Pyramid Oil Company
Statements of Operations
Three months ended Twelve months ended
December 31, December 31,
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2008 2007 2008 2007
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REVENUES:
Oil and gas sales $ 898,427 $ 1,397,822 $ 6,610,628 $ 4,502,855
Gain on sale of fixed
assets 0 1,454 500 441,927
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898,427 1,399,276 6,611,128 4,944,782
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COSTS AND EXPENSES:
Operating expenses 508,614 422,055 1,941,888 1,611,269
Exploration costs 0 0 -28,812 6,687
General and
administrative 428,832 208,132 1,169,191 924,746
Taxes, other than income
and payroll taxes 32,124 32,997 131,215 111,909
Provision for depletion,
depreciation and
amortization 420,924 128,251 944,168 460,804
Valuation allowances 1,162,379 3,324 1,162,379 3,324
Accretion expense 2,364 5,548 68,832 22,135
Other costs and expenses 26,875 5,177 128,090 36,818
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2,582,112 805,484 5,516,951 3,177,692
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OPERATING INCOME -1,683,685 593,792 1,094,177 1,767,090
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OTHER INCOME (EXPENSE):
Interest income 24,120 21,950 88,792 85,003
Other income 4,400 3,600 28,431 19,886
Interest expense -472 104 -2,235 -1,768
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28,048 25,654 114,988 103,121
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INCOME BEFORE INCOME
TAX PROVISION -1,655,637 619,446 1,209,165 1,870,211
Income tax provision
(benefit)
Current 73,458 192,075 312,710 375,150
Deferred -796,245 0 -617,245 0
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-722,787 192,075 -304,535 375,150
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NET INCOME $ -932,850 $ 427,371 $ 1,513,700 $ 1,495,061
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EARNINGS PER COMMON SHARE
Basic income per common
share $ -0.20 $ 0.09 $ 0.32 $ 0.32
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Diluted income per
common share $ -0.20 $ 0.09 $ 0.32 $ 0.32
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Weighted average number
of common shares
outstanding 4,677,728 4,677,728 4,677,728 4,677,728
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Diluted average number of
common shares outstanding 4,713,055 4,677,728 4,713,055 4,677,728
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Pyramid Oil Company
BALANCE SHEETS
ASSETS
December 31, December 31,
2008 2007
(Unaudited) (Audited)
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CURRENT ASSETS:
Cash $ 1,793,563 $ 618,448
Short-term investments 2,789,099 1,478,979
Trade accounts receivable 213,588 643,340
Crude oil inventory 82,025 71,298
Deferred income taxes 108,000 0
Prepaid expenses and other assets 186,353 173,164
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TOTAL CURRENT ASSETS 5,172,628 2,985,229
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PROPERTY AND EQUIPMENT, at cost
Oil and gas properties and equipment
(successful efforts method) 15,755,472 14,734,929
Capitalized asset retirement costs 382,550 310,579
Drilling and operating equipment 2,109,993 2,050,556
Land, buildings and improvements 1,065,371 1,010,847
Automotive, office and other property and
equipment 1,162,324 1,141,451
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20,475,710 19,248,362
Less: accumulated depletion, depreciation,
amortization and valuation allowance -16,147,157 -14,040,610
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4,328,553 5,207,752
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OTHER ASSETS
Deposits 250,000 250,000
Deferred income taxes 509,245 0
Other Assets 17,013 17,013
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$ 10,277,439 $ 8,459,994
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Pyramid Oil Company
BALANCE SHEETS
LIABILITIES AND STOCKHOLDERS' EQUITY
December, 31 December 31,
2008 2007
(Unaudited) (Audited)
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CURRENT LIABILITIES:
Accounts payable $ 40,820 $ 108,500
Accrued professional fees 130,261 54,165
Accrued taxes, other than income taxes 76,222 61,684
Accrued payroll and related costs 50,451 57,647
Accrued royalties payable 132,472 212,916
Accrued insurance 59,096 65,999
Accrued income taxes 239,815 145,815
Current maturities of long-term debt 23,901 26,868
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TOTAL CURRENT LIABILITIES 753,038 733,594
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LONG-TERM DEBT, net of current maturities 20,640 44,542
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DEFERRED TAXES 0 0
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LIABILITY FOR SHARE BASED COMPENSATION 0 67,000
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LIABILITY FOR ASSET RETIREMENT OBLIGATION 1,151,706 1,010,903
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COMMITMENTS
STOCKHOLDERS' EQUITY:
Preferred stock-no par value;
10,000,000 authorized shares;
no shares issued or outstanding 0 0
Common stock-no par value;
50,000,000 authorized shares;
4,677,728 shares issued and
outstanding 1,306,010 1,071,610
Retained earnings 7,046,045 5,532,345
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8,352,055 6,603,955
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$ 10,277,439 $ 8,459,994
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Contact Information: CONTACTS: John H. Alexander President and CEO Pyramid Oil Company 661-325-1000 Geoff High Principal Pfeiffer High Investor Relations, Inc. 303-393-7044