On Tuesday, Shares of Penn Virginia Corporation (NYSE:PVA), lost -20.73% to $0.634.
Penn Virginia Corporation, stated financial results for the three months ended September 30, 2015 and offered updates of its operations and guidance.
Key Highlights
- Third quarter 2015 results contrast, as applicable, to second quarter 2015 results were as follows:
- Total production was 20,976 barrels of oil equivalent (BOE) per day (BOEPD), contrast to 23,519 BOEPD.
- Total production was above the midpoint of production guidance of 18,500 to 22,800 BOEPD.
- The average initial potential (IP) and 30-day rates for 11 Eagle Ford wells turned in line were 1,501 and 790 BOEPD, up 88% and 59% contrast to 798 and 497 BOEPD for 16 wells turned in line in the second quarter.
- Gross drilling and completion costs for the 11 wells, counting facilities, averaged $5.7 million per well, about 30% lower than the average cost of the 16 second quarter wells.
- The decrease in average well cost was driven by a transition to drilling exclusively two-string wells, whereas only three of the second quarter wells were two-string wells. In addition, seven of the third quarter wells were slickwater stimulated and all of the third quarter wells were fractured with about 46% more proppant per stage, on average, than second quarter wells.
- Product revenues, counting derivatives, were $93.0 million, contrast to $118.0 million.
- Realized oil, gas and natural gas liquids (NGLs) prices were $69.19 per barrel, $2.68 per thousand cubic feet (Mcf) and $9.81 per barrel, contrast to $82.44 per barrel, $2.54 per Mcf and $13.53 per barrel, counting hedges.
- Product revenues per BOE were $48.17, contrast to $55.12, counting hedges.
- Production costs, counting lease operating expense, gathering, processing and transportation expenses and production and ad valorem taxes, reduced 8% to $20.4 million from $22.3 million.
- Recurring general and administrative (G&A) costs reduced 12% to $8.2 million from $9.4 million.
- Adjusted EBITDAX, a non-GAAP (generally accepted accounting principles) measure, was $65.0 million, contrast to $85.5 million.
Penn Virginia Corporation, an independent oil and gas company, explores, develops, and produces crude oil, natural gas liquids, and natural gas in various onshore regions of the United States. The company’s operations comprise the drilling of unconventional horizontal development wells in the Eagle Ford Shale in South Texas.
Shares of American Capital Ltd. (NASDAQ:ACAS), inclined 1.21% to $14.23, during its last trading session.
Antares Capital and American Capital, declared that they were co-lead arrangers of a $170 million unitranche facility to support the acquisition of Kele, Inc. (“Kele”) by Snow Phipps Group, LLC (“Snow Phipps”). Antares Capital acted as Agent. Kele is an independent distributor of peripheral control products used in building automation systems of commercial buildings in North America.
Douglas Cannaliato, Senior Managing Director at Antares Capital, said, “We’re thrilled to be lead arranger of this financing for Snow Phipps, ongoing our decade-long relationship with Kele. We have a lot of confidence in administration and a history of successful partnering with Snow Phipps.”
Ryan Brauns, Managing Director and Head of Sponsor Finance at American Capital, said, “We are delighted to have closed our second transaction with Snow Phipps in the last twelve months and were glad to partner with Antares to provide a joint execution.”
Founded in 1983 and headquartered in Memphis, TN, Kele supplies over 108,000 peripheral control products, counting pressure controls, sensors, and control valves, that are critical components for commercial and industrial buildings to operate efficiently. The products are used to detect and transmit information such as room temperature and humidity to building controllers, allowing building operators to manage internal environments, save on energy costs and keep expensive mechanical systems, such as large HVAC systems, running correctly.
American Capital, Ltd. is a private equity and venture capital firm. It is a business development company specializing in administration and employee buyouts, subordinated debt, leveraged finance, mezzanine, acquisition, recapitalization, middle market, early venture, mature, industry consolidation, and growth capital investments.
Finally, Shares of AngloGold Ashanti Limited (ADR) (NYSE:AU), ended its last trade with -2.32% loss, and closed at $6.95.
AngloGold Ashanti, delivered another solid operating and financial performance for the third quarter, with production and costs both better than guidance, a marked reduction in debt levels, and strong cash flows despite a 12% decrease in the gold price year-on-year.
“These results show relentless cost discipline and continued delivery on our planned commitments,” Srinivasan Venkatakrishnan, Chief Executive Officer of AngloGold Ashanti, said. “We’ve used self-assist steps to significantly lower debt and interest, which will improve our cash-flow generation capacity.”
AngloGold Ashanti has responded decisively to a sharp drop in gold prices in recent years, slashing overhead expenditure by two thirds, introducing two new, low-cost mines, cutting debt significantly to assist withstand market volatility and, most recently, by selling its Cripple Creek & Victor (CC&V) mine and deploying the proceeds to reduce its interest bill by more than a quarter. The Company has also reached conditional agreement to partner with Randgold Resources Limited to redevelop the Obuasi gold mine in Ghana as a mechanised, productive long-life operation.
AngloGold Ashanti Limited operates as a gold mining and exploration company. It also produces silver, uranium oxide, copper, molybdenum, and sulphur. The company has 20 operations and exploration projects in South Africa, Continental Africa, Australasia, and the Americas. AngloGold Ashanti Limited was founded in 1944 and is headquartered in Johannesburg, South Africa.