Ontario, Canada - Candax Energy Inc. ("Candax") [TSX: CAX], an international energy company, reports a loss of $2.3 million
($(0.01) per common share) for the three months ended March 31, 2008,
compared to a loss of $0.9 million ($(0.01) per common share) for the three
months ended March 31, 2007.
Revenues of $2..1 million were earned from the sale of 25,428 barrels of
oil. Production for the quarter was 37,153 barrels of oil and, as was
the case in 2007, no production was recorded from the El Bibane field. The
El Bibane re-development project is currently being finalized following the
completion of drilling of all three wells, and the commencement of
production from EBB-4. Additionally, no revenue was recorded for Candax's
share in the SEEB power generation facility, as its operation depends on
gas production from the El Bibane field - the SEEB power generation
facility commenced operating in April 2008. As at March 31, 2008,
Candax had cash and cash equivalents of $23.9 million.
Mike Wood, CEO, commented:
"Our first quarter financial results reflect the fact that our
Tunisian portfolio was not operating at full capacity."
Energy Inc.'s first quarter Interim Consolidated Financial Statements and
Management's Discussion & Analysis may be viewed online at www.sedar.com.
Candax Energy Inc. is an international energy company with its head office
in Toronto, Ontario, Canada and management offices in London, Dubai and
Tunis. The Company holds a number of concessions in Tunisia through its
subsidiary companies and is involved in the exploration and production of
oil, gas and power generation in the country. Candax was formed
through the combination of a highly experienced executive management team
with successful Canadian founders and financiers, to develop an
international upstream oil and gas project portfolio. Candax is initially
focusing its growth activities on production and development projects in
the Middle East and North Africa, where the group has strong relationships
as well as extensive management experience.
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dissemination in the United States.
This press release includes "forward looking statements",
within the meaning of applicable securities legislation, which are based on
the opinions and estimates of Management and are subject to a variety of
risks and uncertainties and other factors that could cause actual events or
results to differ materially from those projected in the forward looking
statements. Forward-looking statements are often, but not always,
identified by the use of words such as "seek",
"anticipate", "budget", "plan",
"continue", "estimate", "expect",
"forecast", "may", "will",
"project", "predict", "potential",
"targeting", "intend", "could",
"might", "should", "believe" and similar
words suggesting future outcomes or statements regarding an outlook.
Such risks and uncertainties include, but are not limited to, risks
associated with the oil and gas industry (including operational risks in
exploration development and production; delays or changes in plans with respect
to exploration or development projects or capital expenditures; the
uncertainty of reserve estimates; the uncertainty of estimates and
projections in relation to production, costs and expenses; the uncertainty
surrounding the ability of Candax Energy Inc. to obtain all permits,
consents or authorizations required for its operations and activities; and
health safety and environmental risks), the risk of commodity price and
foreign exchange rate fluctuations, the ability of Candax Energy Inc. to
fund the capital and operating expenses necessary to achieve the business
objectives of Candax Energy Inc., the uncertainty associated with
commercial negotiations and negotiating with foreign governments and risks
associated with international business activities, as well as those risks
described in public disclosure documents filed by Candax Energy Inc.
Due to the risks, uncertainties and assumptions inherent in forward-looking
statements, prospective investors in securities of Candax Energy Inc.
should not place undue reliance on these forward-looking statements.
Statements in relation to "reserves" are deemed to be
forward-looking statements, as they involve the implied assessment, based
on certain estimates and assumptions, that the reserves described can be
profitably produced in the future.