New Zealand Energy Corp Announces 2020 Quarter 4 Results
Wellington, New Zealand--(Newsfile Corp. - April 30, 2021) - New Zealand Energy Corp. (TSXV: NZ) ("NZEC" or the "Company") announced today it has filed with Canadian regulatory authorities its Q4 2020 consolidated financial results and an accompanying management discussion and analysis report, which documents are available on the Company's website at www.newzealandenergy.com and on SEDAR at www.sedar.com.
Commenting on the Company's 2020 end of year results, Chairman James Willis said "The results saw a loss of $1,092,350 (compared to the 2019 loss of $1,987,701) which included significant non-cash expenses including depreciation and depletion. Overall, there was a ($454,724) decrease in cash at year end and $1,020,085 was held as at 31 December 2020. While disappointing, the result reflects the impact of COVID-19 on operations and the impact on revenues of the oil price collapse in March 2020. Cash provided by operating activities was a loss of $493,098, compared to 2019 when $787,751 of cash was provided by operations.
The Company achieved average net daily production of 128 boe/d (99% oil) through 2020 compared to 158 boe/d (99% oil) during 2019.
The Company implemented a further restructuring of the business in Q4 and Q1 of 2021 which has involved a further reduction in manpower."
With respect to business development, Mr Willis commented: "While the Company is evaluating new opportunities and a return to continuous production at the Waihapa-Ngaere Field, we are particularly focused on opportunities within the Tariki licence area including the potential to locate by-passed gas and the establishment of a gas storage facility.The Company commenced acquiring 71 km2 of high resolution 3D seismic data in the Tariki area during Q2, 2021."
On behalf of the Board of Directors
New Zealand Energy Corp.
New Zealand Energy Contacts
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FORWARD-LOOKING INFORMATION AND CAUTIONARY NOTE REGARDING RESERVE ESTIMATES
This document, the consolidated financial statements for the year ended 31 December 2020 and the Management's Discussion and Analysis contain certain forward- looking information, forward-looking statements ("forward-looking statements"). The reader's attention is specifically drawn to the qualifications, disclosure and cautionary statements in these documents regarding forward-looking statements and reserve and resource estimates.
The Company notes that such forward-looking statements are subject to numerous risks and uncertainties, some of which are beyond NZEC's control, the impact of general economic conditions, industry conditions, volatility of commodity prices, currency fluctuations, imprecision of reserve estimates, environmental risks, operational risks in exploration and development, competition from other industry participants, the lack of availability of qualified personnel or management, stock market volatility and the ability to access sufficient capital from internal and external sources. Although the Company believes that the expectations in its forward-looking statements are reasonable, they are based on factors and assumptions concerning future events which may prove to be inaccurate. Those factors and assumptions are based upon currently available information. Such statements are subject to known and unknown risks, uncertainties and other factors that could influence actual results or events and cause actual results or events to differ materially from those stated, anticipated or implied in the forward looking information.
As such, readers are cautioned not to place undue reliance on the forward looking information, as no assurance can be provided as to future results, levels of activity or achievements. All forward-looking statements are made as of the date of this document or the date of the documents referenced above, except as required by applicable law, the Company does not undertake any obligation to publicly update or to revise any of the forward-looking statements, whether as a result of new information, future events or otherwise.
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