AUSTIN, Texas, April 9, 2013 /PRNewswire/ -- Imperial Resources, Inc. (OTCQB: IPRC) and its wholly owned subsidiary, Imperial Oil & Gas, Inc. (together the "Company", "Imperial") is pleased to announce that a consistent, better than expected average oil cut has been achieved at its Green Tide Salt Water Disposal Facility ("Green Tide").
As announced on February 11, 2013 the oil cut recovered from water accepted for disposal, although small in percentage terms, is projected to form a material proportion of overall Green Tide revenues. At that time an oil cut of 0.25% to 0.5% was expected after optimization of the Green Tide plant, with oil sales expected to form less than half of total Green Tide revenues.
The Company is delighted to report that during the course of the previous calendar quarter the average oil cut recovered for sale has, on average, exceeded the maximum 0.5% expected. This, combined with firm oil prices, has led to oil sales income exceeding water disposal revenues.
The Company believes that the Green Tide engineering improvements have contributed significantly to this strong oil cut, but there remains a possibility that the plant also received excessively oil rich water during the first calendar quarter. The Company continues to monitor and evaluate the situation. As time passes it will be more apparent as to the exact contributions of the factors that could have influenced this improvement.
During the course of the first calendar quarter of 2013 the Company has sold a total of 6 truck loads of oil, totalling well in excess of 1,000 barrels of oil. A further load is anticipated to be sold in early April. Oil prices remain firm.
Daily average water disposal rates steadily increased month on month in the quarter, largely due to the effect of a recent extension of operating hours and the availability of additional personnel. Green Tide achieved substantial operating profitability during the quarter through the combined increase in income from both water disposal fees and oil sales.
The Company believes sustained profitability will build further value in its primary asset. The Company also sees these results as indicative of the potential high net income Green Tide may generate if daily water disposal volumes can be further increased towards the fully permitted levels of 15,000 barrels of water per day.
About Imperial Resources, Inc.
Imperial Resources, Inc., through its wholly owned subsidiary, Imperial Oil & Gas, Inc. has a highly focused, risk-averse strategy of building a substantial portfolio of oil and gas assets through its access to niche, low risk oil and gas opportunities in the onshore U.S. Imperial aims to exploit projects which can deliver cash flows normally associated with higher risk projects but without exposure to high risk failure rates.
To find out more about Imperial Resources, Inc. (OTCQB: IPRC), visit our website at www.imperialresourcesinc.com. Details of the Company's business, finances, appointments and agreements can be found as part of the Company's continuous public disclosure as a reporting issuer under the Securities Exchange Act of 1934 filed with the Securities and Exchange Commission's EDGAR database.
Forward-Looking Statements
Statements in this news release that are not statements of historical fact are forward-looking statements, which are subject to certain risks and uncertainties. Forward-looking statements can often be identified by words such as "expects," "intends," "plans," "may," "could," "should," "anticipates", "assumes", "likely," "believes" and words of similar import. Forward-looking statements are based on current facts and analyses and other information that are based on forecasts of future results, estimates of amounts not yet determined and assumptions of management. Actual results may differ materially from those expressed or implied by forward-looking statements due to a variety of factors that may or may not be foreseeable or within the reasonable control of the Company. Readers are cautioned not to place undue reliance on such forward-looking statements. Additional information on risks and other factors that may affect the business and financial results of the Company can be found in filings of the Company with the U.S. Securities and Exchange Commission, including without limitation under the caption "Risk Factors" in the Company's Annual Report on Form 10-K filed on July 16, 2012. Except as otherwise required by law, the Company disclaims any obligations or undertaking to publicly release any updates or revisions to any forward-looking statement contained in this news release to reflect any change in the Company's expectations with regard thereto or any change in events, conditions or circumstances on which any such statement is based.
Contact:
Rob Durbin, CEO
Telephone:
512 322-5740
http://www.imperialresourcesinc.com/pages/contact
SOURCE Imperial Resources, Inc.