Monday, April 2, 2012

Xtreme Oil & Gas, Inc. (XTOG) Posts Improved Financial Performance for Fiscal 2011

Xtreme Oil & Gas, an independent energy company engaged in the exploration, development, and production of crude oil, today announced its financial results and operational highlights for fiscal year 2011.

“During the previous year Xtreme Oil & Gas achieved numerous milestones,” Willard G. McAndrew III, CEO of Xtreme stated in the press release. “We are pleased to have achieved an operating profit and excited to utilize these gains in fueling growth across both business lines. Management has successfully transitioned ourselves from a start-up to an emerging oil-producing company with several profitable revenue streams.”

For the 12 months ended December 31, 2011, the company reported revenue of $2.4 million compared to 2010 full-year revenue of $89,835. The company attributes the increase to revenues generated from drilling on its saltwater disposal well and the completion of its Five Star project in Texas.

Oil production expenses for 2011 totaled $194,848 compared to expenses of $241,896 reported for the comparable 12 months of 2010. Loss on disposal of properties totaled $48,356 for the year ended December 31, 2011, directly stemming from the company’s attempts to recover damages on the Lionheart property.

The company reported 2011 net losses before tax of $325,088, or $(0.01) per share on a fully diluted basis, compared with net losses of $7.0 million, or $(0.17) per share on a fully diluted basis, for 2010.

Xtreme said it believes it is useful to consider this non-GAAP measure as it excludes significant one-time accounting charges related to the notes and warrants issued during the third quarter of 2011.

McAndrew III noted the company’s efforts to ramp-up production in a couple properties that are expected to generate continued strength, as well as noted several other operational achievements.

“During 2011 we made investments to increase our production at our Texas and Oklahoma properties that will lead to continued growth in 2012. We also progressed in our high-margin saltwater disposal business and have recently completed construction of our saltwater disposal facility. We have received letters of intent to dispose up to 15,000 barrels of saltwater per day from AMEREX and Southern Wellhead,” McAndrew III stated. “Management believes that this business line will provide an additional $7 million in revenue for each well when it reaches full volume. Recent oil production in Texas and Oklahoma combined with anticipated recovery in Kansas and growth of our salt water disposal business strongly positions us for increased earnings, improved margins, and enhanced shareholder value.”

For more information visit www.xtoginc.com

About QualityStocks

QualityStocks is committed to connecting subscribers with companies that have huge potential to succeed in the short and long-term future. We offer several ways for investors to learn more about investing in these companies as well as find and evaluate them.

Sign up for “The QualityStocks Daily Newsletter” at www.QualityStocks.net

The Quality Stocks Daily Blog http://blog.qualitystocks.net

The Quality Stocks Daily Videos http://videocharts.qualitystocks.net

The Quality Stocks “Ones to Watch” http://gotstocks.qualitystocks.net

Please see disclaimer on the QualityStocks website: http://disclaimer.qualitystocks.net

No comments: