PHX Minerals Inc. Reports Second Quarter 2021 Results
OKLAHOMA CITY, May 6, 2021 – PHX MINERALS INC., “PHX” or the “Company,” (NYSE: PHX), today reported financial and operating results for the
SUMMARY OF RESULTS FOR THE PERIOD ENDED
Production volumes for the second fiscal quarter of 2021 were 2,297 Mmcfe, decreased from 2,373 Mmcfe in thesecond fiscal quarter of 2020 and increased from 2,074 Mmcfe in the first fiscal quarter of 2021.- Net loss in the
second fiscal quarter of 2021 was$0.5 million , or$0.02 per share, as compared to net loss$20.5 million , or$1.24 per share, in thesecond fiscal quarter of 2020 and net loss of $0.6 million, or $0.03 per share, in the first fiscal quarter of 2021. - Adjusted EBITDA excluding gain on asset sales(1) for the
second quarter of2021 was $3.4 million, increased from $2.4 million in thesecond fiscal quarter of 2020 and $2.7 million in the first fiscal quarter of 2021. - On April 30, 2021, the Company closed on the previously announced acquisition of 2,514 net royalty acres in the SCOOP play of Oklahoma for approximately $8.5 million in cash and 1.2 million shares of PHX stock.
- Reduced total debt 13% from $27.0 million as of Dec. 31, 2020, to $23.5 million as of
March 31, 2021 . As of April 30, 2021, debt had been further reduced by $1.75 million to $21.75 million. - Debt to adjusted EBITDA (TTM) (1) ratio was
2.34 x atMarch 31, 2021 . - Approved the payment of a one cent per share dividend payable on June 4, 2021, to stockholders of record on May 20, 2021.
Chad L. Stephens, President and CEO, commented, “PHX continues to achieve excellent results towards its stated objectives of growing the company through the strategic acquisition of producing minerals with line-of-sight development in our core focus areas, high grading our asset base by divesting of lower margin assets outside of our core focus areas and reducing our debt to strengthen our financial position.
“During the quarter, production volumes increased 11% sequentially. Significantly, for the first-time in the last 10 years, royalty production volumes exceeded working interest production volumes, which illuminates our stated mineral-only growth strategy. The increase in our volumes and the improved realized commodity prices, resulted in adjusted EBITDA(1) excluding gain on asset sales of $3.4 million, which was an increase of approximately 26%, or $0.7 million, over the first quarter of fiscal 2021.
“With our improved financial performance, we were able to reduce our debt by $3.5 million, or 13%, from the end of the first quarter of fiscal year 2021, which continues to improve our financial strength. Since the end of the second quarter, we paid down debt an additional $1.75 million, bringing our total borrowings to $21.75 million as of April 30, 2021. We now believe that our Debt to adjusted EBITDA (TTM) (1) will approximate 1.0x by calendar year end 2021. Overall, our credit profile has significantly improved, as compared to one year ago. We believe this puts us in a stronger position to allocate more of our capital to our stated strategy.
“Further, since quarter end, we completed our second equity offering over the last seven months which allowed us to fund our previously announced SCOOP-focused mineral acquisition in Oklahoma. This acquisition closed on Friday, April 30, 2021. We continue to see good deal flow and look forward to keeping you apprised of our efforts to continue to drive shareholder value.”
- This is a non-GAAP measure. Refer to the Non-GAAP Reconciliation section.
OPERATING HIGHLIGHTS
|
Second Quarter Ended |
|
|
Second Quarter Ended |
|
|
Six Months Ended |
|
|
Six Months Ended |
|
||||
|
March 31, 2021 |
|
|
March 31, 2020 |
|
|
March 31, 2021 |
|
|
March 31, 2020 |
|
||||
Mcfe Sold |
|
2,296,802 |
|
|
|
2,373,135 |
|
|
|
4,371,139 |
|
|
|
4,651,622 |
|
Average Sales Price per Mcfe |
$ |
3.63 |
|
|
$ |
3.04 |
|
|
$ |
3.38 |
|
|
$ |
3.18 |
|
Gas Mcf Sold |
|
1,735,820 |
|
|
|
1,529,367 |
|
|
|
3,211,276 |
|
|
|
3,177,194 |
|
Average Sales Price per Mcf |
$ |
2.52 |
|
|
$ |
1.64 |
|
|
$ |
2.44 |
|
|
$ |
1.89 |
|
Oil Barrels Sold |
|
56,269 |
|
|
|
93,141 |
|
|
|
114,945 |
|
|
|
159,021 |
|
Average Sales Price per Barrel |
$ |
55.89 |
|
|
$ |
44.99 |
|
|
$ |
47.73 |
|
|
$ |
48.14 |
|
NGL Barrels Sold |
|
37,228 |
|
|
|
47,487 |
|
|
|
78,365 |
|
|
|
86,717 |
|
Average Sales Price per Barrel |
$ |
22.24 |
|
|
$ |
11.05 |
|
|
$ |
18.54 |
|
|
$ |
13.14 |
|
Total Production for the last four quarters was as follows:
Quarter ended |
|
Mcf Sold |
|
|
Oil Bbls Sold |
|
|
NGL Bbls Sold |
|
|
Mcfe Sold |
|
||||
3/31/2021 |
|
|
1,735,820 |
|
|
|
56,269 |
|
|
|
37,228 |
|
|
|
2,296,802 |
|
12/31/2020 |
|
|
1,475,456 |
|
|
|
58,675 |
|
|
|
41,138 |
|
|
|
2,074,334 |
|
9/30/2020 |
|
|
1,423,602 |
|
|
|
55,626 |
|
|
|
46,737 |
|
|
|
2,037,779 |
|
6/30/2020 |
|
|
1,361,909 |
|
|
|
55,138 |
|
|
|
35,169 |
|
|
|
1,903,752 |
|
Royalty Interest Production for the last four quarters was as follows:
Quarter ended |
|
Mcf Sold |
|
|
Oil Bbls Sold |
|
|
NGL Bbls Sold |
|
|
Mcfe Sold |
|
||||
3/31/2021 |
|
|
924,969 |
|
|
|
31,768 |
|
|
|
19,088 |
|
|
|
1,230,105 |
|
12/31/2020 |
|
|
487,925 |
|
|
|
27,840 |
|
|
|
14,948 |
|
|
|
744,653 |
|
9/30/2020 |
|
|
491,234 |
|
|
|
27,326 |
|
|
|
20,181 |
|
|
|
776,276 |
|
6/30/2020 |
|
|
544,249 |
|
|
|
28,468 |
|
|
|
16,574 |
|
|
|
814,501 |
|
Working Interest Production for the last four quarters was as follows:
Quarter ended |
|
Mcf Sold |
|
|
Oil Bbls Sold |
|
|
NGL Bbls Sold |
|
|
Mcfe Sold |
|
||||
3/31/2021 |
|
|
810,851 |
|
|
|
24,501 |
|
|
|
18,140 |
|
|
|
1,066,697 |
|
12/31/2020 |
|
|
987,531 |
|
|
|
30,835 |
|
|
|
26,190 |
|
|
|
1,329,681 |
|
9/30/2020 |
|
|
932,368 |
|
|
|
28,300 |
|
|
|
26,556 |
|
|
|
1,261,503 |
|
6/30/2020 |
|
|
817,660 |
|
|
|
26,670 |
|
|
|
18,595 |
|
|
|
1,089,251 |
|
FINANCIAL HIGHLIGHTS
|
|
Second Quarter Ended |
|
|
Second Quarter Ended |
|
|
Six Months Ended |
|
|
Six Months Ended |
|
||||
|
|
March 31, 2021 |
|
|
March 31, 2020 |
|
|
March 31, 2021 |
|
|
March 31, 2020 |
|
||||
Working Interest Sales |
|
$ |
3,851,478 |
|
|
$ |
3,415,049 |
|
|
$ |
7,759,002 |
|
|
$ |
8,099,785 |
|
Royalty Interest Sales |
|
$ |
4,494,347 |
|
|
$ |
3,802,569 |
|
|
$ |
7,011,802 |
|
|
$ |
6,711,671 |
|
Natural Gas, Oil and NGL Sales |
|
$ |
8,345,825 |
|
|
$ |
7,217,618 |
|
|
$ |
14,770,804 |
|
|
$ |
14,811,456 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Lease Bonuses and Rental Income |
|
$ |
58,554 |
|
|
$ |
22,092 |
|
|
$ |
59,987 |
|
|
$ |
549,791 |
|
Total Revenue |
|
$ |
6,079,493 |
|
|
$ |
11,311,287 |
|
|
$ |
12,272,137 |
|
|
$ |
21,887,818 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
LOE per Mcfe |
|
$ |
0.45 |
|
|
$ |
0.65 |
|
|
$ |
0.47 |
|
|
$ |
0.59 |
|
Transportation, Gathering and Marketing per Mcfe |
|
$ |
0.57 |
|
|
$ |
0.57 |
|
|
$ |
0.59 |
|
|
$ |
0.59 |
|
Production Tax per Mcfe |
|
$ |
0.19 |
|
|
$ |
0.16 |
|
|
$ |
0.16 |
|
|
$ |
0.15 |
|
G&A Expense per Mcfe |
|
$ |
0.90 |
|
|
$ |
0.92 |
|
|
$ |
0.87 |
|
|
$ |
0.95 |
|
Interest Expense per Mcfe |
|
$ |
0.12 |
|
|
$ |
0.15 |
|
|
$ |
0.13 |
|
|
$ |
0.15 |
|
DD&A per Mcfe |
|
$ |
0.77 |
|
|
$ |
1.42 |
|
|
$ |
0.92 |
|
|
$ |
1.36 |
|
Total Expense per Mcfe |
|
$ |
3.00 |
|
|
$ |
3.87 |
|
|
$ |
3.14 |
|
|
$ |
3.79 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net Income (Loss) |
|
$ |
(499,723 |
) |
|
$ |
(20,454,814 |
) |
|
$ |
(1,096,443 |
) |
|
$ |
(18,562,700 |
) |
Adj. Pre-Tax Net Income (Loss) (1) |
|
$ |
1,333,989 |
|
|
$ |
(1,338,550 |
) |
|
$ |
1,535,619 |
|
|
$ |
2,527,231 |
|
Adjusted EBITDA (1) |
|
$ |
3,379,671 |
|
|
$ |
2,381,541 |
|
|
$ |
6,143,848 |
|
|
$ |
9,573,688 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash Flow from Operations |
|
$ |
4,205,726 |
|
|
$ |
4,009,901 |
|
|
$ |
4,677,107 |
|
|
$ |
6,108,342 |
|
CapEx - Drilling & Completing |
|
$ |
297,015 |
|
|
$ |
34,490 |
|
|
$ |
425,098 |
|
|
$ |
139,755 |
|
CapEx - Mineral Acquisitions |
|
$ |
64,758 |
|
|
$ |
81,422 |
|
|
$ |
7,934,504 |
|
|
$ |
10,254,016 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Borrowing Base |
|
|
|
|
|
|
|
|
|
$ |
29,400,000 |
|
|
$ |
45,000,000 |
|
Debt |
|
|
|
|
|
|
|
|
|
$ |
23,500,000 |
|
|
$ |
32,000,000 |
|
Debt/Adjusted EBITDA (TTM) (1) |
|
|
|
|
|
|
|
|
|
|
2.34 |
|
|
|
1.14 |
|
- This is a non-GAAP measure. Refer to the Non-GAAP Reconciliation section.
The Company recorded a
Natural gas, oil and NGL revenue
The decrease in oil production was primarily due to naturally declining production in high-interest wells brought online during the first quarter of 2020 in the Bakken play, as well as reduced drilling and completion activity in 2021, compared to 2020 in the Eagle Ford and SCOOP plays due to prevailing economic conditions. The decrease in NGL production was primarily attributable to production downtime and curtailments in high-interest wells in response to market conditions in the SCOOP and STACK plays, as well as naturally declining production in liquid-rich gas areas of the Anadarko Granite Wash play. Natural gas volumes increased as a result of acquisitions in the Haynesville Shale, which were partially offset by naturally declining production in the Fayetteville Shale, production downtime and curtailments in high-interest wells in response to market conditions in the STACK and SCOOP plays.
The Company had a net
The
The Company recorded a
Natural gas, oil and NGL sales remained relatively consistent with decreases in oil and NGL volumes of
The decrease in oil production was primarily due to naturally declining production in high-interest wells brought online during the first quarter of 2020 in the Bakken play, as well as reduced drilling and completion activity in 2021, compared to 2020 in the Eagle Ford and SCOOP plays due to prevailing economic conditions. The decrease in NGL production was primarily attributable to production downtime and curtailments in high-interest wells in response to market conditions in the SCOOP play as well as naturally declining production in liquid-rich gas areas of the Anadarko Granite Wash play. Natural gas volumes increased as a result of acquisitions in the Haynesville Shale, which were partially offset by naturally declining production in the Fayetteville Shale, production downtime and curtailments in high-interest wells in response to market conditions in the STACK and SCOOP plays.
The Company had a net
The
OPERATIONS UPDATE
During the quarter ended
|
|
|
|
|
|
|
|
|
|
Bakken/ |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three |
|
|
Arkoma |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||
|
|
SCOOP |
|
|
STACK |
|
|
Forks |
|
|
Stack |
|
|
Permian |
|
|
Fayetteville |
|
|
Haynesville |
|
|
Other |
|
|
Total |
|
|||||||||
Gross Wells in Progress on PHX Acreage: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
As of 12/31/20 |
|
|
45 |
|
|
|
32 |
|
|
|
5 |
|
|
|
2 |
|
|
|
4 |
|
|
|
- |
|
|
|
25 |
|
|
|
7 |
|
|
|
120 |
|
Net Change |
|
|
-3 |
|
|
|
-19 |
|
|
|
-2 |
|
|
|
- |
|
|
|
-1 |
|
|
|
- |
|
|
|
-12 |
|
|
|
-3 |
|
|
|
-40 |
|
As of 3/31/21 |
|
|
42 |
|
|
|
13 |
|
|
|
3 |
|
|
|
2 |
|
|
|
3 |
|
|
|
- |
|
|
|
13 |
|
|
|
4 |
|
|
|
80 |
|
Net Wells in Progress on PHX Acreage: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
As of 12/31/20 |
|
|
0.09 |
|
|
|
0.16 |
|
|
|
- |
|
|
|
- |
|
|
|
0.14 |
|
|
|
- |
|
|
|
0.16 |
|
|
|
0.07 |
|
|
|
0.62 |
|
Net Change |
|
|
-0.01 |
|
|
|
-0.13 |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
-0.03 |
|
|
|
-0.01 |
|
|
|
-0.18 |
|
As of 3/31/21 |
|
|
0.08 |
|
|
|
0.03 |
|
|
|
- |
|
|
|
- |
|
|
|
0.14 |
|
|
|
- |
|
|
|
0.13 |
|
|
|
0.06 |
|
|
|
0.44 |
|
Gross Active Permits on PHX Acreage: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
As of 12/31/20 |
|
|
29 |
|
|
|
15 |
|
|
|
10 |
|
|
|
7 |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
13 |
|
|
|
74 |
|
Net Change |
|
|
-15 |
|
|
|
-4 |
|
|
|
-4 |
|
|
|
-4 |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
-7 |
|
|
|
-34 |
|
As of 3/31/21 |
|
|
14 |
|
|
|
11 |
|
|
|
6 |
|
|
|
3 |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
6 |
|
|
|
40 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
As of 3/31/21: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Rigs Present on PHX Acreage |
|
|
1 |
|
|
|
1 |
|
|
|
- |
|
|
|
- |
|
|
|
2 |
|
|
|
- |
|
|
|
1 |
|
|
|
- |
|
|
|
5 |
|
Rigs Within 2.5 Miles of PHX Acreage |
|
|
5 |
|
|
|
11 |
|
|
|
1 |
|
|
|
- |
|
|
|
3 |
|
|
|
- |
|
|
|
5 |
|
|
|
2 |
|
|
|
27 |
|
Leasing Activity
During the
|
|
|
|
|
|
|
|
|
|
Bakken/ |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three |
|
|
Arkoma |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||
|
|
SCOOP |
|
|
STACK |
|
|
Forks |
|
|
Stack |
|
|
Permian |
|
|
Fayetteville |
|
|
Haynesville |
|
|
Other |
|
|
Total |
|
|||||||||
During Three Months Ended 3/31/21: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net Mineral Acres Leased |
|
|
- |
|
|
|
1 |
|
|
|
- |
|
|
|
- |
|
|
|
41 |
|
|
|
- |
|
|
|
- |
|
|
|
326 |
|
|
|
368 |
|
Average Bonus per Net Mineral Acre |
|
|
- |
|
|
$ |
1,100 |
|
|
|
- |
|
|
|
- |
|
|
$ |
483 |
|
|
|
- |
|
|
|
- |
|
|
$ |
148 |
|
|
$ |
173 |
|
Average Royalty per Net Mineral Acre |
|
- |
|
|
13% |
|
|
|
- |
|
|
- |
|
|
25% |
|
|
|
- |
|
|
|
- |
|
|
18% |
|
|
18% |
|
ACQUISITION AND DIVESTITURE UPDATE
During the
|
|
|
|
|
|
|
|
|
|
Bakken/ |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three |
|
|
Arkoma |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||
|
|
SCOOP |
|
|
STACK |
|
|
Forks |
|
|
Stack |
|
|
Permian |
|
|
Fayetteville |
|
|
Haynesville |
|
|
Other |
|
|
Total |
|
|||||||||
During Three Months Ended 3/31/21: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net Mineral Acres Purchased |
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
11 |
|
|
|
- |
|
|
|
11 |
|
Net Royalty Acres Purchased |
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
18 |
|
|
|
- |
|
|
|
18 |
|
Price per Net Royalty Acre |
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
$ |
19,772 |
|
|
|
- |
|
|
$ |
19,772 |
|
Net Mineral Acres Sold |
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
Net Royalty Acres Sold |
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
Price per Net Royalty Acre |
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
PHX will host a conference call to discuss
FINANCIAL RESULTS
Statements of Operations
|
Three Months Ended March 31, |
|
|
Six Months Ended March 31, |
|
||||||||||
|
2021 |
|
|
2020 |
|
|
2021 |
|
|
2020 |
|
||||
Revenues: |
|
|
|
|
|
||||||||||
Natural gas, oil and NGL sales |
$ |
8,345,825 |
|
|
$ |
7,217,618 |
|
|
$ |
14,770,804 |
|
|
$ |
14,811,456 |
|
Lease bonuses and rental income |
|
58,554 |
|
|
|
22,092 |
|
|
|
59,987 |
|
|
|
549,791 |
|
Gains (losses) on derivative contracts |
|
(2,348,143 |
) |
|
|
4,071,577 |
|
|
|
(2,602,179 |
) |
|
|
3,253,683 |
|
Gain on asset sales |
|
23,257 |
|
|
|
- |
|
|
|
43,525 |
|
|
|
3,272,888 |
|
|
|
6,079,493 |
|
|
|
11,311,287 |
|
|
|
12,272,137 |
|
|
|
21,887,818 |
|
Costs and expenses: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Lease operating expenses |
|
1,030,651 |
|
|
|
1,542,199 |
|
|
|
2,035,063 |
|
|
|
2,723,870 |
|
Transportation, gathering and marketing |
|
1,319,514 |
|
|
|
1,356,628 |
|
|
|
2,600,479 |
|
|
|
2,739,629 |
|
Production taxes |
|
443,154 |
|
|
|
373,754 |
|
|
|
719,180 |
|
|
|
701,035 |
|
Depreciation, depletion and amortization |
|
1,777,817 |
|
|
|
3,373,518 |
|
|
|
4,038,466 |
|
|
|
6,329,219 |
|
Provision for impairment |
|
- |
|
|
|
29,545,702 |
|
|
|
- |
|
|
|
29,545,702 |
|
Interest expense |
|
267,865 |
|
|
|
346,573 |
|
|
|
569,763 |
|
|
|
717,238 |
|
General and administrative |
|
2,059,476 |
|
|
|
2,174,661 |
|
|
|
3,790,573 |
|
|
|
4,397,689 |
|
Other expense (income) |
|
(102,261 |
) |
|
|
40,066 |
|
|
|
(98,944 |
) |
|
|
29,136 |
|
|
|
6,796,216 |
|
|
|
38,753,101 |
|
|
|
13,654,580 |
|
|
|
47,183,518 |
|
Income (loss) before provision (benefit) for income taxes |
|
(716,723 |
) |
|
|
(27,441,814 |
) |
|
|
(1,382,443 |
) |
|
|
(25,295,700 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Provision (benefit) for income taxes |
|
(217,000 |
) |
|
|
(6,987,000 |
) |
|
|
(286,000 |
) |
|
|
(6,733,000 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income (loss) |
$ |
(499,723 |
) |
|
$ |
(20,454,814 |
) |
|
$ |
(1,096,443 |
) |
|
$ |
(18,562,700 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic and diluted earnings (loss) per common share |
$ |
(0.02 |
) |
|
$ |
(1.24 |
) |
|
$ |
(0.05 |
) |
|
$ |
(1.12 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic and diluted weighted average shares outstanding: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Common shares |
|
22,429,777 |
|
|
|
16,384,687 |
|
|
|
22,403,678 |
|
|
|
16,362,057 |
|
Unissued, directors' deferred compensation shares |
|
178,597 |
|
|
|
139,390 |
|
|
|
177,923 |
|
|
|
186,443 |
|
|
|
22,608,374 |
|
|
|
16,524,077 |
|
|
|
22,581,601 |
|
|
|
16,548,500 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Dividends declared per share of |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
common stock and paid in period |
$ |
0.01 |
|
|
$ |
0.04 |
|
|
$ |
0.02 |
|
|
$ |
0.08 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Dividends declared per share of |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
common stock and to be paid in quarter ended June 30 |
$ |
0.01 |
|
|
$ |
- |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Balance Sheets
|
March 31, 2021 |
|
|
Sept. 30, 2020 |
|
||
Assets |
|
|
|
|
|
|
|
Current assets: |
|
|
|
|
|
|
|
Cash and cash equivalents |
$ |
1,270,482 |
|
|
$ |
10,690,395 |
|
Natural gas, oil, and NGL sales receivables (net of $0 |
|
4,712,793 |
|
|
|
2,943,220 |
|
allowance for uncollectable accounts) |
|
|
|
|
|
|
|
Refundable income taxes |
|
2,448,871 |
|
|
|
3,805,227 |
|
Other |
|
752,248 |
|
|
|
351,088 |
|
Total current assets |
|
9,184,394 |
|
|
|
17,789,930 |
|
|
|
|
|
|
|
|
|
Properties and equipment at cost, based on |
|
|
|
|
|
|
|
successful efforts accounting: |
|
|
|
|
|
|
|
Producing natural gas and oil properties |
|
329,708,071 |
|
|
|
324,886,491 |
|
Non-producing natural gas and oil properties |
|
21,012,897 |
|
|
|
18,993,814 |
|
Other |
|
582,444 |
|
|
|
582,444 |
|
|
|
351,303,412 |
|
|
|
344,462,749 |
|
Less accumulated depreciation, depletion and amortization |
|
(265,863,136 |
) |
|
|
(263,590,801 |
) |
Net properties and equipment |
|
85,440,276 |
|
|
|
80,871,948 |
|
|
|
|
|
|
|
|
|
Operating lease right-of-use assets |
|
649,500 |
|
|
|
690,316 |
|
Other, net |
|
593,150 |
|
|
|
669,641 |
|
Total assets |
$ |
95,867,320 |
|
|
$ |
100,021,835 |
|
|
|
|
|
|
|
|
|
Liabilities and Stockholders' Equity |
|
|
|
|
|
|
|
Current liabilities: |
|
|
|
|
|
|
|
Accounts payable |
$ |
672,507 |
|
|
$ |
997,637 |
|
Derivative contracts, net |
|
3,000,530 |
|
|
|
281,942 |
|
Current portion of operating lease liability |
|
129,672 |
|
|
|
127,108 |
|
Accrued liabilities and other |
|
1,382,066 |
|
|
|
1,297,363 |
|
Short-term debt |
|
- |
|
|
|
1,750,000 |
|
Total current liabilities |
|
5,184,775 |
|
|
|
4,454,050 |
|
|
|
|
|
|
|
|
|
Long-term debt |
|
23,500,000 |
|
|
|
27,000,000 |
|
Deferred income taxes, net |
|
1,041,007 |
|
|
|
1,329,007 |
|
Asset retirement obligations |
|
2,927,662 |
|
|
|
2,897,522 |
|
Derivative contracts, net |
|
625,179 |
|
|
|
425,705 |
|
Operating lease liability, net of current portion |
|
856,142 |
|
|
|
921,625 |
|
|
|
|
|
|
|
|
|
Stockholders' equity: |
|
|
|
|
|
|
|
Class A voting common stock, $0.01666 par value; 36,000,500 |
|
|
|
|
|
|
|
shares authorized; 22,825,226 issued at March 31, 2021, and |
|
|
|
|
|
|
|
Class A voting common stock, $0.01666 par value; |
|
|
|
|
|
|
|
24,000,500 shares authorized; 22,647,306 issued at September 30, 2020 |
|
380,268 |
|
|
|
377,304 |
|
Capital in excess of par value |
|
11,150,749 |
|
|
|