Global Natural Resources Inc. Reports 42% Increase in Oil and Gas Reserves

Strategic Insights -

Global Natural Resources Inc. has announced a significant increase in its proved oil and gas reserves, totaling approximately 45.8 million barrels of oil equivalent (MMBOE) at year end 1994. This represents a 42% growth over the reserves reported a year earlier, with notable increases in international reserves, particularly in Ivory Coast, Egypt, and Russia. The company's domestic reserves remained relatively flat, with additions offset by production and sales.

Key Takeaways:

  • Global Natural Resources Inc. reported a 42% increase in proved oil and gas reserves at year end 1994, totaling 45.8 million barrels of oil equivalent (MMBOE).
  • Internationally, reserve increases included Ivory Coast (4.55 MMBOE), Egypt (2.92 MMBOE), and Russia (11.8 MMBOE).
  • Domestic reserves were flat with the prior period, with additions offset by production and sales.
  • The reserve additions from discoveries and revisions equaled 515% of the company's 1994 production.
  • The company reported a net loss of $3.5 million for the three months ended Dec. 31, 1994, compared with net income of $0.4 million for the same period in 1993.
  • The three months ended Dec. 31, 1994 included dry hole expenses of $3.9 million.
  • The company had a net loss of $8.3 million for the twelve months ended Dec. 31, 1994, compared with net income of $4.5 million for 1993.
  • Cash provided by operating activities was $36.7 million for the twelve months ended Dec. 31, 1994, compared to $18.3 million for 1993.

Statistics:

  • 42% increase in proof oil and gas reserves (1994 vs. 1993)
  • 45.8 million barrels of oil equivalent (MMBOE) at year end 1994
  • 4.55 MMBOE of new reserves in Ivory Coast
  • 2.92 MMBOE of new reserves in Egypt
  • 11.8 MMBOE of new reserves in Russia
  • 515% of 1994 production from discoveries and revisions
  • Net loss of $3.5 million for 1994 Q4
  • Dry hole expenses of $3.9 million in 1994 Q4
  • Net loss of $8.3 million for 1994
  • Cash provided by operating activities of $36.7 million in 1994
  • Revenues for 1994 of $50.8 million

Sources:

  • Global Natural Resources Inc. (1995, March 7). Business Wire.
  • Global Natural Resources Inc. (1994). Annual Report.