/NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR
DISSEMINATION IN THE UNITED STATES/
CALGARY, Oct. 30 /CNW/ - Paris Energy Inc. ("Paris" or the "Company")
(TSXV: PI) is pleased to announce its financial and operating results for the
three and nine months ended August 31, 2008.
During the first nine months of 2008, the Company commenced production on
all wells drilled in 2007. Revenues, with the assistance of strong commodity
prices, have increased monthly. Revenues for the first nine months of 2008
were $721,467 as compared to $771,675 in the comparable period in 2007.
Revenue increased from $16,754 in the three months ended August 31, 2007 to
$416,178 in the three months ended August 31, 2008. Both production and
commodity prices improved, particularly during the third quarter. Expenditures
on oil and natural gas prospects to August 31, 2008 totalled $1,851,230 and
were primarily tie-in and equipment costs.
The Company continues operations of its existing properties, and once
stabilized production has been achieved from existing wells decisions will be
made with respect to additional exploration and development in these areas.
The Company has been acquiring land and seismic in existing exploration and
development project areas in preparation for further activity in future
In the Retlaw area of southern Alberta, the Company has acquired seismic
and exercised an option to drill an earning well on a seismically defined
Three months Nine months
ended August 31 ended August 31
(unaudited) 2008 2007 2008 2007
------------ ------------ ------------ ------------
Total revenue $ 419,099 $ 46,053 $ 757,844 $ 800,974
Cash flow from
operations 114,943 (124,501) 5,054 (366,582)
diluted 0.01 (0.01) 0.00 (0.04)
(loss) 22,848 (128,332) (163,362) (77,106)
diluted 0.00 (0.02) (0.02) (0.01)
expenditures 427,015 689,807 1,851,230 $ 1,140,428
(deficiency) $ (286,338) $ 2,605,767 $ (286,338) $ 2,605,767
outstanding 9,552,347 9,552,347 9,552,347 9,552,347
(Mcf/d) 229 15 146 299
(Bbl/d) 10 1 8 9
NGL (Bbl/d) 4 1 3 1
BOE/d (6 Mcf
1 Bbl) 52 4 35 59
($/Mcf) $ 9.76 $ 6.18 $ 9.10 $ 7.24
Oil ($/Bbl) $ 118.60 $ 70.84 $ 103.89 $ 54.56
The outlook for the energy industry worldwide has become less certain in
the past few weeks. The recent decline in oil prices, the relatively low price
for natural gas and an apparent lack of interest by investors in small oil and
natural gas companies could make coming quarters difficult.
The Company plans to raise additional financing in the coming months, but
has no major capital commitments that must be completed. As a result the
Company has the flexibility of waiting until the current financial situation
has been clarified, if necessary. Management and the Board of Directors
however, continue to investigate opportunities and strategic alternatives to
add shareholder value.
We would like to thank shareholders for their patience, and request their
indulgence for the next few months as we weather the current financial storm
surrounding this and other industries. The country, the continent and the
world will continue to consume oil and natural gas. With normal growth, demand
for our products will increase, and as we are producing a depleting resource,
prices should increase as well. Management's goal is to have the Company in a
position to take advantage of opportunities which will present themselves
during these difficult times.
Forward Looking Statements
During 2007, the Company sold substantially all of its oil and gas assets
and appointed a new management group, therefore, the historical information
has limited value in assessing future performance.
Certain statements contained in this press release constitute
forward-looking statements. The use of any of the words "anticipate",
"continue", "estimate", "expect", "may", "will", "project", "should",
"believe" and "confident" and similar expressions are intended to identify
forward-looking statements. These statements involve known and unknown risks,
uncertainties and other factors that may cause actual results or events to
differ materially from those anticipated in such forward-looking statements.
Paris believes that the expectations reflected in those forward-looking
statements are reasonable but no assurance can be given that these
expectations will prove to be correct and such forward-looking statements
included in this press release should not be unduly relied upon. These
statements speak only as of the date of this press release. Paris undertakes
no obligation to publicly update or revise any forward-looking statements,
whether as a result of new information, future events or otherwise, except as
expressly required by applicable securities laws.
Further information relating to Paris may be found on www.sedar.com
THE TSX VENTURE EXCHANGE DOES NOT ACCEPT RESPONSIBILITY FOR THE ADEQUACY
OR ACCURACY OF THIS RELEASE.
TSX Venture : PI
For further information:
For further information: John G. F. McLeod, President, PARIS ENERGY
INC., 2000, 633 - Sixth Avenue S.W., Calgary, Alberta T2P 2Y5, Telephone:
(403) 264-5545, Fax: (403) 261-4072; Robert W. Lamond, Chairman of the Board,
PARIS ENERGY INC., 1800, 633 - Sixth Avenue S.W., Calgary, Alberta T2P 2Y5,
Telephone: (403) 269-9889, Fax: (403) 269-9890