TORONTO, ONTARIO--(Marketwire - Nov. 29, 2011) - Brownstone Energy Inc. (TSX VENTURE:BWN)(OTCQX:BWSOF) ("Brownstone" or the "Company") today announces its unaudited results for the three months ended September 30, 2011.
This is the first quarter for which the Company has reported its operating results and financial position under international financial reporting standards ("IFRS"). All comparative information contained in the September 30, 2011 interim condensed consolidated financial statements have been restated to conform to the accounting policies under IFRS.
As at September 30, 2011, the Company had cash and cash equivalents of $30.9 million as compared to $29.9 million as at June 30, 2011. Investments at fair value totaled $9.7 million as at September 30, 2011 as compared to $12.4 million as at June 30, 2011. Also as at September 30, 2011, exploration and evaluation assets totaled $48.5 million as compared to $42.1 million as at June 30, 2011.
Financial Highlights for the three months ending September 30, 2011 with comparatives:
| Operating Results | Three months ended September 30, | |||||||
| 2011 | 2010 | |||||||
| Realized losses on disposal of investments, net | $ | (191,331 | ) | $ | (1,003,846 | ) | ||
| Net change in unrealized gains (losses) on investments | (2,372,268 | ) | 1,063,164 | |||||
| Net investment gains | (2,563,599 | ) | 59,318 | |||||
| Total expenses | 836,438 | 1,000,212 | ||||||
| Loss for the period | (3,343,326 | ) | (594,198 | ) | ||||
| Basic and diluted loss per common share | (0.03 | ) | (0.01 | ) | ||||
| Consolidated statements of financial position Highlights | September 30, 2011 |
June 30, 2011 |
July 1, 2010 |
||||||||
| Cash and cash equivalents | $ | 30,852,083 | $ | 29,833,806 | $ | 1,832,230 | |||||
| Investments, at fair value | 9,748,982 | 12,350,483 | 17,174,119 | ||||||||
| Exploration and evaluation assets | 48,536,008 | 42,053,011 | 32,285,288 | ||||||||
| Total assets | 91,202,495 | 90,591,353 | 60,079,913 | ||||||||
| Total liabilities | 1,852,128 | 1,497,064 | 2,113,363 | ||||||||
| Share capital, warrants and broker warrants, contributed surplus | 118,715,593 | 118,327,742 | 82,453,692 | ||||||||
| Foreign currency translation reserve | 46,539 | (3,165,014 | ) | - | |||||||
| Retained earnings (deficit) | (29,411,765 | ) | (26,068,439 | ) | (24,487,142 | ) | |||||
| Working Capital | 40,238,808 | 46,507,056 | 20,394,295 | ||||||||
During the three months ended September 30, 2011, the Company spent net cash of $2,961,266 on exploration and evaluation assets as compared to $1,581,846 during the three months ended September 30, 2010.
Brownstone is currently participating in several oil and gas exploration projects based in Colombia, Israel, United States (Colorado/Utah and Oregon), Argentina, Canada and Brazil.
About Brownstone
Brownstone Energy Inc. is a Canadian-based, energy focused company with direct interests in oil and gas exploration projects, including varying interests in three off-shore Israel concessions and in four Colombian blocks in the Llanos basin, as well as other oil and gas interests worldwide. By owning and managing a diversified portfolio of energy-based projects, Brownstone provides shareholders with a unique energy alternative. For additional information, please see Brownstone's website: www.brownstoneenergy.com.
Neither 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:
Jonathan Schroeder, P. Geoph.
President and COO
(403) 660-2894
schroeder@brownstoneenergy.com
Brownstone Energy Inc.
Gerry Feldman
Chief Financial Officer
(416) 941-8900
feldman@brownstoneenergy.com
Brownstone Energy Inc.
Richard Patricio
Vice-President Corporate and Legal Affairs
(416) 941-8900
info@brownstoneenergy.com
www.brownstoneenergy.com