Dejour Enterprises has released its financial results for the year end and fourth quarter periods ended December 31, 2009.
- Increased Net Proved Reserves by more than 3,100% from slightly more than 3 BCFE to more than 93 BCFE. The before tax discounted (NPV10) value of the Company's proved reserves, net of all future costs for development is now valued at $163 million, up from $15 million as at December 31, 2008;
- Increased Net Proved and Probable Reserves by more than 3,500% from slightly more than 6 BCFE to more than 217 BCFE. The before tax discounted (NPV10) value of the Company's proved and probable reserves, net of all future costs for development is now valued at $324 million, up from $31 million as at December 31, 2008.
Balance Sheet Improvement
- Reduced debt from $18.3 million to $6.2 million;
- Eliminated working capital deficit of $12.7 million at the end of 2008 and ended 2009 with positive working capital of $410,000;
- Raised $5 million of equity under challenging market conditions that allowed the Company to execute its winter drilling program in the Woodrush Field.
Production Growth and Reduction in Net Loss
- Annual production for 2009 averaged 456 BOE/d, an increase of 78% from 256 BOE/d in 2008;
- Revenue increased by 18% to $6.8 million in 2009 from $5.7 million in 2008;
- Net loss reduced by 39% to $12.8 million ($0.16 per share) in 2009 from $20.9 million ($0.29 per share) in 2008;
- 4Q 2009 loss reduced by 62% to $7 million ($0.08 per share) in 4Q 2009 from $15.2 million ($0.21 per share) in 4Q 2008.
Subsequent to year end 2009, Dejour raised $1 million in new equity, established a $5 million credit facility and drilled two new discoveries (1.5 net) at Woodrush Northeast British Columbia, Canada. One is a Gething gas discovery on line at approximately 1MMcf/d. The second is a light oil discovery currently producing in excess of 400 BOE/d, raising Woodrush gross production to more than 1,000 BOE/d, 50%+ oil (75% net to Dejour). Dejour plans to drill one to two more wells at Woodrush in 2010.
Key Objectives for 2010
- Generate positive operating cash flow beginning 2Q 2010 and generate operating profits by 4Q 2010;
- Increase oil production and reserves at the Woodrush field;
- Complete the permitting/engineering for the Phase 1 drilling of 16 wells at Gibson Gulch;
- Procure a commitment on a competitive funding package for Phase 1 drilling at Gibson Gulch.