GEORGETOWN, GRAND CAYMAN, CAYMAN ISLANDS, May 14, 2010 (MARKETWIRE via COMTEX) –Tethys Petroleum Limited (“Tethys” or the “Company”) (TSX: TPL) today announced its First quarter Results for the period ended March 31, 2010. The First quarter Results together with a Management Discussion & Analysis have been filed with the Canadian securities regulatory authorities. Copies of the filed documents may be obtained via SEDAR at www.sedar.com or on Tethys’ website at www.tethyspetroleum.com. The summary financial statements are attached to this press release.
Highlights
-- Through the completion of three private placements the Company raised in excess of US$55 million (gross) in the quarter. -- The Company generated revenues from gas and oil sales of US$2.1million in the quarter compared to US$0.5 million for the same period in 2009. -- The Company recorded a pre-tax net loss of US$7.9 million in the quarter ended March 31, 2010 compared to a net loss of US$6 million in the same period of 2009. -- Capital expenditure in the three months to March 31, 2010 was US4.4 million compared to US$4.2 million in the same period of 2009. In Tajikistan which now operates as a joint venture the capital expenditure in the three months to March 31, 2010 was $2.3 million compared to $6.0 million in the same period of 2009. -- Production costs in the quarter were US$0.97 million compared to US$0.28 million in the same period of 2009.
These highlights along with other operational and financial details will be further discussed in a scheduled conference call. Details of the conference call can be found below:
Conference Call:
A conference call will be held at 10:00 AM Eastern Time on Tuesday, May 18, 2010. The North American conference call number is (888) 231-8191 and the outside North America conference call number is (647) 427-7450. The conference call code to use is 75827967. Please call in about 10 minutes before the starting time in order to be patched into the call.
Webcast:
The call is being webcast and can be accessed at:
http://www.newswire.ca/en/webcast/viewEvent.cgi?eventID=3080220
Tethys is focused on oil and gas exploration and production activities in Central Asia with activities currently in the Republics of Kazakhstan and Tajikistan. This highly prolific oil and gas area is rapidly developing and Tethys believes that significant potential exists in both exploration and in discovered deposits.
This press release contains “forward-looking information” which may include, but is not limited to, statements with respect to our operations. Such forward looking statements reflect our current views with respect to future events and are subject to certain risks, uncertainties and assumptions. See our Annual Information Form for the year ended December 31, 2009 for a description of risks and uncertainties relevant to our business, including our exploration activities.
Tethys Petroleum Limited Interim Consolidated Financial Statements (Unaudited) March 31, 2010 (in thousands of US dollars) Tethys Petroleum Limited Consolidated Statement of Financial Position (Unaudited) (in thousands of US Dollars) As at March 31, December 31, 2010 2009 $ $ Non-current assets Property, plant and equipment 75,356 73,171 Intangible assets 26,186 24,378 Investments 687 659 Prepaids and other receivables 6,491 5,171 Loan receivable from jointly controlled entity 23,897 21,727 ------------------------------- 132,617 125,106 ------------------------------- Current assets Inventories 2,439 2,368 Prepaids and other receivables 2,422 2,311 Cash and cash equivalents 48,927 7,297 ------------------------------- 53,788 11,976 ------------------------------- Total assets 186,405 137,082 ------------------------------- ------------------------------- Equity attributable to shareholders Share capital 18,717 13,455 Share premium 206,258 153,748 Other reserves 28,968 27,775 Accumulated deficit (96,373) (88,374) ------------------------------- Total equity 157,570 106,604 ------------------------------- Non-current liabilities Deferred gain on sale of assets to jointly controlled entity 3,698 3,659 Financial liabilities - borrowings 8,031 9,324 Shares to be issued - 3,750 Deferred taxation 692 598 Trade and other payables 838 808 Asset retirement obligations 160 206 ------------------------------- 13,419 18,345 ------------------------------- Current liabilities Financial liabilities - borrowings 3,789 1,086 Derivative financial instruments - warrants 3,405 1,053 Derivative financial instruments - interest rate swap 292 95 Deferred revenue 2,204 3,113 Trade and other payables 5,726 6,786 ------------------------------- 15,416 12,133 ------------------------------- ------------------------------- Total liabilities 28,835 30,478 ------------------------------- Total shareholders' equity and liabilities 186,405 137,082 ------------------------------- ------------------------------- Tethys Petroleum Limited Consolidated Statement of Comprehensive Loss (Unaudited) For the three months ended March 31 (in thousands of US Dollars, except for per share data) 2010 2009 $ $ Sales and other operating revenues 2,116 529 Finance income 3 30 --------------------- Total revenue and other income 2,119 559 Production expenditures (974) (285) Depreciation, depletion and amortization (692) (517) Exploration and evaluation expenditure written off - (17) Listing expenses (626) - Administrative expenses (4,775) (3,720) Foreign exchange gains / (losses) net 14 (1,753) Fair value gain / (loss) on derivative financial instrument (2,501) 40 Loss from jointly controlled entity (150) - Finance costs (321) (323) --------------------- Loss before taxation (7,906) (6,016) Taxation (93) - --------------------- Net loss and comprehensive loss for the period attributable to shareholders (7,999) (6,016) --------------------- --------------------- Loss per share attributable to shareholders --------------------- --------------------- Basic and diluted (0.05) (0.09) --------------------- --------------------- No dividends were paid or are declared for the period (2009- $Nil). Tethys Petroleum Limited Consolidated Statement of Cash Flows (Unaudited) For the three months ended March 31 (in thousands of US dollars) 2010 2009 $ $ Cash flow from operating activities Loss before taxation for the period (7,906) (6,016) Adjustments for Share based payments 1,193 704 Net finance cost 309 293 Unsuccessful exploration and evaluation expenditures - 17 Depreciation, depletion and amortization 692 517 Fair value gain (loss) on derivative financial instrument 2,501 (40) Listing expenses 351 - Net unrealised foreign exchange loss 33 1,250 Loss from jointly controlled entity 150 - Deferred revenue (909) - Net change in non-cash working capital (1,786) (1,250) ------------------------------ Net cash used in operating activities (5,372) (4,525) ------------------------------ Cash flow from investing activities Interest received 3 30 Expenditure on exploration and evaluation assets (1,770) (5,950) Expenditures on property, plant and equipment (2,673) (4,287) Investment in restricted cash (28) (8) Payments made on behalf of jointly controlled entity (2,280) - Movement in advances to construction contractors (1,027) 920 Value added tax receivable (451) (75) Net change in non-cash working capital (10) 93 ------------------------------ Net cash used in investing activities (8,236) (9,277) ------------------------------ Cash flow from financing activities Proceeds from issuance of long term borrowings 1,840 - Repayment of long-term borrowings (347) (212) Interest paid on long-term borrowings and other non-current payables (193) (162) Other non-current liabilities (70) (22) Proceeds from issuance of equity, net of issue costs 54,022 - ------------------------------ Net cash generated from financing activities 55,252 (396) ------------------------------ Effects of exchange rate changes on cash and cash equivalents (14) (36) Net increase / (decrease) in cash and cash equivalents 41,630 (14,234) Cash and cash equivalents at beginning of the period 7,297 22,200 ------------------------------ Cash and cash equivalents at end of the period 48,927 7,966 ------------------------------ ------------------------------
Contacts: Tethys Petroleum Limited Sabin Rossi Vice President Investor Relations Office: +1 416 572 2065 +1 416 572 2201 (FAX) info@tethyspetroleum.com In Kazakhstan PG Communications Ardak Akanov, Managing Director Office phone/fax: +7 (727) 272 8867, +7 (727) 272 8237, +7 (727) 272 7745 development@pressclub.kz In Asia-Pacific Quam IR Anita Wan, Associate Director + (852) 2217-2999 anita.wan@quamgroup.com www.tethyspetroleum.com
SOURCE: Tethys Petroleum Limited
mailto:info@tethyspetroleum.com mailto:development@pressclub.kz mailto:anita.wan@quamgroup.com http://www.tethyspetroleum.com