Thursday, December 12, 2013

Victory Energy Corp. (VYEY) Maintains Powerful Growth Trajectory

Victory Energy is an independent oil & gas company focused on growing proved reserves and cash-flow by further developing existing properties as well as by acquiring new resource properties. Last month the company issued its outlook for full-year 2013 with some impressive guidance.

In November the company said it is on track to double in size for fiscal 2013. Furthermore, the company estimates that it will shortly thereafter again achieve 100 percent growth based on its currently held Permian Basin properties.

For 2013 (including Q4 estimates), Victory Energy sees a 100 percent increase in mineral and drilling investments to $2 million vs. $1 million in 2012. Undiscounted proved reserve value is expected to increase 97 percent to $6.2 million vs. $3.3 million last year.

In terms of revenues, Victory Energy expects to see a 106 percent increase in revenue to $674,000 vs. $326,000 last year; and achieve a 130 percent increase in oil as a percent of revenue, to 41 percent compared to 18 percent.

It was a series of valuable initiatives that positioned the Victory Energy for such growth, including the expansion of its Lightnin’ Basin Project earlier this year.

Victory Energy in May 2013 acquired a 320 – acre (gross) lease in Glasscock County, Texas through Aurora Energy Partners, which Victory Energy manages and owns a 50 percent interest. The addition of the 320 acres completed a full 640 – acre square and provided the company the opportunity to drill up to 16 gross vertical wells.

The company plans to continue this trajectory by sourcing new capital by utilizing an established pipeline of investors available through Aurora Energy Partners and additional third-party sources.

For more information, visit www.vyey.com

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