New York, NY / ACCESSWIRE / August 27, 2014 / SeeThruEquity, a leading independent equity research and corporate access firm focused on smallcap and microcap public companies, today announced that it has issued a quarterly update on Glori Energy Inc. ("Glori") (NASDAQ: GLRI) for Q2 2014.
"Glori reported total revenues of $5.6mn in 2Q14, up 494% from 2Q13. With 2Q14 production revenues of $3.6mn, up 494% over 2Q13, Glori exceeded its production targets at its newly acquired Coke Field property in Wood County, Texas. Average daily production was 500 barrels BOE/D with an average realized oil price of approximately $92.63. Production from liquids (oil and condensate) represented approximately 91% of total production for the second quarter of 2014," commented Ajay Tandon, CEO of SeeThruEquity. "We look forward to following the company's continued progress and reiterate our price target of $13.37 per share."
Highlights of the quarter are as follows:
- Solid Coke Field production ahead of AERO(tm) implementation. Glori reported revenues from oil, condensate and natural gas of $3.6mn in 2Q14 from its Coke Field property, acquired in March 2014. Average daily production was 500 barrels BOE/D with an average realized oil price of approximately $92.63. Production from liquids (oil and condensate) represented approximately 91% of total production for 2Q14. These production results exceeded Glori's targets for the quarter. During 2Q14, Glori had commodity swaps in place covering approximately 66% of oil and condensate production. Glori incurred a loss on commodity derivatives in the amount of $2.8mn, which includes $223,000 in total cash settlements paid on derivatives. The company continues to maintain swaps covering a portion of estimated future production. Glori reported that preparations are underway to begin implementation of the AERO System in the field towards the end of 4Q14, with initial response expected in the 1H15. Based on modeling of the effectiveness of the system, Glori believes it has the potential to increase average daily production from the Coke Field by 30-60%. The Coke Field is Glori's first producing field asset, and we would expect the company to announce on or two more property acquisitions in the next 6-9 months.
- AERO Technology Services Segment also reports strong results. Revenues from Glori's AERO technology Services Segment increased 148% from 2Q13, to $1.9mn in 2Q14. During the quarter, Glori added five new clients, bringing up to seven field projects that will reach field deployment stage over the coming two to three quarters. Glori has emphasized growing its services segment in concert with developing proprietary field assets.
- Glori appoints Rocky Duckworth to board. On August 14, 2014, Glori announced the addition of Mr. Rocky L. Duckworth to its board of directors. A former KPMG partner, Mr. Duckworth brings more than 37 years of oil and gas business and audit related experience to the Glori board. Glori intends that Mr. Duckworth will ultimately transition into the role of Chairman of the Audit Committee.
The report is available here: GLRI Update Note. SeeThruEquity is an approved equity research contributor on Thomson First Call, Capital IQ, FactSet, and Zack's. The report will also be available on these platforms.
Please review important disclosures on our website at http://www.seethruequity.com/.
About Glori Energy Inc.
Glori Energy Inc. is a Houston-based energy technology company known for its proprietary AERO(tm) System, a highly efficient, biotechnology process for increasing oil recovery from existing reservoirs. Only one-third of all oil discovered in a typical reservoir is recoverable using conventional technologies; the rest remains trapped. Glori's AERO technology recovers trapped oil by stimulating a reservoir's native microorganisms to sustainably increase the ultimate incremental recovery. Glori applies its technology to fields the company acquires and redevelops onshore in the U.S., and also provides its AERO System as a service to third party E&P companies.
For more information, visit http://www.glorienergy.com/.
SeeThruEquity is an equity research and corporate access firm focused on companies with less than $1 billion in market capitalization. The research is not paid for and is unbiased. We do not conduct any investment banking or commission based business. We are approved to contribute our research to Thomson One Analytics (First Call), Capital IQ, FactSet, Zacks and distribute our research to our database of opt-in investors. We also contribute our estimates to Thomson Estimates, the leading estimates platform on Wall Street.
For more information visit http://www.seethruequity.com/.
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