Tuesday, May 12, 2009

Mariner Energy reports 1st-qtr loss on $704.7 million write-down on gas properties

Oil and gas producer Mariner Energy Inc. posted a first-quarter loss driven by a $704.7 million write-down on gas properties amid weakened natural gas prices.

The company on Monday reported a loss of $424.1 million, or $4.77 per share, compared with earnings of $72.2 million, or 82 cents per share, during the prior-year period.

Results include a $704.7 million charge related to the value of gas properties. Excluding nonrecurring items, adjusted earnings came to $19.8 million, or 22 cents per share. Mariner said that lower commodity prices and decreased production volumes hurt comparable year-over-year results.

Analysts surveyed by Thomson Reuters estimated a profit of 1 cent per share, on average. Analysts typically exclude one-time items.

Revenue slid 23 percent to $243.3 million, down from $315.9 million in the prior-year period. Analysts forecast an average revenue of $224.6 million.

Shares of the company rose 5 cents to $12.52 in afternoon trading.

source yahoo

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