SAN DIEGO, May 09, 2016 (GLOBE NEWSWIRE) -- Royale Energy, Inc. (OTCQB:ROYL) reported today for the quarter ended March 31, 2016, a net loss of $624,320, a $507,596 improvement when compared to net loss of $1,131,916 during the first quarter of 2015. This 45% improvement over the comparative quarter last year was largely due to cost reduction measures implemented by the Company as well as the successful drilling of a new turnkey well under Royale’s development agreement in Grimes Field.
A significant portion of the cost savings were in Royale’s lower G&A expenses. Royale reduced its cash G&A costs from $795,158 in the first quarter of 2015 to $450,590 in the first quarter of 2016, primarily through staff reductions and a shift to more stock based compensation for executive management and directors in lieu of cash compensation.
Over the last 60 days, Royale has completed two new wells, one in Sacramento Basin and one in South Louisiana. Royale remains on target to drill and complete a minimum of six wells in 2016.
Forward Looking Statements
In addition to historical information contained herein, this news release contains “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995, subject to various risks and uncertainties that could cause the company’s actual results to differ materially from those in the “forward-looking” statements. While the company believes its forward looking statements are based upon reasonable assumptions, there are factors that are difficult to predict and that are influenced by economic and other conditions beyond the company’s control. Investors are directed to consider such risks and other uncertainties discussed in documents filed by the company with the Securities and Exchange Commission.