Sundance Energy Australia Limited Reports First Quarter 2016 Results

DENVER, April 29, 2016 (GLOBE NEWSWIRE) -- Sundance Energy Australia Limited (ASX:SEA) (“Sundance” or the “Company”), a U.S. onshore oil and gas exploration and production company focused in the Eagle Ford and Greater Anadarko Basin, reported its unaudited first quarter 2016 results as filed with the Australian Securities Exchange (ASX).

First Quarter 2016 Financial Results

• Adjusted EBITDAX of $9.8 million in the first quarter 2016 with an EBITDAX margin of 87.5%, achieved through implementation of various measures to reduce cash operating costs and realization of gains from the Company’s commodity hedging program.     
• Cash operating costs were reduced 14% from $14.17 / Boe for the year ended December 31, 2015 to $12.26/ Boe for the first quarter 2016 through field-level operational changes and a 30% headcount reduction combined with salary reductions.   
• As of the date of this report, the Company’s oil hedges covered a total of 2.0 million bbls through 2019 with a weighted average floor of $50.00 and ceiling of $59.37.   

First Quarter 2016 Operational Highlights

• Net oil, natural gas and natural gas liquids (“NGLs”) production, including flared gas, totaled 573,625 Boe, or 6,304 Boe/d for the first quarter 2016. 
• Company reaffirms the full-year guidance of 6,800 – 7,400 Boe/d as several well completions are scheduled for remainder of 2016 and Company expects to increase production from existing wells through various operational optimization projects that are in progress. 
• 21 gross (11.5 net) horizontal wells were waiting on completion at March 31, 2016, of which 8 gross (7.7 net) were Sundance-operated.
• Development expenditures totaled $2.1 million for the first quarter 2016, focused on pump installations and other production enhancement operations as well as capital expenditures related to various field optimization projects targeted at increasing sales or reducing LOE. 

The following table reflects production volumes, revenues and pricing compared to the corresponding period in the prior year.

The following table summarizes Adjusted EBITDAX, and operating costs on an actual (in US thousands) and per unit basis.

Additional Information

⁽¹⁾ We define “Adjusted EBITDAX” as earnings before interest expense, restructuring charges, income taxes, depreciation, depletion and amortization, property impairments, gain/(loss) on sale of non-current assets, exploration expense, share based compensation and income and gains and losses on commodity hedging, net of settlements of commodity hedging.

The Company reports under International Financial Reporting Standards (IFRS).  All amounts are reported in US dollars unless otherwise noted. 

The Company’s full Unaudited Activities Report for the Quarter Ended March 31, 2016 can be found at www.sundanceenergy.net. 

The Company’s 2015 Annual Report was filed with the ASX on March 31, 2016 and can be found at www.sundanceenergy.net.

About Sundance Energy Australia Limited

Sundance Energy Australia Limited (“Sundance” or the “Company”) is an Australian-based, independent energy exploration company, with a wholly owned US subsidiary, Sundance Energy Inc., located in Denver, Colorado, USA.

The Company is focused on the acquisition and development of large, repeatable oil and natural gas resource plays in North America. Current activities are focused in the Eagle Ford and Greater Anadarko Basins.  A comprehensive overview of the Company can be found on Sundance’s website at www.sundanceenergy.net.

Summary Information

The following disclaimer applies to this document and any information contained in it. The information in this release is of general background and does not purport to be complete. It should be read in conjunction with Sundance’s periodic and continuous disclosure announcements lodged with ASX Limited that are available at www.asx.com.au and Sundance’s filings with the Securities and Exchange Commission available at www.sec.gov/edgar.  

Forward Looking Statements

This release may contain forward-looking statements. These statements relate to the Company’s expectations, beliefs, intentions or strategies regarding the future. These statements can be identified by the use of words like “anticipate”, “believe”, “intend”, “estimate”, “expect”, “may”, “plan”, “project”, “will”, “should”, “seek” and similar words or expressions containing same.

These forward-looking statements reflect the Company’s views and assumptions with respect to future events as of the date of this release and are subject to a variety of unpredictable risks, uncertainties, and other unknowns. Actual and future results and trends could differ materially from those set forth in such statements due to various factors, many of which are beyond our ability to control or predict. These include, but are not limited to, risks or uncertainties associated with our the discovery and development of oil and natural gas reserves, cash flows and liquidity, business and financial strategy, budget, projections and operating results, oil and natural gas prices, amount, nature and timing of capital expenditures, including future development costs, availability and terms of capital and general economic and business conditions. Given these uncertainties, no one should place undue reliance on any forward looking statements attributable to Sundance, or any of its affiliates or persons acting on its behalf.  Although every effort has been made to ensure this release sets forth a fair and accurate view, we do not undertake any obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

For more information, please contact:
United States
Eric McCrady, Managing Director 
Tel: +1 (303) 543 5703

Australia
Mike Hannell, Chairman
Tel: +61 8 8363 0388

News by QuoteMedia

www.quotemedia.com