FieldPoint Petroleum, an oil and gas company with a sprawling footprint across Louisiana, New Mexico, Oklahoma, Texas, and Wyoming, was happy to report record FY12 (ended Dec 31) financials today, including a 44% jump in revenues on over $2.11M net income (compared to just over $600k in 2011).
Yes, you read that right, net income is up 250% from the prior year. It seems FPP really has a handle on the baseline logistics of their considerable portfolio of oil and gas properties, with key interests in rapidly emerging plays, like the slated 10% interest to be earned in the exciting Riverdale Prospect in Texas (drilling set to kick off in the second half of this year).
President and CEO of FPP, Ray Reaves, commented on the exemplary bottom-line performance of the company, which has now been empirically highlighted via the record-breaking financials, pointing to the two most significant events of the year as high-water marks of progress, the completion of their first two wells in the Lusk Field (87.5%-100% WI, Lea County, NM). Both of these wells carried a good portion of the load in helping to accomplish this financial feat and plans are already in motion to sink a third well on the Lusk site that should add considerable weight to long-term reserve and production figures.
Reaves is basically tipping his hat to markets here about the impact Lusk alone will have on 2013 financials, which are already shaping up quite nicely. Reaves underscored the 225% climb in basic EPS to
.26 (212.5% jump in fully diluted), confident that this robust indicator of the company’s performance will be a hallmark for investors and that the real story goes even further than 2012 being the best year in the company’s history in many respects, speaking to the future of the company.
Looks like the company will also be taking a crack at drilling a development well in Goliad County, Texas, at the aforementioned Riverdale Prospect as well (targeting the Wilcox formation at around 8.9k feet). This development work in Goliad County, in conjunction with the new Lusk well, should indeed add mightily to the company’s reserves and production, with the leading indicators for 2013 financial performance increasing accordingly.
Energy costs are rising and Reaves is supremely confident about the future of the macro picture. When you see a hot little hydrocarbon producer like this doubling-down on the back of a banner year, it’s not hard to read the signals. FPP has some 304 gross productive wells (82.53 net) under their belt at last count, with operator status on 59 of them and the intention of obtaining primary operator status on the majority of the overall footprint where economic interests mandate it.