American Standard Energy, an independent oil and natural gas exploration and development company with producing properties in Texas and North Dakota, has announced major revenue growth for the first quarter of 2011. The company reported first quarter oil and gas revenues of $2,388,493. The figure represents a 209% increase over revenues for the fourth quarter of 2010, and a 1,169% increase over the $188,122 revenue reported for the first quarter of 2010, before the impact of subsequent acquisitions.
The increase was due to a growth in well production, and was accompanied by major expansions in acreage and money raised through private placements.
• Acquired production from 36 gross (18.4 net) wells in the Permian Basin of West Texas, increasing daily production by over 350 BOE (barrels of oil equivalent).
• Increased the number of wells in the Bakken Shale Formation in North Dakota by 16 gross, with combined production approximating 125 barrels of oil per day.
• Completed two 100% Wolfberry wells in Upton County, Texas, with combined daily production of 159 BOE.
• Expanded Bakken oil, gas, and mineral leases by 164%, and Permian oil, gas, and mineral leases by 55%.
• Raised $34.4 million in net proceeds from two equity private placements, completed in February and March of 2011.
The quarterly revenue figures did not take into account the company’s subsequent increase in total proven barrels of oil reserves to 4,709,436, a 287% increase over December 31, 2010. Nor did it include an increase in oil, gas, and mineral leases totaling approximately 14,555 net mineral acres in the Bakken, an 89% increase in Bakken acreage compared to the first quarter’s end in March 2011.
American Standard Energy CEO, Scott Feldhacker, commented on the first quarter’s 2011 operational performance: “We executed on a series of important growth opportunities and we expect to maintain a rapid pace throughout 2011. As we have already demonstrated early in the second quarter, we will continue to accelerate our acquisition program for acreage in the Bakken/Three Forks. We will also accelerate our ability to acquire proven producing wells and develop our existing acreage in the Permian. We feel that our ability to acquire and aggressively develop key assets in the Permian, Eagle Ford and Bakken will differentiate American Standard Energy as a unique and rapidly growing company in three of the most desirable plays in the continental US today.”