Alpharetta, Aug. 21, 2014 (GLOBE NEWSWIRE) -- The Company's quarterly report indicates many items which reflect the corporate restructuring that began in the second quarter of this year.
Warren Binderman, Legend's Chief Financial Officer notes that "despite the losses incurred during the first six months of 2014, the Company spent the last month of the quarter, thanks to financing by the Hillair cash infusion, tackling various legacy business challenges on all fronts. We expended capital to grow our oil production through new drilling on the company's Piqua Project in Woodson County, Kansas, and have navigated through many of the pre-existing issues at the Company. While we are not out of the woods yet, we have begun to gain some positive momentum and our capital spending is starting to reap measureable rewards through significant increases in oil production as each new well comes on line."
Binderman continues "when you dig into the financials, you will note a 'silver lining' in that many of the costs incurred this period were non-cash in nature. We impaired our Canadian assets resulting in a non-cash charge of over $425 thousand, resolved administrative matters through issuance of common stock for services resulting in charges of over $800 thousand, and recognized a non-cash interest expense of almost $900 thousand. We have successfully reduced our general and administrative cash costs and were able to gain control over our legacy accounts payables. These are monumental achievements in light of where the Company was prior to the beginning of this restructuring."
Andrew Reckles, Chief Restructuring Officer states that "we still have a lot of work to do, and the heavy lifting is by no means complete, but I am proud of the achievements that the team has produced so far, and with the continued support of Hillair, we look forward to continuing that momentum into the third and fourth quarters of this year."
About Legend Oil and Gas Ltd.
Legend Oil and Gas Ltd. is a managed risk, oil and gas exploration/exploitation, development and production company with activities currently focused on leases in southeastern Kansas.
Forward-looking Statements:
This press release contains forward-looking statements concerning future events and the Company's growth and business strategy. Words such as "expects," "will," "intends," "plans," "believes," "anticipates," "hopes," "estimates," and variations on such words and similar expressions are intended to identify forward-looking statements. Although the Company believes that the expectations reflected in such forward-looking statements are reasonable, no assurance can be given that such expectations will prove to have been correct. Forward looking statements in this press release include statements about our drilling development program. These statements involve known and unknown risks and are based upon a number of assumptions and estimates that are inherently subject to significant uncertainties and contingencies, many of which are beyond the control of the Company. Actual results may differ materially from those expressed or implied by such forward-looking statements. Factors that could cause actual results to differ materially include, but are not limited to, the timing and results of our 2014 drilling and development plan. Additional factors include increased expenses or unanticipated difficulties in drilling wells, actual production being less than our development tests, changes in the Company's business; competitive factors in the market(s) in which the Company operates; risks associated with oil and gas operations in the United States; and other factors listed from time to time in the Company's filings with the Securities and Exchange Commission including the Company's Annual Report on Form 10-K for the year ended December 31, 2013 and Form 10Q for the quarter ended March 31, 2014. The Company expressly disclaims any obligations or undertaking to release publicly any updates or revisions to any forward-looking statements contained herein to reflect any change in the Company's expectations with respect thereto or any change in events, conditions or circumstances on which any statement is based.
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