Rex Energy Reports $62M Net Loss in Q1
STATE COLLEGE, Pa. – Faced with continued depressed oil and gas commodity prices, Rex Energy Corp. reported a net loss of $62.2 million, or $1.11 per share, during the quarter ended March 31, the company reported Tuesday.
Declining commodity prices led to a substantial drop in revenues compared to the same period in 2015, the company said. Revenues for the quarter stood at $43.5 million, a decrease of 33% from the first quarter of last year.
Sales of oil and natural gas liquids represented 46% of total revenues generated during the quarter.
Production volumes across the company’s asset base rose 2% compared to the first quarter of 2015, the company reported. Oil, condensate and NGLs accounted for 38% of total production for the period.
The company’s three major drilling areas all saw activity during the quarter.
Rex Energy finished drilling two wells at its Geyer pad in the Legacy Butler Operated Area, which includes portions of Lawrence County in western Pennsylvania. The wells were drilled at an average lateral length of 4,200 feet and expect to be placed into production by the third quarter of this year.
In the Moraine East area in mostly Butler County, Rex Energy fractured four wells and placed 12 wells into production during the quarter. An additional four wells are to be placed into sales during the second quarter of 2016.
Rex Energy reported it also drilled two new wells, hydraulically fractured another, and placed four other wells into sales in its Warrior North Prospect in Carroll County, Ohio, during the quarter, the company said. Five other wells in the area are awaiting pipeline connections.
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