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TQE Torque Energy Com

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Share Name Share Symbol Market Type
Torque Energy Com TSXV:TQE TSX Venture Common Stock
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Torque Energy Reports Second Quarter Financial Results

28/07/2010 9:44pm

Marketwired


Torque Energy Com (TSXV:TQE)
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Torque Energy Inc. ("the Company") (TSX VENTURE: TQE) today filed with Canadian securities authorities its unaudited financial statements and related Management's Discussion and Analysis for the three and six month periods ended May 31, 2010.


                                      Period ending May 31, 2010
                          --------------------------------------------------
Operating highlights:                      3 Months                 6 Months
----------------------------------------------------------------------------
  Net income                  $111,187 or $0.01 per    $261,099 or $0.02 per
                                              share                    share
  Field level cash flow       $523,923 or $0.04 per    $988,061 or $0.07 per
                                              share                    share
  Funds flow from             $291,371 or $0.02 per    $588,154 or $0.04 per
   operations                                 share                    share
  Operating Netbacks                 $40.86 per BOE           $40.42 per BOE
  Sales volumes                   139.4 BOE per day        134.3 BOE per day

Note: The term BOE may be misleading, particularly if used in isolation. A BOE conversion ratio of 6 Mcf: 1bbl is based on a energy equivalency conversion primarily applicable at the burner tip and does not represent a value equivalency at the wellhead.

The Company realized a profit of $261,099 on revenues of $1,513,077 for the six months ended May 31, 2010 compared to a loss of $20,317 on revenues of $1,303,678 for the same six month period in 2009.

Funds flow from operations improved by 56% and 164% respectively for the three and six months ended May 31, 2010 compared to the same periods in 2009. This performance continues to allow the Company to internally fund its capital expenditure programs and improve its working capital position while at the same time reducing total bank indebtedness.

The Company experienced reduced sales volumes of approximately 9.5% and 14.8% for the three and six months ended May 31, 2010 compared to the prior year which is primarily attributed to the Corey East field where two bottom hole pump replacements in late 2008 resulted in flush production in the first half of 2009. This has accentuated the year to year comparison for 2010.

Copies of the filed documents may be accessed electronically through the SEDAR website at www.sedar.com and the Company's website www.torqueenergy.com.

Neither the TSX Venture Exchange nor the Investment Industry Regulatory Organization of Canada accepts responsibility for the adequacy or accuracy of this release.

Contacts: Torque Energy Inc. Brian E. Bayley President and CEO 604.689.1428 604.681.4692 (FAX) Torque Energy Inc. David C. Nelms Chief Financial Officer 519.433.7710 519.433.7588 (FAX) www.torqueenergy.com

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