Delivers Record Quarterly Review of $2.3 Million
Sydney, Jan 31, 2013 AEST (ABN Newswire) - United States mid-continent focused oil & gas producer AusTex Oil Limited (
ASX:AOK) (OTCQX:ATXDY) is pleased report record revenue of $US2.3 million for the quarter ended 31 December 2012. This represents a 70% increase on the revenue over the prior a quarter, and a 256% increase on revenue recorded for the FY2011 December quarter - $641,000.
The solid revenue performance was driven by continuing growth in monthly oil & gas production from the company's 100%-owned flagship Snake River Project in Northern Oklahoma, and from revenue derived from AusTex's participations in the two wells with Range Resources (NYSE: RRC), also in Oklahoma.
AusTex now has 11 producing wells (nine vertical wells and participation in two horizontal wells) in Oklahoma and six producing vertical wells in Kansas. The number of producing wells is expected to grow in the months ahead as the company rolls out its development program and ramps up its well participation program with Range Resources and other potential partners.
AusTex Managing Director Daniel Lanskey commented: "Our successful vertical well development program is now starting to generate pleasing revenue flows. It is encouraging to note that average monthly cash generation now exceeds fixed monhtly operating costs, while managing costs remains a key focus."
"We are confident that revenue will continue to grow each quarter given our aggressive vertical well development program at Snake River, our horizontal well participation program with Range Resources, and the planned ramp-up in drilling activities in Kansas. As such, AusTex has multiple avenues to grow its revenue."
"We have a very active well development program underway and we committed to our program of drilling two or more vertical wells each month. Participation opportunities and developing our Kansas assets offers further upside and will unlock additional value for shareholders."
About AusTex Oil Limited
AusTex Oil Limited (ASX:AOK) (OTCQX:ATXDY) is a Public Company listed on the Australian Securities Exchange (ASX) and the OTCQX.
AusTex is focused on exploration and development of oil and gas leases in the USA. The company produces oil and gas in Oklahoma and Kansas and is currently developing producing leases in both states with interests in 11,600 net acres of oil and gas leases in the Mississippi Lime Play. The Company has net production of circa 800 boe/day with Independent 1P reserves certified at 3.505 Million BOE with NPV10 of US34.8 million as at 31 December 2015.
US operations are based in Tulsa, Oklahoma, with an office at 1801 East 71st Street. International Energy Corporation (Oklahoma) is a wholly owned subsidiary and a licensed oil and gas operator in Oklahoma and Kansas.
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