Cobalt International Energy, Inc. Announces Third Quarter 2015 Results and Provides Updates on Successful Appraisal Operations at North Platte, Anchor and Shenandoah
In addition, Cobalt conducted successful appraisal operations at its
North Platte, Anchor and Shenandoah discoveries. Operations at its
Capital and operating expenditures (excluding changes in working
capital) from continuing operations for the quarter and nine months
ending
Operational Update
In the deepwater Gulf of
Cobalt’s initial appraisal operations at its Anchor discovery delivered successful results. The Anchor #2 sidetrack #1 results to date suggest that the reservoirs are well developed and that Anchor could be one of the largest oil accumulations in the deepwater Gulf of Mexico Inboard Lower Tertiary Wilcox Trend. The Anchor discovery well was drilled in late 2014 and encountered 690 feet of net oil pay in multiple Inboard Lower Tertiary Wilcox sands. The Anchor #2 sidetrack #1 appraisal well was drilled down dip to delineate the discovery and results confirmed the hydrocarbon accumulation found in the discovery well. The appraisal well encountered 694 feet of net oil pay in a hydrocarbon column of at least 1,800 feet in the Inboard Lower Tertiary Wilcox reservoirs. Complete appraisal of the field will require further delineation wells and technical studies. Cobalt owns a 20% non-operated working interest in the Anchor discovery unit.
At Shenandoah, operations were completed on the Shenandoah #4 appraisal well, which tested the updip extent of the basin. The subsequent Shenandoah #4 sidetrack encountered over 600 feet of net oil pay, extending the lowest known oil column down dip. A bypass coring operation on the reservoir interval is currently underway. Cobalt owns a 20% non-operated working interest in the Shenandoah project.
At Cobalt’s
Conference Call
A conference call for investors will be held today at
The call can be accessed live over the telephone by dialing (877)
705-6003, or for international callers (201) 493-6725. A replay will be
available shortly after the call and can be accessed by dialing (877)
870-5176, or for international callers (858) 384-5517. The passcode for
the replay is 13623100. 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.
For more information about these announcements, see Cobalt’s
About Cobalt
Forward-Looking Statements
This press release includes “forward-looking statements” within the
meaning of 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,” “intend,” “expect,” “plan,”
“will” or 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 September 30, | For Nine Months Ended September 30, | |||||||||||||||||||
2015 | 2014 | 2015 | 2014 | |||||||||||||||||
($ in thousands except per share data) | ||||||||||||||||||||
Oil and gas revenue | $ | — | $ | — | $ | — | $ | — | ||||||||||||
Operating costs and expenses | ||||||||||||||||||||
Seismic and exploration | 10,392 | 9,870 | 35,726 | 18,180 | ||||||||||||||||
Dry hole expense and impairment | 10,880 | 17,410 | 38,310 | 71,034 | ||||||||||||||||
General and administrative | 14,848 | 17,818 | 53,015 | 38,016 | ||||||||||||||||
Depreciation and amortization | 346 | 410 | 1,125 | 1,277 | ||||||||||||||||
Total operating costs and expenses | 36,466 | 45,508 | 128,176 | 128,507 | ||||||||||||||||
Operating income (loss) | (36,466 | ) | (45,508 | ) | (128,176 | ) | (128,507 | ) | ||||||||||||
Other income (expense) | ||||||||||||||||||||
Gain on sale of assets | 7 | — | 2,632 | — | ||||||||||||||||
Interest income | 1,475 | 1,895 | 4,588 | 4,274 | ||||||||||||||||
Interest expense | (14,703 | ) | (23,463 | ) | (52,565 | ) | (52,630 | ) | ||||||||||||
Total other income (expense) | (13,221 | ) | (21,568 | ) | (45,345 | ) | (48,356 | ) | ||||||||||||
Net income (loss) from continuing operations before income tax | (49,687 | ) | (67,076 | ) | (173,521 | ) | (176,863 | ) | ||||||||||||
Income tax expense | — | — | — | — | ||||||||||||||||
Net income (loss) from continuing operations | (49,687 | ) | (67,076 | ) | (173,521 | ) | (176,863 | ) | ||||||||||||
Net income (loss) from discontinued operations | (9,477 | ) | (75,453 | ) | (34,051 | ) | (117,336 | ) | ||||||||||||
Net income (loss) | $ | (59,164 | ) | $ | (142,529 | ) | $ | (207,572 | ) | $ | (294,199 | ) | ||||||||
Basic and diluted income (loss) per share from continuing operations |
$ | (0.12 | ) | $ | (0.16 | ) | $ | (0.42 | ) | $ | (0.43 | ) | ||||||||
Basic and diluted income (loss) per share from discontinued operations |
$ | (0.02 | ) | $ | (0.19 | ) | $ | (0.08 | ) | $ | (0.29 | ) | ||||||||
Basic and diluted income (loss) per share |
$ | (0.14 | ) | $ | (0.35 | ) | $ | (0.50 | ) | $ | (0.72 | ) | ||||||||
Weighted average common shares outstanding |
408,545,467 | 407,095,514 | 408,525,438 | 407,058,930 | ||||||||||||||||
Consolidated Balance Sheet Information: |
||||||||
September 30, 2015 |
December 31, 2014 |
|||||||
($ in thousands) | ||||||||
Cash and cash equivalents | $ | 100,447 | $ | 246,704 | ||||
Restricted cash and cash equivalents | 252,950 | — | ||||||
Short-term investments | 1,235,350 | 1,530,206 | ||||||
Current assets held for sale | 1,736,559 | 173,714 | ||||||
Total current assets | 3,490,239 | 2,003,134 | ||||||
Total property, plant and equipment | 1,053,853 | 714,654 | ||||||
Long-term assets held for sale | — | 1,327,661 | ||||||
Total assets | 4,638,436 | 4,450,862 | ||||||
Total current liabilities | 714,430 | 303,600 | ||||||
Total long-term liabilities | 1,997,617 | 2,032,996 | ||||||
Total stockholders’ equity (408,558,174 and 408,505,079 shares issued and outstanding as of September 30, 2015 and December 31, 2014, respectively) |
1,926,389 | 2,114,266 | ||||||
Total liabilities and stockholders’ equity | $ | 4,638,436 | $ | 4,450,862 | ||||
Consolidated Statement of Cash Flows Information: |
||||||||||
Nine Months Ended September 30, | ||||||||||
2015 | 2014 | |||||||||
($ in thousands) | ||||||||||
Net cash provided by (used in): | ||||||||||
Operating activities – continuing operations | $ | (217,458 | ) | $ | (816 | ) | ||||
Investing activities – continuing operations | 381,553 | (878,931 | ) | |||||||
Financing activities – continuing operations | (4,025 | ) | 1,269,180 | |||||||
View source version on businesswire.com: http://www.businesswire.com/news/home/20151103005898/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