Accessibility/Mobile Features
Skip Navigation
Skip to Content
Editorial News
Business
Classified Sites

The Canadian Press - ONLINE EDITION

Encana spinoff PrairieSky posts $23.9-million profit in first financial report

CALGARY - PrairieSky Royalty Ltd. (TSX:PSK), the Encana Corp. spinoff that made its trading debut this spring, posted a $23.9-million profit in its first financial report.

The net earnings and comprehensive income for the period between PrairieSky's May 27 inception and June 30 amounted to one dollar per diluted share, or 18 cents on an adjusted basis.

Revenues were $37.2 million while funds from operations were $31 million.

Production averaged 15,664 barrels of oil equivalent per day, with 44 per cent crude oil, 10 per cent natural gas liquids and 46 per cent natural gas.

At the end of June, PrairieSky had working capital of $57.4 million.

"The first several weeks of active operations have been very busy and productive and I would like to thank all of our employees and directors for their contributions and hard work in ensuring a successful start for PrairieSky" CEO Andrew Phillips said in a release.

As part of a sweeping new strategy unveiled last fall, Calgary-based energy producer Encana (TSX:ECA) decided to separate a big chunk of its royalty lands into a new publicly traded company, PrairieSky.

PrairieSky aims to bring in revenues by allowing other energy companies to develop oil and gas on its land, which spans 5.2 million acres in southern and central Alberta.

Encana, which reports its second-quarter results on Thursday, raised about $1.67 billion from the spinoff and retains a 54-per-cent stake in PrairieSky.

PrairieSky had a high-profile initial public offering on May 29. Since then, its stock price has been well above the IPO price of $28, closing at $38.18 on the Toronto Stock Exchange on Monday.

  • Rate this Rate This Star Icon
  • This article has not yet been rated.
  • We want you to tell us what you think of our articles. If the story moves you, compels you to act or tells you something you didn’t know, mark it high. If you thought it was well written, do the same. If it doesn’t meet your standards, mark it accordingly.

    You can also register and/or login to the site and join the conversation by leaving a comment.

    Rate it yourself by rolling over the stars and clicking when you reach your desired rating. We want you to tell us what you think of our articles. If the story moves you, compels you to act or tells you something you didn’t know, mark it high.

Sort by: Newest to Oldest | Oldest to Newest | Most Popular 0 Commentscomment icon

You can comment on most stories on brandonsun.com. You can also agree or disagree with other comments. All you need to do is register and/or login and you can join the conversation and give your feedback.

There are no comments at the moment. Be the first to post a comment below.

Post Your Commentcomment icon

Comment
  • You have characters left

The Brandon Sun does not necessarily endorse any of the views posted. Comments are moderated before publication. By submitting your comment, you agree to our Terms and Conditions. New to commenting? Check out our Frequently Asked Questions.

letters

Make text: Larger | Smaller

Brandon Sun Business Directory
The First World War at 100
Why Not Minot?
Welcome to Winnipeg

Social Media

Canadian Mortgage Rates