Badger Explorer ASA – 1Q 2013 Report
Badger Explorer ASA (BXPL) releases its 1Q 2013 Report today. The investor presentation in Oslo will take place at Hotel Continental on Wednesday, 22th May 2013 at 13:00 – 14:00 CET. The investor presentation in Stavanger will take place at Badger Explorer ASA's premises at Forusskogen 1, 4033 Stavanger on Thursday, 23th May 2013 at 09:00 - 10:00 CET.
During 1Q 2013 Badger Explorer ASA has established stronger strategic sponsorship group for the Badger Demonstrator Program, now consisting of ExxonMobil, Statoil, Chevron and Wintershall. This program represents the technical focus of the Company for the rest of the year. The steering committee has been expanded with two new sponsors for the program, Chevron and Wintershall. The focus of the steering committee is to guide the Milestone program based on the development of the tasks defined in the Badger Demonstrator Program Agreement. Milestone 2, which has been completed and approved in 1Q 2013, released a further installment of the sponsorship funding. The development work is now focused on the completion of the Beta Version of the Badger tool, which represents most of the deliverables for Milestone 3, and is planned to be ready for testing during the second half of the year 2013.
In parallel with the development activities, BXPL and the sponsors continue early discussions regarding the Field Pilot test phase and focus on optimizing the selection of Field Pilot targets and definition of specific objectives. Field pilot test sites have been investigated, including some which are close to BXPL’s facilities in Norway. They will substantially reduce both the time and cost required of conducting field operations.
The main funding sources for 2013 will be the expanded sponsorship, possible Calidus sale and release of the public grant, awarded from Innovation Norway and Research Council of Norway. Stringent cash management continues to be a priority.
Cash flow in 1Q 2013 totaled -757 kNOK compared to net change in cash flow of –7.6 MNOK in 1Q 2012.
Summarizing the 1Q 2013 financial results for the Badger Explorer Group (including 75%-owned Calidus Engineering Ltd.):
Revenues for 1Q 2013 amounted to 1,736 kNOK (3,610 kNOK for 1Q 2012);
Operating expenses for 1Q 2013 were 6,384 kNOK (7,569 kNOK for 1Q 2012);
EBITDA for 1Q 2013 was -4,648 kNOK (–3,959 kNOK for 1Q 2012).
The development work in 2013 is focused on completing tool design, testing, building of the Badger Explorer Demonstrator tool and preparing for the upcoming Field Pilot phase. The achievements of the previous quarter are in line with this goal. A stronger sponsors group, possible sale of Calidus and release of public grants secure funding for 2013. Furthermore, technical deliveries and increased focus on technical progress are the basis for achieving performance targets set in the Badger Demonstrator Program.
Stavanger, 16th May 2013
For further information, please contact:
David Blacklaw, CEO, cell phone +47 406 44 010, office +47 52 97 45 50
Gunnar Dolven, CFO, cell phone +47 908 53 168, office +47 52 97 45 40
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