Terrex Energy Inc (CVE:TER) (PINK:TRXYF) saw traders focus on their stock after the publication of the second quarter financial statements and the general update on operations.
However, TER stock didn’t manage to hold the momentum in the share price rally and fell 5.2% yesterday. The stock price was initially positively affected by the update.
On August 22, 2011, the company reported the second quarter results for the period ended June 30 2011, making the share price go higher. Unaudited interim financial statements show:
• $2.05 million in quarterly revenue;
• $2.03 million in various continuous expenses;
• $344.5 thousand in net loss;
• $7.6 million in cash;
• $159 thousand in working capital deficiency;
• Net tangible value of business of $10.8 million.
The company managed to cut its losses significantly over the last year, but since it is still in the exploration stage the fundamentals won’t be naturally improving before any production from enhanced oil recovery program (EOR) is available.
What made the share price go higher was the update on the progress with EOR. The project was reported to be advancing as scheduled and with field rehabilitation present and construction of the EOR facility expected to be completed and operational in October.
The company proceeded with planning EOR at Two Creek and also filed an application to begin EOR program in Jurassic A pool.
