Another Texas-based exploration and production company with deep interests in Oklahoma reports it experienced a net loss of $29 million in the first quarter of the year.
EV Energy Partners, L.P. based in Houston says the loss figured to $0.58 per basic and diluted weighted average limited partner unit. The adjusted earnings before taxes was $20.2 million which represented a 62 percent decline from the first and fourth quarters of 2015. With total debt of $638 million, EV Energy announced last month it had suspended distributions to unit holders and used $35 million to repurchase its outstanding Senior Notes. It used the money toward a nearly $73 million repurchase. There remains $353 million in Senior Notes outstanding after the repurchases.
EV Energy has extensive holdings in Western Oklahoma as well as Texas, Kansas, New Mexico and Louisiana. The company said its drop in first quarter earnings was largely due to the addition of producing properties acquired in October 2015.
Its first quarter production was up 17 percent over a year ago due to the addition of the properties. Still, the production was down from the fourth quarter of 2015 because of reduced drilling activity.
It was last September when the company made a $259 million purchase of oil and natural gas properties from EnerVest Institutional Partnerships. The holdings are in the Appalachian Basin, San Juan Basin, Michigan and Austin Chalk.