Wednesday, May 6th10.3°C
25411

Encana spinoff PrairieSky posts $23.9-million profit in first financial report

CALGARY - PrairieSky Royalty Ltd. (TSX:PSK), the Encana Corp. spinoff that made its trading debut this spring, posted a $23.9-million profit in its first financial report.

The net earnings and comprehensive income for the period between PrairieSky's May 27 inception and June 30 amounted to one dollar per diluted share, or 18 cents on an adjusted basis.

Revenues were $37.2 million while funds from operations were $31 million.

Production averaged 15,664 barrels of oil equivalent per day, with 44 per cent crude oil, 10 per cent natural gas liquids and 46 per cent natural gas.

At the end of June, PrairieSky had working capital of $57.4 million.

"The first several weeks of active operations have been very busy and productive and I would like to thank all of our employees and directors for their contributions and hard work in ensuring a successful start for PrairieSky" CEO Andrew Phillips said in a release.

As part of a sweeping new strategy unveiled last fall, Calgary-based energy producer Encana (TSX:ECA) decided to separate a big chunk of its royalty lands into a new publicly traded company, PrairieSky.

PrairieSky aims to bring in revenues by allowing other energy companies to develop oil and gas on its land, which spans 5.2 million acres in southern and central Alberta.

Encana, which reports its second-quarter results on Thursday, raised about $1.67 billion from the spinoff and retains a 54-per-cent stake in PrairieSky.

PrairieSky had a high-profile initial public offering on May 29. Since then, its stock price has been well above the IPO price of $28, closing at $38.18 on the Toronto Stock Exchange on Monday.

The Canadian Press


Read more Business News

25990


Recent Trending




Today's Market
S&P TSX15023.89-150.05
S&P CDNX687.00-9.75
DJIA17841.98-86.22
Nasdaq4919.64-19.68
S&P 5002080.15-9.31
CDN Dollar0.8302-0.0003
Gold1193.80+0.60
Oil60.42-0.51
Lumber244.90+2.90
Natural Gas2.769-0.007

 
Okanagan Companies
Pacific Safety0.13-0.02
Knighthawk0.010.00
QHR Technologies Inc1.46+0.01
Cantex0.03-0.01
Anavex Life Sciences0.346+0.004
Metalex Ventures0.09-0.01
Russel Metals26.42-0.42
Copper Mountain Mining1.54-0.04
Colorado Resources0.10-0.00
ReliaBrand Inc0.0059+0.0019
Sunrise Resources Ltd0.05+0.01
Mission Ready Services0.205+0.010
Decisive Dividend Corporation1.85-0.15

 





FEATURED Property
1982440682 Devonian Avenue
5 bedrooms 4 baths
$1,239,000
more details
image2image2image2
Click here to feature your property
Please wait... loading


Sales Poodle wanted

Do you have a customer or prospect who treats you like a some sort of Sales Poodle? Photo: ContributedA Sales Poodle believes that his job is to satisfy the customer. The customer is king is a core be...


Not the lawsuit type

If I asked you whether you were the lawsuit type, chances are that your answer would be a resounding “NO”. Most people cringe at the thought of being involved in a lawsuit and if you don&r...


The rules are changing

In recent years, a number of countries, including England, Australia and the United States, have changed the regulatory framework that governs their financial institutions. Included have been changes ...

_



26000

26199


Member of BC Press Council


25770