Welcome!

News Feed Item

CYGAM Announces Q2 Financial Results and Quarterly Filings

CALGARY, ALBERTA -- (Marketwired) -- 08/12/14 -- CYGAM Energy Inc. (TSX VENTURE: CYG) ("CYGAM", or the "Company"), an emerging oil and gas company with interests in Tunisia and Italy, has filed its Shareholder Report, Interim Financial Results and Management Discussion & Analysis for the three and six months ended June 30, 2014 pursuant to the requirements of the applicable securities laws. These filings may be viewed on the Company's web site (www.cygamenergy.com) or at www.sedar.com.

CYGAM's Q2 results showed the impact of continued strong cashflow arising from the TT Field that is contained within the Bir Ben Tartar ("BBT") Concession in the Sud Remada Permit.

Under the production sharing contract established for the Sud Remada Permit with the Tunisian state oil company, Enterprise Tunisienne d'Activities Petrolieres ("ETAP"), CYGAM holds a 14 percent working interest through its wholly owned subsidiary Rigo Oil Company Tunisia Ltd., in partnership with Storm Ventures International, a subsidiary of Chinook Energy Inc. ("Chinook"), who holds the remaining 86 percent working interest and operates.

Highlights of the quarter


    --  Gross production from the TT Field averaged 2,688 bopd (236 bopd
        CYGAM net, post ETAP);

    --  Oil net revenue was $2,058,216, compared to $2,267,559 for the three
        months ended June 30, 2013;

    --  Operating netbacks were $70.32 per barrel (on revenue of $118.28 per
        barrel with operating costs of $47.96 per barrel);

    --  Net loss of $1,199,106 compared to compared to a loss of $626,911
        for the three months ended June 30, 2013;

    --  The June 30, 2014 results included a provision of $339,498 with
        respect to oil export taxes in Tunisia, which the Company expects to
        recover from ETAP but has expensed due the uncertainty of timing of
        recovery, and an impairment provision of $432,960 relating to
        certain equipment and inventory in Tunisia.

A more detailed discussion of the results is included in the MD&A and report to shareholders, available on the Company's web site or SEDAR.

SELECTED FINANCIAL INFORMATION



----------------------------------------------------------------------------
                               Three Months ended          Six Months ended
                                         June 30,                  June 30,
                                2014         2013         2014         2013
----------------------------------------------------------------------------

Oil sales - Tunisia      $ 2,058,216  $ 2,267,559  $ 4,241,077  $ 4,036,951
Other income                     246        2,493        1,630        5,912
----------------------------------------------------------------------------
                           2,058,462    2,270,052    4,242,707    4,042,863

Operating costs              834,553      662,440    1,521,164    1,116,630
General and
 administrative              558,040      577,082    1,102,972    1,187,273
Stock based compensation      25,976       31,947       49,480       62,311
Financing costs              239,295       24,708      293,655       46,663
Impairment write-down        432,960      531,032      566,028      531,032
Exploration expense           13,109       48,760       28,921      102,880
Permit penalty                     -            -    3,316,500            -
Export taxes                 339,498            -      339,498            -
Depletion and
 depreciation                814,260    1,020,994    1,668,076    1,742,216
----------------------------------------------------------------------------
                           3,257,692    2,896,963    8,886,295    4,789,005

Net loss                  (1,199,230)    (626,911)  (4,643,588)    (746,142)
----------------------------------------------------------------------------

Per share - basic and
 diluted                 $     (0.01) $     (0.01) $     (0.04) $     (0.01)

Total non-current
 financial liabilities   $ 2,134,000  $         -  $ 2,134,000  $         -
Total assets             $20,521,721  $20,404,667  $20,521,721  $20,404,667

OPERATING



----------------------------------------------------------------------------
                             Three Months ended            Six Months ended
                                       June 30,                    June 30,
                             2014          2013          2014          2013
----------------------------------------------------------------------------

Oil revenues         $  2,058,216  $  2,267,559  $  4,241,077  $  4,036,951
Operating costs      $   (834,553) $   (662,440) $ (1,521,164) $ (1,116,630)
----------------------------------------------------------------------------
Net operating income $  1,223,662  $  1,605,119  $  2,719,913  $  2,920,321

Depletion and
 depreciation        $    814,260  $  1,020,994  $  1,668,076  $  1,742,216

Revenue per boe      $     118.28  $     104.50  $     118.32  $     107.52
Operating costs per
 boe                 $      47.96  $      30.53  $      42.44  $      29.74
----------------------------------------------------------------------------

Operating income per
 boe                 $      70.32  $      73.97  $      75.87  $      77.78

----------------------------------------------------------------------------

(1) Net operating income and netback are non-IFRS measures. Net operating income and netback is defined as revenue less operating costs.

(2) Since ETAP pays all taxes and royalties from its share of production, net operating income is effectively after tax to the Company.

Outlook

The majority of the planned 2014 capital expenditure program has been completed and fully funded. Remaining minor capital investment for the balance of 2014 related to infrastructure upgrades is expected be funded from cashflow. Excess free cash flow generated will be used to progressively pay down debt.

We remain focussed on risk management of our existing assets and ways to protect and maximize shareholder value. The Company is also considering other strategic alternatives which may include re-financing, merger or outright sale of the Company. No financial advisor has been appointed at this time.

This press release should be read in conjunction with the unaudited consolidated interim financial statements for the three and six month periods ended June 30, 2014 and the associated management's discussion and analysis ("MD&A") for the same period together with the Company's audited consolidated financial statements for the years ended December 31, 2013 and 2012 and management's discussion and analysis (MD&A) for the year ended December 31, 2013, including, without limitation, the cautionary statements regarding forward-looking information contained therein.

About CYGAM Energy Inc.

CYGAM is a Calgary based exploration company with extensive international exploration permits and a producing property in Tunisia. The main focus of CYGAM is the acquisition, exploration and development of international oil and gas permits, primarily in Italy and Tunisia. CYGAM currently holds various interests in five exploratory permits in Italy plus two exploratory permits and the BBT Production Concession in Tunisia which together encompass a total of approximately 1.4 million gross acres.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

More Stories By Marketwired .

Copyright © 2009 Marketwired. All rights reserved. All the news releases provided by Marketwired are copyrighted. Any forms of copying other than an individual user's personal reference without express written permission is prohibited. Further distribution of these materials is strictly forbidden, including but not limited to, posting, emailing, faxing, archiving in a public database, redistributing via a computer network or in a printed form.

Latest Stories
DevOps is often described as a combination of technology and culture. Without both, DevOps isn't complete. However, applying the culture to outdated technology is a recipe for disaster; as response times grow and connections between teams are delayed by technology, the culture will die. A Nutanix Enterprise Cloud has many benefits that provide the needed base for a true DevOps paradigm.
Big Data, cloud, analytics, contextual information, wearable tech, sensors, mobility, and WebRTC: together, these advances have created a perfect storm of technologies that are disrupting and transforming classic communications models and ecosystems. In his session at @ThingsExpo, Erik Perotti, Senior Manager of New Ventures on Plantronics’ Innovation team, provided an overview of this technological shift, including associated business and consumer communications impacts, and opportunities it m...
For organizations that have amassed large sums of software complexity, taking a microservices approach is the first step toward DevOps and continuous improvement / development. Integrating system-level analysis with microservices makes it easier to change and add functionality to applications at any time without the increase of risk. Before you start big transformation projects or a cloud migration, make sure these changes won’t take down your entire organization.
WebRTC is about the data channel as much as about video and audio conferencing. However, basically all commercial WebRTC applications have been built with a focus on audio and video. The handling of “data” has been limited to text chat and file download – all other data sharing seems to end with screensharing. What is holding back a more intensive use of peer-to-peer data? In her session at @ThingsExpo, Dr Silvia Pfeiffer, WebRTC Applications Team Lead at National ICT Australia, looked at differ...
With major technology companies and startups seriously embracing IoT strategies, now is the perfect time to attend @ThingsExpo 2016 in New York. Learn what is going on, contribute to the discussions, and ensure that your enterprise is as "IoT-Ready" as it can be! Internet of @ThingsExpo, taking place June 6-8, 2017, at the Javits Center in New York City, New York, is co-located with 20th Cloud Expo and will feature technical sessions from a rock star conference faculty and the leading industry p...
SYS-CON Events announced today that IoT Now has been named “Media 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. IoT Now explores the evolving opportunities and challenges facing CSPs, and it passes on some lessons learned from those who have taken the first steps in next-gen IoT services.
The Internet of Things can drive efficiency for airlines and airports. In their session at @ThingsExpo, Shyam Varan Nath, Principal Architect with GE, and Sudip Majumder, senior director of development at Oracle, discussed the technical details of the connected airline baggage and related social media solutions. These IoT applications will enhance travelers' journey experience and drive efficiency for the airlines and the airports.
SYS-CON Events announced today that WineSOFT 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. Based in Seoul and Irvine, WineSOFT is an innovative software house focusing on internet infrastructure solutions. The venture started as a bootstrap start-up in 2010 by focusing on making the internet faster and more powerful. WineSOFT’s knowledge is based on the expertise of TCP/IP, VPN, SSL, peer-to-peer, mob...
DevOps is being widely accepted (if not fully adopted) as essential in enterprise IT. But as Enterprise DevOps gains maturity, expands scope, and increases velocity, the need for data-driven decisions across teams becomes more acute. DevOps teams in any modern business must wrangle the ‘digital exhaust’ from the delivery toolchain, "pervasive" and "cognitive" computing, APIs and services, mobile devices and applications, the Internet of Things, and now even blockchain.
A strange thing is happening along the way to the Internet of Things, namely far too many devices to work with and manage. It has become clear that we'll need much higher efficiency user experiences that can allow us to more easily and scalably work with the thousands of devices that will soon be in each of our lives. Enter the conversational interface revolution, combining bots we can literally talk with, gesture to, and even direct with our thoughts, with embedded artificial intelligence, whic...
WebRTC sits at the intersection between VoIP and the Web. As such, it poses some interesting challenges for those developing services on top of it, but also for those who need to test and monitor these services. In his session at WebRTC Summit, Tsahi Levent-Levi, co-founder of testRTC, reviewed the various challenges posed by WebRTC when it comes to testing and monitoring and on ways to overcome them.
Have you ever noticed how some IT people seem to lead successful, rewarding, and satisfying lives and careers, while others struggle? IT author and speaker Don Crawley uncovered the five principles that successful IT people use to build satisfying lives and careers and he shares them in this fast-paced, thought-provoking webinar. You'll learn the importance of striking a balance with technical skills and people skills, challenge your pre-existing ideas about IT customer service, and gain new in...
SYS-CON Events announced today that Catchpoint Systems, Inc., a provider of innovative web and infrastructure monitoring solutions, has been named “Silver Sponsor” of SYS-CON's DevOps Summit at 18th Cloud Expo New York, which will take place June 7-9, 2016, at the Javits Center in New York City, NY. Catchpoint is a leading Digital Performance Analytics company that provides unparalleled insight into customer-critical services to help consistently deliver an amazing customer experience. Designed ...
Tintri VM-aware storage is the simplest for virtualized applications and cloud. Organizations including GE, Toyota, United Healthcare, NASA and 6 of the Fortune 15 have said "No to LUNs." With Tintri they manage only virtual machines, in a fraction of the footprint and at far lower cost than conventional storage. Tintri offers the choice of all-flash or hybrid-flash platform, converged or stand-alone structure and any hypervisor. Rather than obsess with storage, leaders focus on the business app...
SYS-CON Events announced today that CA Technologies has been named “Platinum 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, 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. CA Technologies helps customers succeed in a future where every business – from apparel to energy – is being rewritten by software. From ...