hi guyssee below 08 Mar 2006 Preliminary Final Report..also...

hi guys

see below 08 Mar 2006 Preliminary Final Report..

also worth reading this:
http://www.incrementalpetroleum.com/reports/StockAnalysis%20IPM%20Special.pdf

ABN: 38 115 711 601
Limited
Incremental Preliminary Final Report Confirms Strong Balance Sheet Working Capital $11.3m. No Debt. RESULTS FOR THREE MONTHS OPERATIONS: Revenue - $9.989m. Net Profit After Tax - $3.1m. Earnings Per Share - 4.62 Cents. Oil production company Incremental Petroleum Ltd (ASX:IPM) today released its first preliminary final report covering the three month operating period ending 31 December 2005, confirming it has been able to build and maintain a strong balance sheet since listing in October 2005. The preliminary final report confirmed that Incremental has no borrowings and $11.3m in working capital. Earnings per share were 4.62 cents. For the three months operations, revenue was reported as $9.986m, with a Net Profit after Tax (NPAT) for the period of $3.1m. Incremental Chairman Chris Cronin said that Directors were delighted with the way the company has been able to establish financial stability so soon after listing. “We have worked very hard to establish a sound financial position,” he said. “A maiden Net Profit after Tax of $3.1m and an Operating Cash Flow of $4.4m after only 3 months operation of the Selmo oilfield in Turkey is an outstanding result that we are looking to build on in the near future.” “We believe the strong financial foundation we have established will be key to the success of this company over the long-term.” Mr Cronin said that in spite of a temporary reduction in production caused by extreme weather conditions in late January (previously announced on 1 February) there had been a full recovery and that cash flow for the months of January and February has continued to be very strong. “The building of a strong balance sheet means that the Company is now perfectly placed to fund its growth strategy which is focused on the drilling of a number of short radius deviated production wells in the Selmo field in Q2 and Q3 of 2006.
20 Howard Street PERTH WA 6000 Po Box Z5490 PERTH WA 6831
Ph: +61 8 9481 8696 Fx: +61 8 9481 2394
ABN: 38 115 711 601
Limited
The success of the existing operations also allows the Company to more actively consider new acquisitions should the right type of opportunities with acceptable economics arise,” he added. Mr Cronin also confirmed that technical work to support the issuing of a formal reserves statement in Q3 2006 remain on schedule. ENDS For further information please contact: Chris Cronin, Chairman Tiffany Winch-Buist Incremental Petroleum Professional Public Relations (WA) Ph: 0419 943 172 Ph: 08 9388 0944 / 0433 186 516 ------------------------------------------------------------------------------------------------------------------------------- About Incremental Petroleum Incremental was formed by a syndicate of petroleum industry experts and after a successful A$61 million capital raising and associated IPO, listed on the ASX on 20 October 2005. Its key strategy is to acquire low risk, ageing, producing oilfields and apply world-class technical expertise to increase production and recoveries. Incremental’s major asset is the Selmo Oilfield in Turkey, the second largest oilfield in Turkey by cumulative production. The field has estimated oil initially in place of approximately 500 million barrels, with a low recovery factor (about 82 million barrels produced to date). There are 47 wells at Selmo, 22 of which are still producing. The oil is sold at the field gate and sent by pipeline direct to a refinery 40km away. There is considerable scope for improved production and recovery at Selmo – an oilfield which has a long life and provides an excellent net cash flow. In addition to activities at Selmo, Incremental entered a farm-in agreement with Ottoman Energy to fund a future A$3,000,000 exploration program to earn a 15% working interest in the Edirne Licence. Incremental has offices in Perth, Western Australia, and in Istanbul and Ankara in Turkey.