UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
F O R M 8 - K/A Number 1
CURRENT REPORT
Pursuant to Section 13 or 15(d) of
the Securities Exchange Act of 1934
Date of Report
Janauary 27, 1999
Abraxas Petroleum Corporation
(Exact name of registrant as specified in its charter)
Nevada
(State of other jurisdiction of incorporation)
0-19118 74-2584033
(Commission File Number) (I.R.S. Employer Identification Number)
500 N. Loop 1604 East, Suite 100
San Antonio, Texas 78232
(Address of principal executive offices)
Registrant's telephone number, including area code:
210-490-4788
The undersigned registrant hereby amends the following items, financial
statements and exhibits of its Current Report on Form 8-K dated November 30,
1998, as set forth in the pages attached hereto.
Item 7. FINANCIAL STATEMENTS AND EXHIBITS
(B)Unaudited Pro Forma Financial Statements
(1) Pro Forma Condensed Balance Sheet as of September 30, 1998.
(2) Pro Forma Statement of Operations for the year ended December 31,
1997 and for the nine months ended September 30, 1998.
ITEM 7 - FINANCIAL STATEMENTS AND EXHIBITS
(b) Pro Forma Financial Information
PRO FORMA FINANCIAL INFORMATION
The following unaudited pro forma condensed consolidated balance sheet as of
September 30, 1998 and the unaudited pro forma consolidated statements of
operations for the nine months ended September 30, 1998 and for the year ended
December 31, 1997 give effect to the Wamsutter properties divestiture described
in the Form 8-K filed on November 30, 1998. The unaudited pro forma condensed
consolidated balance sheet is presented as if the Wamsutter properties
divestiture had occurred on September 30, 1998. The unaudited pro forma
consolidated statements of operations are presented as if the Wamsutter
properties divestiture had occurred at the beginning of the periods presented.
The unaudited pro forma information is presented for illustrative purposes only
and may not be indicative of the results that would have been obtained had the
Wamustter properties divestiture actually occurred on the dates assumed, nor is
it necessarily indicative of the future consolidated results of operations.
ABRAXAS PETROLEUM CORPORATION AND SUBSIDIARIES
UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEET
September 30, 1998
-----------------------------------------
Historical Pro Forma Pro Forma
Adjustments
-----------------------------------------
(In Thousands)
ASSETS:
Current Assets
Cash ................................................... $ 11,268 $ -- $ 11,268
Accounts receivable, less allowance for doubtful
accounts ............................................. 8,952 -- 8,952
Property held for sale ................................. 60,250 (60,250) --
Equipment inventory .................................... 493 -- 493
Other current assets ................................... 185 -- 185
--------- ---------- ----------
Total current assets ................................. 81,148 (60,250) 20,898
Property and equipment, based on the full cost method of
accounting - net ....................................... 259,964 1,650 (2) 261,614
Deferred financing fees, net of accumulated amortization .. 8,656 -- 8,656
Restricted cash ........................................... 40 -- 40
Other assets .............................................. 1,222 602 (3) 1,824
--------- ---------- ----------
Total assets ........................................... $ 351,030 $ (57,998) $ 293,032
========= ========== ==========
LIABILITIES AND STOCKHOLDERS' EQUITY Current liabilities:
Accounts payable ....................................... $ 9,450 $ -- $ 9,450
Oil and gas production payable ......................... 3,285 -- 3,285
Accrued interest ....................................... 13,253 -- 13,253
Income taxes payable ................................... 162 -- 162
Other accrued expenses ................................. 1,109 -- 1,109
--------- ---------- ----------
Total current liabilities ............................ 27,259 -- 27,259
Long-term debt:
Senior notes ........................................... 275,000 (57,998) (1) 217,002
Credit facility ........................................ 100 -- 100
Other .................................................. 7,076 -- 7,076
--------- ---------- ----------
282,176 (57,998) 224,178
Premium on senior notes ................................... 3,471 -- 3,471
Deferred income taxes ..................................... 21,976 -- 21,976
Minority interest in foreign subsidiary ................... 9,392 -- 9,392
Future site restoration ................................... 3,279 -- 3,279
Stockholders' equity ...................................... 3,477 -- 3,477
--------- ---------- ----------
Total liabilities and stockholders' equity ........... $ 351,030 $ (57,998) $ 293,032
========= ========== ==========
See adjustments to unaudited pro forma financial statements.
ABRAXAS PETROLEUM CORPORATION AND SUBSIDIARIES
UNAUDITED PRO FORMA CONSOLIDATED STATEMENT OF OPERATIONS
Nine months ended September 30, 1998
-------------------------------------
Historical Pro Forma Pro Forma
Adjustments
-------------------------------------
(In thousands except per share data)
Revenue:
Oil and gas production revenues ......... $ 41,406 $ (10,189)(1) $ 31,217
Gas processing revenues ................. 2,369 -- 2,369
Rig revenues ............................ 350 -- 350
Other ................................... 1,884 84 (3) 1,968
--------- --------- ---------
46,009 (10,105) 35,904
Operating costs and expenses:
Lease operating and production taxes .... 12,530 (1,775)(1) 10,755
Gas processing costs .................... 857 -- 857
Depreciation, depletion, and amortization 26,049 (3,415)(1) 22,634
Rig operations .......................... 381 -- 381
General and administrative .............. 3,957 -- 3,957
--------- --------- ---------
43,774 (5,190) 38,584
--------- --------- ---------
Operating income ........................... 2,235 (4,915) (2,680)
Other (income) expense:
Interest income ......................... (418) -- (418)
Amortization of deferred financing fee .. 913 -- 913
Interest expense ........................ 22,795 (7,230)(3) 15,565
--------- --------- ---------
23,290 (7,230) 16,060
--------- --------- ---------
Income (loss) before taxes ................. (21,055) 2,315 (18,740)
Income tax expense (benefit):
Current ................................. 208 -- 208
Deferred ................................ (4,741) -- (4,741)
Minority interest in income of
consolidated foreign subsidiary ......... (50) -- (50)
--------- --------- ---------
Income (loss) .............................. (16,472) 2,315 (14,157)
========= ========= =========
Net income (loss) per common share ......... $ (2.60) $ .36 $ (2.24)
========= ========= =========
Net income (loss) per common share -
assuming dilution: ...................... $ (2.60) $ .36 $ (2.24)
========= ========= =========
See adjustments to unaudited pro forma financial statements.
ABRAXAS PETROLEUM CORPORATION AND SUBSIDIARIES
UNAUDITED PRO FORMA CONSOLIDATED STATEMENT OF OPERATIONS
Year Ended December 31, 1997
-------------------------------------
Historical Pro Forma Pro Forma
Adjustments
-------------------------------------
(In thousands except per share data)
Revenue:
Oil and gas production revenues ......... $ 65,826 $ (13,773)(1) $ 52,053
Gas processing revenues ................. 3,568 -- 3,568
Rig revenues ............................ 334 -- 334
Other ................................... 1,203 114 (3) 1,317
--------- --------- ---------
70,931 (13,659) 57,272
Operating costs and expenses:
Lease operating and production taxes .... 14,881 (2,386)(1) 12,495
Gas processing costs .................... 1,252 -- 1,252
Depreciation, depletion, and amortization 30,581 (7,485)(1) 23,096
Rig operations .......................... 296 -- 296
Proved property impairment .............. 4,600 -- 4,600
General and administrative .............. 4,171 -- 4,171
--------- --------- ---------
55,781 (9,871) 45,910
--------- --------- ---------
Operating income ........................... 15,150 (3,788) 11,362
Other (income) expense:
Interest income ......................... (320) -- (320)
Amortization of deferred financing fee .. 1,260 -- 1,260
Interest expense ........................ 24,620 (3,635) 20,985
Other expense (income) .................. (369) -- (369)
--------- --------- ---------
25,191 (3,635) 21,556
--------- --------- ---------
Income (loss) before taxes ................. (10,041) (153) (10,194)
Income tax expense (benefit):
Current ................................. 244 -- 244
Deferred ................................ (4,135) -- (4,135)
Minority interest in income of
consolidated foreign subsidiary ......... 335 -- 335
--------- --------- ---------
Income (loss) .............................. (6,485) (153) (6,638)
Less dividend requirement on cumulative
preferred stock ......................... (183) -- (183)
--------- --------- ---------
Net income (loss) applicable to common
stock ................................... $ (6,668) $ (153) $ (6,821)
========= ========= =========
Net income (loss) per common share ......... $ (1.11) $ (.02) $ (1.13)
========= ========= =========
Net income (loss) per common share -
assuming dilution: ...................... $ (1.11) $ (.02) $ (1.13)
========= ========= =========
See adjustments to unaudited pro forma financial statements.
Adjustments to the Unaudited Pro Forma Condensed Consolidated Balance Sheet:
The Unaudited Pro Forma Condensed Consolidated Balance Sheet is presented as it
the transaction had occurred as of September 30, 1998.
(1) To record net cash proceeds of the transaction as a reduction of
long-term debt.
(2) To adjust property held for sale and property and equipment to reflect
actual sales proceeds.
(3) To record the Company's investment in the Partnership.
Adjustments to the Unaudited Pro Forma Statement of Operations:
The Unaudited Pro Forma Statements of Operations are presented as if the
transaction had been occurred as of the beginning of the periods presented.
(1) To adjust oil and gas production revenues, lease operating and
production taxes and depreciation, depletion and amortization as if this
transaction had been completed as of the beginning of the period.
(2) To adjust interest expense, giving effect to paydown of the Company's
long term debt, at the Company's assumed average interest rates.
(3) To recognize Company's one percent (1%) management fee from the
Partnership for the period.
SIGNATURES
Pursuant to the requirement of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.
ABRAXAS PETROLEUM CORPORATION
By: ___________________________________
Chris Williford
Executive Vice President, Chief Financial
Officer and Treasurer
Dated: January 27, 1999