Biloxi Marsh Lands Corporation (PINK SHEETS: BLMC) today announces
its unaudited results for the third quarter and first nine months
of 2008 and provides update. Total revenue for the third quarter of
2008 was $249,062 compared to total revenue of $351,263 for the
same period of 2007. For the first nine months of 2008 revenue was
$3,312,461 compared to $3,021,156 for the same period of 2007. For
the third quarter total revenue includes a loss of $594,213
emanating from partnership income/loss which represents the
Company�s interest in B&L Exploration, LLC compared to a net
loss of $629,522 in the same category for the third quarter of the
prior year. The losses are attributable to costs associated with
B&L Exploration�s participation in drilling programs during the
third quarter of each year. During the third quarter of 2008, oil
and gas revenues were $743,799 compared to $825,598 for the same
period of 2007. It should be noted that BLMC did not receive any
revenue from production of natural gas during May of 2008 due to
the fact that the sales point, El Paso�s Tennessee Gas Pipeline,
was shut-in during the month of May for repairs. Additionally, the
majority of BLMC production was shut-in from August 31 until
September 20, 2008 due to Hurricanes Gustav and Ike. For the third
quarter of 2008, gains on the sale of investments were $7,374
compared to $10,190 during the third quarter of 2007. Meanwhile,
operating expenses for the third quarter of 2008 were $266,386
compared to operating expenses of $287,446 for the same period of
2007. Net earnings were $39,532 or $.01 per share for the third
quarter of 2008 compared to $103,525 or $.04 per share for the same
period of 2007, and for the first nine months of 2008 net earnings
were $1,714,582 or $.62 per share compared to $1,648,693 or $.60
per share for the same period of 2007. As of September 30, 2008 the
combined gross daily production rate from 10 wells operated by the
Company�s mineral Lessees was approximately 11.3 million cubic feet
of gas (mmcfg) with net daily production accruing to the Company of
approximately 1.2 mmcfg. The two producing wells in which B & L
Exploration, LLC (B&L) has a working interest, SL 18955 #1 well
and SL 18957 #1 well were shut-in for repairs to a compressor on
the production facility as of September 30, 2008. While we
anticipate that production will be reestablished, it should be
noted that these wells are in the late stages of their productive
lives. Meanwhile, on October 25, 2008 the SL 19064 #1 well was
placed on production at a daily flow rate of approximately 1.6
mmcfg per day. One of B&L�s partners and the operator, Gulf
Production Company, advises that they plan to produce this well in
the 1.5 to 2.0 mmcfg per day range for the first 10 to 15 days then
increase the flow rate to around 2.5 to 3.0 mmcfg per day.
Construction crews are presently working on construction of the
flowline to produce the Lake Eugenie Land & Development #1
well. Gulf Production advises that this well is scheduled to be
producing natural gas prior to the end of November 2008.
Construction of the flowlines to produce SL 19064 #1 and the Lake
Eugenie Land & Development #1 wells was delayed due to
Hurricanes Gustav and Ike. Initial proved reserve reports completed
by an independent reservoir engineer estimate that the combined
proved reserves assigned to the SL 19064 Well and the Lake Eugenie
Land & Development #1 well are significantly more than the
initial estimated combined proved reserves that were assigned to
the SL 18955 #1 and the SL 18957 wells referenced in the foregoing
paragraph. B &L has a 32.813% working interest in the SL 19064
#1 well and the Lake Eugenie Land & Development #1 well. On
January 31, 2008 we announced our participation in the NAPE Expo in
Houston, Texas (please see www.napeonline.com). With the assistance
of BLX�s technical consultants we presented acreage under the
control of BLX showing two Tuscaloosa prospects (Alpha and Beta)
developed over the past 12 to 18 months using existing geological
well control and 3D seismic data (see the Company�s website
www.biloximarshlandscorp.com for additional information). While we
continue to develop a strategy to test the Tuscaloosa sand
interval, these deeper Tuscaloosa prospects are much more difficult
to place than the shallower drilling packages previously placed by
BLX. Though our job has become more challenging in recent weeks due
to worldwide economic conditions, we are continuing our efforts to
place Alpha and Beta prospects as well as additional shallower
prospects, while we are working on new strategies for marketing our
property. William B. Rudolf, President and CEO, commented: �With
delays and production interruptions attributable to the passage of
Hurricanes Gustav and Ike combined with the advent of the worldwide
financial crisis the third quarter was challenging. Now that we
have these delays and interruptions behind us, we are hopeful that
the next few months will yield increased revenues from B&L
Exploration, LLC. With newly discovered reserves, a strong balance
sheet and a partial shift away from investment in equities during
June of 2008, we continue to position the Company for the future.�
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 including President�s Report to Shareholders,
and general information about the company. During January 2008 we
moved our office to One Galleria Blvd., Suite #902. Complete and
updated contact information is available on the Company�s website:
www.biloximarshlandscorp.com. 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
75% 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 September 30, 2008 and Comparable Period � � � � � � � �
Assets 2008 2007 Accrual Accrual Current assets: Cash and cash
equivalents $ 7,628,925 $ 1,416,420 Royalty receivable 140,106
343,397 Prepaid Expenses 59,265 59,019 Accrued interest receivable
59,124 89,122 Prepaid federal income taxes 82,244 240,226 Prepaid
state income taxes 31,483 146,996 Total current assets 8,001,147
2,295,180 Investments: Other investments 1,713,637 1,466,642
Marketable debt and equity securities - at cost 6,167,159
13,101,356 Land - at cost 234,939 234,939 8,115,735 14,802,937 � �
Total assets $ 16,116,882 $ 17,098,117 Liabilities and
Stockholders' Equity Current Liabilities State Income Tax Payable $
� $ � Deferred tax liability 153,178 770,000 Other current
liabilities 51,535 65,207 Payroll taxes payable � 2,377 Total
current liabilities 204,713 837,584 Stockholders' equity: Common
stock, par value $.001 - 20,000,000 shares authorized, 2,851,196
shares issued, 2,754,428 shares outstanding 47,520 47,520 Retained
earnings 15,939,464 16,287,828 15,986,984 16,335,348 Less cost of
treasury stock - 96,768 shares (74,815) (74,815) Retained
earnings-beginning of period 15,912,169 16,260,533 Total
liabilities and stockholders' equity $ 16,116,882 $ 17,098,117 �
BILOXI MARSH LANDS CORPORATION Statements of Revenues and Expenses
and Retained Earnings September 30, 2008 and Comparable Period � �
� � � 3 Months Ended 9 Months Ended September 30 September 30 �
2008 2007 2008 2007 � Revenues: Oil and gas Pipeline Right of Ways
$ - $ - $ 25,031 $ - Lease bonuses and delayed rentals - - - 20,250
Royalties (net of production taxes) � 743,799 � � 825,598 � �
2,347,457 � 3,340,887 � � Total oil and gas � 743,799 � � 825,598 �
� 2,372,488 � 3,361,137 � � Other: Partnership income (loss)
(594,213 ) (629,522 ) 162,001 (1,059,353 ) Dividends and interest
80,834 139,927 245,589 388,850 Gain on sale of securities 7,374
10,190 521,115 322,502 Surface rentals � 11,268 � � 5,070 � �
11,268 � 8,020 � � Total other revenues � (494,737 ) � (474,335 ) �
939,973 � (339,981 ) � Total revenue � 249,062 � � 351,263 � �
3,312,461 � 3,021,156 � � Expenses � Total expenses � 266,386 � �
287,446 � � 931,843 � 768,525 � � Net Income before provision for
income taxes � (17,324 ) � 63,817 � � 2,380,618 � 2,252,631 � �
Income taxes Provision for income taxes � (56,856 ) � (39,708 ) �
666,036 � 603,938 � � Net Income 39,532 103,525 1,714,582 1,648,693
� Retained earnings-beginning of period � 15,899,932 � � 16,184,303
� � 14,224,882 � 14,639,135 � 15,939,464 16,287,828 15,939,464
16,287,828 Dividends � - � � - � � - � - � Retained earnings-end of
period $ 15,939,464 � $ 16,287,828 � $ 15,939,464 $ 16,287,828 � �
� � � Net Income Per Share $ 0.01 � $ 0.04 � $ 0.62 $ 0.60 �
Biloxi Marsh Lands (CE) (USOTC:BLMC)
Historical Stock Chart
From Jun 2024 to Jul 2024
Biloxi Marsh Lands (CE) (USOTC:BLMC)
Historical Stock Chart
From Jul 2023 to Jul 2024