DOME ENERGY PRESENTS Q4-REPORT 2015

FOURTH QUARTER 2015

  • Revenue from oil & gas production incl. realized derivatives of $2,805’ (3,639’).
  • Effect from unrealized derivatives of $391’ (5,831’).
  • Gross result from production incl. realized hedges of $265’ (1,736’) with a margin of 9% (48%).
  • EBITDA of -$979’ (6,769’).
  • EBITDA for US operations adj. for unrealized derivatives amounted to -$306’ (1,504’).
  • Net result of -$46,535’ (3,727’) including a write-down of oil & gas assets of -$42,957.
  • Earnings per share -$1.35 (0.13).

FULL YEAR

  • Revenue from oil & gas production incl. realized derivatives of $12,477’ (9,237’).
  • Effect from unrealized derivatives of $520’ (7,987’).
  • Gross result from production incl. realized hedges of 6,012’ (4,840’) with a margin of 48% (52%).
  • EBITDA of $913’ (11,781’).
  • EBITDA for US operations adj. for unrealized derivatives amounted to $4,288’ (6,262’).
  • Net result of -$49,897’ (7,066’) including a write-down of oil & gas assets of -$43,283.
  • Earnings per share -$1.45 (0.31).

SIGNIFICANT EVENTS DURING THE QUARTER

  • The Company has cancelled the merger plans with Pedevco.
  • The previously announced acquisition (4 December, 2015) of newly drilled wells in Wattenberg, Colorado, was not concluded. With limited economical value in today’s oil price market in our view, Dome’s interest in the wells are under termination.
  • Implementation of cost cutting program continued on both Operational and G&A.
  • Write-down of oil & gas assets due to significant lower price deck at the end of 2015.
  • Reserves of 5,025 mboe valued to $95,629’ undiscounted and $52,408’ discounted at PV10.
  • Hedge portfolio valued to $6,582’ as of 31 December, 2015.
  • OPEX (excl. production taxes and workovers) per barrel of oil equivalent amounted to $26.89.
  • Susanna Helgesen left the position as CFO in October and was replaced by Thure Thorgren.
  • Kristian Lundkvist left the board of directors in December.
  • Mangold Fondkommission was engaged as a market maker.

FINANCIAL KEY RATIOS

US$ Thousand Q4 Q4 FY FY
  2015 2014 2015 2014
Revenues from oil and gas sales incl realized derivatives 2,805 3,639 12,477 9,237
Value change in unrealized derivatives 391 5,831 520 7,987
Gross profit from oil & gas operations incl. realized derivatives 265 1,736 6,012 4,840
Gross margin, % 9% 48% 48% 52%
EBITDA -979 6,769 913 11,781
EBITDA for the US oil operation (adj. for unrealized value change of derivatives) -306 1,504 4,288 6,262
EBIT -47,542 3,515 -50,411 6,755
EBT -46,518 3,727 -49,880 7,066
Net result -46,535 3,727 -49,897 7,066
EPS (in US$) -1.35 0.13 -1.45 0.31
Production (boepd) 844 1,155 1,068 633