Biloxi Marsh Lands Corporation (PINK SHEETS:BLMC) today
announces its unaudited results for the first quarter of 2010 and
provides update. Total revenue for the three months ending March
31, 2010 was $445,686 compared to $995,122 for the first quarter of
2009. For the first quarter total revenue includes a small loss of
$2,617 emanating from partnership income which represents the
Company’s interest in B&L Exploration, LLC (BLX) compared to
revenue of $409,571 in the same category for the first quarter of
2009. This small loss carried through from BLX was mainly due to
drilling and completion costs borne by Class B membership in BLX
(please see the following paragraph for additional explanation).
During the first quarter of 2010 we incurred a cumulative gain from
the sale of investment securities in the amount of $57,350 as
compared to a cumulative gain from the sale of investment
securities of $136,056 for the same period in 2009. Meanwhile for
the quarter, total expenses were $253,549 compared to $309,582 for
the prior year. For the first quarter of 2010, net earnings
decreased to $134,496 or $0.05 per share from $494,280 or $.18 per
share for the same period of 2009.
BLX was organized as a limited liability company (LLC) under the
laws of Louisiana in July of 2006. BLX’s Class A members are BLMC
and Lake Eugenie Land & Development, Inc. (LKEU), which have
membership percentages of 75% and 25% respectively. The Operating
Agreement was amended on November 16, 2009 to create a Class B
membership to allow for certain future projects at the discretion
of the board of managers to be participated by either Class A or
Class B members or a combination of the respective Classes. BLX’s
Class B members are BLMC and LKEU, which have membership
percentages of 90% and 10% respectfully.
As of March 31, 2010 the combined gross daily production rate
from 5 wells operated by the Company's mineral Lessees was
approximately 6.4 million cubic feet (mmcf) of natural gas with net
daily production accruing to the Company of approximately .63
mmcf.
We previously announced that BLX operated, drilled and
successfully completed the SL 19061 #1 Well in St. Bernard Parish,
LA. This well was placed on production January 8, 2010 and was
producing at a rate of approximately 3.0 mmcf per day as of May 1,
2010. In addition, we previously announced that BLX participated in
the drilling and completion of the Delacroix # 41 ST and the SL
1212 #1 in Plaquemines Parish, Louisiana. Each of these wells
logged oil and gas pay within the UL-5 sand interval. BOPCO, L.P.
is the Operator of these wells located within the Pointe A La Hache
Field. BLX’s Class B membership has a 25% working interest in each
of these wells. It should be noted that the Delacroix # 41 ST is on
production, while the SL 1212 #1 well has not been placed on
production as of the date of this release. As of May 1, 2010 the
total net daily natural gas production accruing to BLX was
approximately 3.2 mmcf of natural gas and 17.22 barrels of oil.
Combining the 5 wells operated by the Company's mineral Lessees
with the BLMC’s interest in the BLX wells the total combined daily
production accruing to the BLMC (from BLX and Lessee wells) as of
May 1, 2010 was approximately 3.4 mmcfe (natural gas equivalents)
per day. BLX’s future plans include participating in the drilling
of additional wells during 2010.
We are all saddened by the tragic events that occurred in April
onboard the Deep Water Horizon drilling rig working for BP off of
the coast of Louisiana. Since the sinking of the rig and subsequent
oil spill, we have had personnel patrolling in the field and
working closely with the State, and local officials as well as
representatives of BP. We are pleased to report that as of May 12,
2010, we have not observed any oil encroachment on our property. As
of this time, we have not experienced any interruptions to our oil
and gas production.
William B. Rudolf, President and CEO, commented: “We are pleased
with the increase in daily production and proved reserves which is
the direct result of our investment in BLX. We are entering into
agreements to drill additional wells during the balance of 2010.
Since BLX is a start up entity, it is management’s view that the
initial goal of our investment in BLX is to create value for our
shareholders through the addition of proved reserves while creating
minimal tax consequences to the parent companies. We currently have
a team of technical consultants evaluating and screening prospects
outside of our fee lands. Meanwhile, we have a separate team
dedicated solely to the development of prospects under our
property.”
The Company maintains a website; www.biloximarshlandscorp.com
and we strongly recommend that all investors and interested parties
visit the website to view historical press releases, historical
financial statements, and other relevant information.
Biloxi Marsh Lands Corporation owns approximately 90,000 acres
of marsh lands located in St. Bernard Parish, Louisiana. As the
landowner, it derives revenues from oil and gas exploration and
production activities that take place on or near the company’s
land. The company also derives revenues from its ownership interest
in B&L Exploration, LLC and minimal revenues from surface
rentals.
This news release contains forward-looking statements regarding
oil and gas discoveries, oil and gas exploration, development and
production activities and reserves. Accuracy of the forward-looking
statements depends on assumptions about events that change over
time and is thus susceptible to periodic change based on actual
experience and new developments. The Company cautions readers that
it assumes no obligation to update or publicly release any
revisions to the forward-looking statements in this report.
Important factors that might cause future results to differ from
these forward-looking statements include: variations in the market
prices of oil and natural gas; drilling results; unanticipated
fluctuations in flow rates of producing wells; oil and natural gas
reserves expectations; the ability to satisfy future cash
obligations and environmental costs; and general exploration and
development risks and hazards. Readers are cautioned not to place
undue reliance on forward-looking statements made by or on behalf
of the Company. Each such statement speaks only as of the day it
was made. The factors described above cannot be controlled by the
Company. When used in this report, the words “believes”,
“estimates”, “plans”, “expects”, “should”, “outlook”, and
“anticipates” and similar expressions as they relate to the Company
or its management are intended to identify forward-looking
statements.
The following “Statements of Assets, Liabilities and
Stockholders’ Equity” and “Statement of Revenues and Expenses and
Retained Earnings” have been derived from an interim un-audited
financial statement which does not include the information and
footnotes that are an integral part of a complete financial
statement.
BILOXI MARSH LANDS
CORPORATION Statements of Assets, Liabilities, and
Stockholders' Equity March 31, 2010 and 2009
Assets
2010 2009 Current assets:
Cash and cash equivalents
$ 5,978,027 5,199,316
Accounts receivable
115,837 162,889
Federal income taxes
receivable
187,277 148,496
State income taxes receivable
67,483 36,308
Prepaid expenses
21,193 18,835
Accrued interest receivable
65,852 59,703
Other assets
3,830 7,985 Total current assets 6,439,499
5,633,532
Investment in Partnership
2,820,301 1,348,192
Marketable debt and equity
securities - at cost
8,567,118 5,773,464
Land - at cost
234,939 234,939
Levees and office furniture and
equipment
253,904 188,352
Accumulated Depreciation
(253,904 ) (188,352 ) 11,622,358 7,356,595
Total assets $ 18,061,857 12,990,127
Liabilities and Stockholders'
Equity
Current liabilities:
Accrued expenses
$ 14,415 81,602
Other current liabilities
2,880 2,520 Total current liabilities 17,295
84,122 Stockholders' equity:
Common stock, par value $.001 -
20,000,000 shares authorized, 2,851,196 shares issued, outstanding
2,741,428 shares in 2010 and 2,741,428 in 2009
47,520 47,520
Retained earnings
18,180,107 13,041,550
Less cost of treasury stock -
109,768 and 109,768 shares in 2010 and 2009, respectively
(183,065 ) (183,065 ) Total liabilities and stockholders' equity $
18,061,857 12,990,127
BILOXI
MARSH LANDS CORPORATION Statements of Revenues and Expenses and
Retained Earnings March 31, 2010 and 2009
2010 2009 Revenues: Oil and Gas
Royalties $ 333,329 $ 416,413 Severance Taxes (20,429 )
(32,128 ) Total oil and gas revenues 312,900
384,285
Other: Partnership
income (loss) (2,617 ) 409,571 Dividends and interest 78,053 65,210
Gain on sale of securities 57,350 136,056
Total other revenues 132,786
610,837 Total revenues 445,686
995,122
Expenses Total expenses
253,549 309,582 Net income before
provision for income taxes 192,137 685,540
Income taxes Provision for income taxes
57,641 191,260 Net income 134,496
494,280 Net income per share $ 0.05 $
0.18
Biloxi Marsh Lands (CE) (USOTC:BLMC)
Historical Stock Chart
From Sep 2024 to Oct 2024
Biloxi Marsh Lands (CE) (USOTC:BLMC)
Historical Stock Chart
From Oct 2023 to Oct 2024