Sanchez Energy Reports Q4 Earnings; Revenues Skyrocket

Sanchez EnergySN reported is fourth quarter and full year results this afternoon, Wednesday, March 5, 2014; the company reported record fourth quarter revenues which rose 679 percent on 904 percent higher production. Shares of the company are up about $0.36 per share or 1.22 percent. Sanchez Energy is a rapidly growing independent oil and gas company targeting onshore U.S. Gulf Coast oil resource plays with a current focus on the Eagle Ford Shale and the Tuscaloosa Marine Shale. Record revenues of $130.1 million were reported, an increase of 38% over the third quarter of 2013 and an increase of 679% over the same period a year ago. Tony Sanchez, III, President and Chief Executive Officer of Sanchez Energy, commented on the earnings report: "We achieved many important milestones over the course of 2013, both financially and operationally. We delivered significant growth with respect to production, proved reserves and assets while maintaining a strong balance sheet and financial liquidity. During the year, production increased from an average of 1,900 BOE/d in the fourth quarter of 2012 to almost 19,000 BOE/d in the fourth quarter of 2013. We grew our base of reserves substantially during the same period, ending the year with proved reserves of 58.7 MMBOE, which have a PV-10 of $1.47 billion. We expect to steadily grow our production and reserves while preserving a strong financial foundation. In February, our lending banks completed a regularly scheduled borrowing base review of our revolving credit facility. Effective February 28, 2014, our borrowing base was increased to $400 million. We decided to elect a lower commitment of $325 million as we do not anticipate a need for a higher borrowing base at this time. However, we have the ability to increase the elected commitment up to $400 million should we determine it is appropriate to do so. This increase in our potential borrowing base is a result of our reserve growth and the growing percentage of our proved developed producing reserves as compared to total proved reserves." Overall, the company is producing at an ever-expanding rate, and shares have rocketed 10 percent within a month's time period alone.
Market News and Data brought to you by Benzinga APIs
Comments
Loading...
Date
ticker
name
Actual EPS
EPS Surprise
Actual Rev
Rev Surprise
Posted In: EarningsNewsGuidance
Benzinga simplifies the market for smarter investing

Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.

Join Now: Free!