Cobalt International Energy, Inc. Announces First Quarter 2017 Results and Provides Operational Update
As of
We expect capital expenditures to be approximately
Operational Update
In the deepwater Gulf of
Regarding the Anchor Unit, Cobalt previously announced the successful
drilling of the Anchor #4 appraisal well in the first quarter, which
encountered approximately 800 feet of net oil pay and confirmed high
quality reservoir sands high on structure. In addition, Cobalt owns a
100% working interest in two leases that are immediately south of the
current Anchor Unit, with terms currently set to expire in
As part of its first quarter financials, the operator of Shenandoah
expensed all of its capitalized costs associated with Shenandoah and
disclosed that it had “currently suspended further appraisal
activities.” As a result of this disclosure, Cobalt has determined that
Shenandoah is not making sufficient progress and that accounting
requirements therefore require Cobalt to expense all of its capitalized
costs associated with Shenandoah at this time. This has resulted in the
company expensing
With regard to
Conference Call
A conference call for investors will be held today at
The call can be accessed live over the telephone by dialing (877)
407-9039, or for international callers (201) 689-8470. A replay will be
available shortly after the call and can be accessed by dialing (844)
512-2921 or for international callers (412) 317-6671. The passcode for
the replay is 13661511. The replay will be available until
Interested parties may also listen to a simultaneous webcast of the conference call by accessing the Newsroom-Events & Speeches section of Cobalt’s website at www.cobaltintl.com. A replay of the webcast will also be available for approximately 30 days following the call.
About Cobalt
Forward-Looking Statements
This press release includes “forward-looking statements” within the
meaning of the federal securities laws, including the safe harbor
provisions of the Section 27A of the Securities Act of 1933 and Section
21E of the Securities Exchange Act of 1934 — that is, statements related
to future, not past, events. Forward-looking statements are based on
current expectations and include any statement that does not directly
relate to a current or historical fact. In this context, forward-looking
statements often address Cobalt’s expected future business and financial
performance, and often contain words such as “anticipate,” “believe,”
“may,” “will,” “aim,” “estimate,” “continue,” “intend,” “could,”
“expect,” “plan,” and other similar words. These forward-looking
statements involve certain risks and uncertainties that ultimately may
not prove to be accurate. Actual results and future events could differ
materially from those anticipated in such statements. For further
discussion of risks and uncertainties, individuals should refer to
Cobalt’s
Consolidated Statement of Operations Information:
For Three Months Ended | |||||||||
March 31, | |||||||||
2017 | 2016 | ||||||||
(In thousands except per share data) | |||||||||
Oil, natural gas and natural gas liquids revenue | $ | 9,867 | $ | 1,636 | |||||
Operating costs and expenses | |||||||||
Seismic and exploration | 7,019 | 6,063 | |||||||
Lease operating expense | 2,698 | 956 | |||||||
Dry hole costs and impairments | 237,105 | (425 | ) | ||||||
General and administrative | 18,926 | 28,456 | |||||||
Accretion expense | 290 | 102 | |||||||
Depreciation and amortization | 8,879 | 3,170 | |||||||
Total operating costs and expenses | 274,917 | 38,322 | |||||||
Operating loss | (265,050 | ) | (36,686 | ) | |||||
Other (expense) income, net | |||||||||
Other income | 1,845 | 4,375 | |||||||
Interest income | 1,434 | 1,338 | |||||||
Interest expense | (44,484 | ) | (15,642 | ) | |||||
Total other expense, net | (41,205 | ) | (9,929 | ) | |||||
Net loss | $ | (306,255 | ) | $ | (46,615 | ) | |||
Basic and diluted loss per share | $ | (0.69 | ) | $ | (0.11 | ) | |||
Weighted average common shares outstanding | 441,792 | 409,260 |
Consolidated Balance Sheet Information:
March 31, | December 31, | ||||||||
2017 | 2016 | ||||||||
($ in thousands) | |||||||||
Cash and cash equivalents | $ | 118,493 | $ | 613,534 | |||||
Restricted cash | 11,274 | 2,517 | |||||||
Short-term investments | 640,642 | 340,418 | |||||||
Total current assets | 975,920 | 1,147,191 | |||||||
Oil and natural gas properties | 952,150 | 1,078,885 | |||||||
Total assets | 1,932,110 | 2,230,478 | |||||||
Total current liabilities | 520,133 | 533,954 | |||||||
Total long-term liabilities | 2,555,902 | 2,537,858 | |||||||
Total stockholders’ equity (442,738,080 and 441,210,817 shares issued and outstanding as of March 31, 2017 and December 31, 2016, respectively) | (1,143,925 | ) | (841,334 | ) | |||||
Total liabilities and stockholders’ equity | $ | 1,932,110 | $ | 2,230,478 |
Consolidated Statement of Cash Flows Information:
Three Months Ended March 31, | |||||||
2017 | 2016 | ||||||
($ in thousands) | |||||||
Net cash (used in) provided by: | |||||||
Operating activities |
$ |
(65,448 |
) |
$ | 21,917 | ||
Investing activities | (420,836 | ) | 21,929 | ||||
Financing activities | – | – |
View source version on businesswire.com: http://www.businesswire.com/news/home/20170508005413/en/
Source:
Cobalt International Energy, Inc.
Investor Relations:
Rob
Cordray, +1 713-579-9126
Director, Investor Relations
or
Media
Relations:
Lynne L. Hackedorn, +1 713-579-9115
Vice President,
Government and Public Affairs