Depletion and depreciation expensefrom sedar
Oil and gas revenue $81,324,000 and add to this $25,845,000 for realized gain on financial derivatives (hedging)... which gives.... total revenue of $107,169,000.
So where did the money go to give LRE a loss...hmmm
Well $60,584,000 went to depletion and depreciation (note 5)
From not 5....
Accumulated Depletion, Depreciation and Impairments ($000s) March 31, 2015 December 31, 2014 Balance, beginning of year (1,181,909) (585,542) Depletion and depreciation expense (60,584) (234,829) Disposals - 38,462 Impairments - (400,000) Balance, end of period (1,242,493) (1,181,909)
Here's another fancy wording that needs a lot of rethinking...
Note 7
7. AVAILABLE CREDIT FACILITIES At March 31, 2015, the Company had credit facilities of $695.0 million, consisting of a $655.0 million revolving syndicated facility and a $40.0 million operating facility. At March 31, 2015, $625.7 million was drawn against the credit facilities (December 31, 2014 - $611.7 million). During 2015, Long Run plans to repay $100.0 million of its bank debt primarily through asset dispositions. As a result, $100.0 million of bank debt has been classified as a current liability. Under the credit facilities, total borrowings cannot exceed the borrowing base, which is determined by the lenders on a semi-annual basis, or upon the occurrence of a material event. The level of the borrowing base is determined by the lenders based upon their review of, among other things, the Company’s reserves and the value thereof, utilizing commodity prices determined by the lenders which may be different than those utilized by the Company’s independent reserve evaluator. The borrowing base was last confirmed by the lenders on November 25, 2014, upon completion of their semi-annual review.
I'm no accountant, is the $60 million of depletion and depreciating sitting in an account some where, is the $625 milllion of bank debt really $625 or is it $100 miollion less ???