Energy Prospectus

Brigham Exploration reported a 3rd quarter loss of 1 cent per share and the market may have a negative reaction to that. 3rd quarter results include:
> $7.8 Million Non-cash Mark-to-Market adjustment on their hedges
> $10.9 Million Loss on Early redemption of Senior Notes
Both of these items distort results and should not be held against them.

Refinancing their debt at a lower interest rate is good news.

The Company is forecasting a 23% increase in production from Q3 to Q4. Very good news.

I will listen to their CC and update my forecast and Fair Value estimate tomorrow. Right now I see know reason to panic over the 3rd quarter loss.

Dan

pro forma eps was 15c according to reuters

UPDATE 1-Brigham Q3 profit beats; sees higher Q4 output

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Brigham Exploration Co
BEXP.O
$21.19
+0.09+0.43%2:00pm CDT
Mon Nov 1, 2010 5:18pm EDT

* Q3 adj EPS $0.15 vs est EPS $0.10

* Rev up at $44.4 mln, meets estimate

* Sees Q4 production 10,200-10,800 boe/d

* Raises capex by 15 percent

Nov 1 (Reuters) - Brigham Exploration Co (BEXP.O) benefited from its focus on oil-rich plays as its third-quarter adjusted profit beat market estimates on higher prices for oil, and the company forecast sequentially higher production for the current quarter.

Benchmark U.S. oil prices averaged about $76.50 per barrel in the third quarter, up from $68 last year, but down slightly from $78 in the second quarter.

For the fourth quarter, Brigham expects total average production of 10,200-10,800 barrels of oil equivalent (boe) per day. July-September production was up 64 percent at 8,509 boe per day. Oil represented 75 percent of total production.

For the third quarter, the company lost $0.7 million, or 1 cent a share, compared with a net income of $0.5 million, or 1 cent a share, a year ago.

Excluding items, the company earned 15 cents a share, against estimates of 10 cents a share,
according to Thomson Reuters I/B/E/S.

Total revenue at Brigham, a top player in the Bakken shale that straddles North Dakota, Montana and Saskatchewan, jumped to $44.4 million. Analysts had expected $44.7 million.

The company raised its full-year exploration and development capital budget by 15 percent to $466.1 million.

All of you that are invested in BEXP should listen to their 3rd quarter conference call and follow along with the slides. You will see the HUGE potential this one has for us.

I have updated by BEXP forecast model which will be posted to the website soon.

Dan