Press release from Marketwire
Cancen Oil Canada Inc. Reports Fourth Quarter and 2012 Financial Results
Tuesday, April 30, 2013
Cancen Oil Canada Inc. Reports Fourth Quarter and 2012 Financial Results09:00 EDT Tuesday, April 30, 2013
CALGARY, ALBERTA--(Marketwired - April 30, 2013) -
NOT FOR DISTRIBUTION TO U.S. NEWS WIRE SERVICES OR FOR DISSEMINATION IN THE U.S.
Cancen Oil Canada Inc. ("Cancen" or the "Company") (TSX VENTURE:COI) a provider of specialized services to the energy sector, announces that it has filed its Audited Financial Statements and related Management's Discussion and Analysis for the year ended December 31, 2012 which are available on the Company's profile at www.sedar.com.
2012 Fourth Quarter and Annual Highlights
- The Company completed the purchase and commenced operating the Silver Valley facility in Gordondale area of Alberta in the first quarter of 2012 and subsequent to receiving ERCB approval to operate the disposal well, began water disposal and custom treating services in the last quarter of 2012.
- The Company received a development permit from Strathcona County to allow the Chamberlain asset to operate as a custom treating facility and further progress made towards conversion of Chamberlain Facility into an operational custom treating facility.
- The Company acquired the Kinsella crude oil terminalling and blending for total consideration of $5.0 million. Subsequent to the acquisition date, $1.0 million of the goodwill associated with this transaction was deemed to be impaired and hence written off.
- 94% increase in net book value of property, plant and equipment to $14.8 million as at December 31, 2012 from $7.6 million as at December 31, 2011.
- 77% increase in revenues in the fourth quarter of 2012 over the third quarter of $0.3 million, with operating expenses of $0.5 million. Revenues for the year ended December 2012 were $0.8 million with operating costs of $1.1 million.
- Net loss per share for the year ended December 2012 is $(0.06) and for the quarter ended December 31, 2012 is $(0.03).
- In December, the Company announced a new management team who joined in January 2013 and have invested $1.3 million into the Company.
Operational Activities and Outlook
Further to the operational update provided February 4, 2013, management has continued its focus on improving and enhancing operations at Silver Valley. A combination of enhanced customer logistics, as well as improvements to operational efficiency has resulted in a volume throughput increase of approximately 30% compared to the fourth quarter of 2012. The Company plans to continue with operational efficiencies and service expansions for Silver Valley.
The Company has completed its assessment of Chamberlain and a market analysis of the revenue opportunity for the facility. As a result, the Company plans to move forward with a workover of the disposal well and site construction to initiate operations at Chamberlain.
Cancen Oil Canada Inc. provides specialized services to the energy sector, specifically to companies involved in the exploration, extraction and production of oil and natural gas in Western Canada. Cancen Oil Canada Inc. develops and constructs facilities in proximity to its customers to provide treatment of crude oil emulsion, terminalling, storage and marketing of oil and disposal of production water.
This press release contains forward-looking statements and information that are based on the beliefs of management and reflect the Company's current expectations. When used in this press release, the words "estimate", "project", "belief", "anticipate", "intend", "expect", "plan", "predict", "may" or "should" and the negative of these words or such variations thereon or comparable terminology are intended to identify forward-looking statements and information. The forward-looking statements and information in this press release include information relating to the anticipated closing of the second tranche of the Private Placement and the securities issued pursuant to the Private Placement. Such statements and information reflect the current view of the Company with respect to risks and uncertainties that may cause actual results to differ materially from those contemplated in those forward-looking statements and information.
By their nature, forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause our actual results, performance or achievements, or other future events, to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. Forward-looking statements are made based on management's beliefs, estimates and opinions on the date that statements are made and the Company undertakes no obligation to update forward-looking statements if these beliefs, estimates and opinions or other circumstances should change. Investors are cautioned against attributing undue certainty to forward-looking statements.
The Company cautions that the foregoing list of material factors is not exhaustive. When relying on Cancen's forward-looking statements and information to make decisions, investors and others should carefully consider the foregoing factors and other uncertainties and potential events. The Company has also assumed that material factors will not cause any forward-looking statements and information to differ materially from actual results or events. However, the list of these factors is not exhaustive and is subject to change and there can be no assurance that such assumptions will reflect the actual outcome of such items or factors.
Please visit Cancen's website at: www.cancenoilcanada.com.
FOR FURTHER INFORMATION PLEASE CONTACT:
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.Contact Information:
Cancen Oil Canada Inc.
Chief Executive Officer
(403) 262-2783 ext 105
Cancen Oil Canada Inc.
(403) 262-2783 ext 108
Cancen Oil Canada Inc.
Chief Financial Officer
(403) 262-2783 ext 109