's 20th International Cloud Expo®, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY. Cloud Academy is the industry’s most innovative, vendor-neutral cloud technology training platform. Cloud Academy provides continuous learning solutions for individuals and enterprise teams for Amazon Web Services, Microsoft Azure, Google Cloud Platform, and the most popular cloud computing technologies. Ge...
Mar. 1, 2017 03:45 PM EST Reads: 2,123
In his keynote at 19th Cloud Expo, Sheng Liang, co-founder and CEO of Rancher Labs, discussed the technological advances and new business opportunities created by the rapid adoption of containers. With the success of Amazon Web Services (AWS) and various open source technologies used to build private clouds, cloud computing has become an essential component of IT strategy. However, users continue to face challenges in implementing clouds, as older technologies evolve and newer ones like Docker c...
Mar. 1, 2017 03:30 PM EST Reads: 2,061
Building a cross-cloud operational model can be a daunting task. Per-cloud silos are not the answer, but neither is a fully generic abstraction plane that strips out capabilities unique to a particular provider. In his session at 20th Cloud Expo, Chris Wolf, VP & Chief Technology Officer, Global Field & Industry at VMware, will discuss how successful organizations approach cloud operations and management, with insights into where operations should be centralized and when it’s best to decentraliz...
Mar. 1, 2017 03:30 PM EST Reads: 2,260
Containers have changed the mind of IT in DevOps. They enable developers to work with dev, test, stage and production environments identically. Containers provide the right abstraction for microservices and many cloud platforms have integrated them into deployment pipelines. DevOps and containers together help companies achieve their business goals faster and more effectively. In his session at DevOps Summit, Ruslan Synytsky, CEO and Co-founder of Jelastic, reviewed the current landscape of Dev...
Mar. 1, 2017 03:15 PM EST Reads: 6,684
The best way to leverage your Cloud Expo presence as a sponsor and exhibitor is to plan your news announcements around our events. The press covering Cloud Expo and @ThingsExpo will have access to these releases and will amplify your news announcements. More than two dozen Cloud companies either set deals at our shows or have announced their mergers and acquisitions at Cloud Expo. Product announcements during our show provide your company with the most reach through our targeted audiences.
Mar. 1, 2017 03:15 PM EST Reads: 2,928
SYS-CON Events announced today that Outlyer, a monitoring service for DevOps and operations teams, has been named “Bronze Sponsor” of SYS-CON's 20th International Cloud Expo®, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY. Outlyer is a monitoring service for DevOps and Operations teams running Cloud, SaaS, Microservices and IoT deployments. Designed for today's dynamic environments that need beyond cloud-scale monitoring, we make monitoring effortless so you ...
Mar. 1, 2017 03:15 PM EST Reads: 462
SYS-CON Events announced today that TMC has been named “Media Sponsor” of SYS-CON's 20th International Cloud Expo and Big Data at Cloud Expo, which will take place on June 6–8, 2017, at the Javits Center in New York City, NY, , and the 21st International Cloud Expo, which will take place October 31-November 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA. Global buyers rely on TMC’s content-driven marketplaces to make purchase decisions and navigate markets. Learn how we can he...
Mar. 1, 2017 03:15 PM EST Reads: 404
Artificial Intelligence has become a topic of intense interest throughout the cloud developer and enterprise IT communities. Accordingly, attendees at the upcoming Cloud Expo | @ThingsExpo at the Javits Center in New York, June 6-8, will find fresh new content in a new track called Cognitive Computing | Artificial Intelligence, Machine Learning, Deep Learning. Cloud Expo is still accepting submissions for this new track, so please visit www.cloudcomputingexpo.com for the latest information. 2...
Mar. 1, 2017 03:15 PM EST Reads: 318
Containers have changed the mind of IT in DevOps. They enable developers to work with dev, test, stage and production environments identically. Containers provide the right abstraction for microservices and many cloud platforms have integrated them into deployment pipelines. DevOps and Containers together help companies to achieve their business goals faster and more effectively. In his session at DevOps Summit, Ruslan Synytsky, CEO and Co-founder of Jelastic, reviewed the current landscape of D...
Mar. 1, 2017 03:00 PM EST Reads: 6,344
Bert Loomis was a visionary. This general session will highlight how Bert Loomis and people like him inspire us to build great things with small inventions. In their general session at 19th Cloud Expo, Harold Hannon, Architect at IBM Bluemix, and Michael O'Neill, Strategic Business Development at Nvidia, discussed the accelerating pace of AI development and how IBM Cloud and NVIDIA are partnering to bring AI capabilities to "every day," on-demand. They also reviewed two "free infrastructure" pr...
Mar. 1, 2017 02:45 PM EST Reads: 2,221
More and more brands have jumped on the IoT bandwagon. We have an excess of wearables – activity trackers, smartwatches, smart glasses and sneakers, and more that track seemingly endless datapoints. However, most consumers have no idea what “IoT” means. Creating more wearables that track data shouldn't be the aim of brands; delivering meaningful, tangible relevance to their users should be. We're in a period in which the IoT pendulum is still swinging. Initially, it swung toward "smart for smart...
Mar. 1, 2017 02:45 PM EST Reads: 1,030
SYS-CON Events announced today that Addteq will exhibit at SYS-CON's DevOps Summit at Cloud Expo, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY. Addteq specializes in creating innovative solutions to solve business processes through the use of DevOps automation. Addteq was founded on the firm belief that automation is essential for successful software releases. Addteq's products and services are centered around the fundamental approach of understanding the p...
Mar. 1, 2017 02:45 PM EST Reads: 122
In recent years, containers have taken the world by storm. Companies of all sizes and industries have realized the massive benefits of containers, such as unprecedented mobility, higher hardware utilization, and increased flexibility and agility; however, many containers today are non-persistent. Containers without persistence miss out on many benefits, and in many cases simply pass the responsibility of persistence onto other infrastructure, adding additional complexity.
Mar. 1, 2017 02:30 PM EST Reads: 1,976
SYS-CON Events announced today that SoftLayer, an IBM Company, has been named “Gold Sponsor” of SYS-CON's 18th Cloud Expo, which will take place on June 7-9, 2016, at the Javits Center in New York, New York. SoftLayer, an IBM Company, provides cloud infrastructure as a service from a growing number of data centers and network points of presence around the world. SoftLayer’s customers range from Web startups to global enterprises.
Mar. 1, 2017 02:30 PM EST Reads: 522
ChatOps is an emerging topic that has led to the wide availability of integrations between group chat and various other tools/platforms. Currently, HipChat is an extremely powerful collaboration platform due to the various ChatOps integrations that are available. However, DevOps automation can involve orchestration and complex workflows. In his session at @DevOpsSummit at 20th Cloud Expo, Himanshu Chhetri, CTO at Addteq, will cover practical examples and use cases such as self-provisioning inf...
Mar. 1, 2017 02:28 PM EST Reads: 149