|
|
|
|
||
West Hawk Reports Results for Year Ended April 30, 2009Sep 09, 2009 (BAYSTREET NEWSWIRE via COMTEX News Network) -- DENVER, COLORADO -- West Hawk Development Corp. (TSX VENTURE: WHD) ("West Hawk" or the "Company") has released its audited annual financial results for the year ended April 30, 2009. Net loss for the year was $32.2 million, or $0.22 per share, resulting in an accumulated deficit of $65.2 million. These compare with a net loss of $4.7 million, or $0.07 per share for the prior year. The net loss includes a non-cash impairment of assets in the amount of $33.9 million. The impairment relates to a write-down of the Figure Four Natural Gas project. As of April 30, 2009, the Company has a working capital deficit of $17.5 million. The Company expects losses to continue through 2010. Mr. Gonzalo Torres Macchiavello, President and CEO, commented, "Oil and gas prices have fallen sharply during 2008 and 2009. The worldwide financial crisis, the low natural gas prices in the United States and the moderate reduction in the drilling, completion and operational expenses have decreased the Company's expectations regarding an accelerated development pace of the project. These facts together with the shut-down of production at the Figure Four property since December 2008 caused a reduction in the projected forecast performance as disclosed in the independent 2009 NI 51-101 report recently filed. The Company also took into consideration the restricted access to funding due to the current market condition." "The Company recently announced US$1.8 million DIP financing (Debtor in Possession Financing) as part of its natural gas project reorganization process. The funds will be used primarily to bring the existing 8 wells on line. We also recently announced a $2.5 million equity financing. These funds will be used for the development of the Groundhog project and general working capital. If these transactions complete, we are optimistic in our ability to continue moving the Company in the right direction," Mr. Macchiavello said. A copy of the audited financial statements and related management's discussion and analysis for the year ended April 30, 2009 may be obtained on SEDAR under the Company's profile at www.sedar.com or by contacting the Company. ... from Stockhouse ... .
... wV ... . |
return to message board, top of board |