TULSA, Okla.--(BUSINESS WIRE)--Midstates Petroleum Company, Inc. (NYSE: MPO) (“Midstates” or the “Company”) today provided an operational update for the fourth quarter of 2014, disclosed the date of the fourth quarter earnings release and conference call, and announced the engagement of Evercore Group LLC as advisors to explore strategic alternatives.
During the fourth quarter of 2014, total Company production averaged approximately 33,750 barrels of oil equivalent (Boe) per day of which approximately 42% was oil, 21% was natural gas liquids (“NGLs”) and the balance was natural gas. Production from the Company’s Mississippian Lime properties averaged approximately 25,000 Boe per day. Midstates invested approximately $115 to $120 million in operational capital expenditures during the fourth quarter of 2014 and Adjusted EBITDA is expected to total approximately $110 to $115 million. With another strong quarter of production growth, full year production averaged approximately 32,100 Boe per day. Capital expenditures totaled approximately $530 million and Adjusted EBITDA is expected to be approximately $470 million. All three measures fell within the previously defined guidance ranges.
The Company has reduced its total active rig count to four rigs, all of which are operating on its Mississippian Lime properties, and is continuing to evaluate its future activity levels and capital expenditure program in light of the current commodity price environment. Midstates is also working with its suppliers and service companies to reduce costs and improve margins.
Dr. Peter Hill, Midstates’ Interim CEO commented, “Our highly successful drilling program in our premier Miss Lime acreage continued to yield strong results in the fourth quarter. Our knowledge of the play has continued to be refined and our operational achievements over the year demonstrate our value improvement. Our asset base provides us with a solid platform for value growth into the future, and even in the current WTI strip price environment, we are generating approximately 20% rates of return, on average, from our Miss Lime wells.”
Fourth Quarter Earnings Conference Call
Midstates also announced today that it expects its fourth quarter 2014 earnings release will be issued on Tuesday, March 3, after the close of trading on the NYSE. The Company will host a conference call to discuss fourth quarter results the following morning, Wednesday, March 4 at 10:00 a.m. Eastern time (9:00 a.m. Central time).
Participants may join the conference call by dialing (877) 645-4610 (for U.S. and Canada) or (281) 241-6688 (International). The conference call access code is 84065172 for all participants. To listen via live web cast, please visit the Investor Relations section of the Company's website, www.midstatespetroleum.com.
An audio replay of the conference call will be available approximately two hours after the conclusion of the call. The audio replay will remain available until midnight on March 11 and can be accessed by dialing (855) 859-2056 (for U.S. and Canada) or (404) 537-3406 (International). The conference call audio replay access code is 84065172 for all participants. The audio replay will also be available in the Investors section of the Company’s website approximately two hours after the conclusion of the call and remain available for approximately 90 calendar days.
Certain statements in this news release regarding future expectations and plans for future activities may be regarded as “forward looking statements” within the meaning of the Securities Litigation Reform Act. They are subject to various risks, such as financial market conditions, changes in commodities prices and costs of drilling and completion, operating hazards, drilling risks, and the inherent uncertainties in interpreting engineering data relating to underground accumulations of oil and gas, as well as other risks discussed in detail in the Company’s Annual Report on Form 10-K and other filings with the Securities and Exchange Commission. Although the Company believes that the expectations reflected in such forward-looking statements are reasonable, it can give no assurance that such expectations will prove to be correct.
About Midstates Petroleum Company, Inc.
Midstates Petroleum Company, Inc. is an independent exploration and production company focused on the application of modern drilling and completion techniques in oil and liquids-rich basins in the onshore U.S. Midstates’ drilling and completion efforts are currently focused in the Mississippian Lime oil play in Oklahoma and Anadarko Basin in Texas and Oklahoma. The Company’s operations also include the upper Gulf Coast tertiary trend in central Louisiana. Additional information about the Company is available at www.midstatespetroleum.com.