Rex Energy posts $2M profit
Rex Energy Corp. (NASDAQ: REXX) posted net income of $2 million, or 5 cents per share for the first quarter, a significant swing compared with a loss of $1 million, or 4 cents per share, during the comparable period in 2009.
The State College-based oil and gas firm has ramped up its drilling in Marcellus Shale. It announced a 127 percent increase in daily production of natural gas during the first quarter this year, compared with the first quarter last year. Oil extraction still accounts for 59 percent of the company’s production.
Rex doubled its revenue for the company's first quarter, going from $8.8 million to $16.8 million year over year.
The company is in the middle of constructing a cryogenic gas processing plant in Butler County which is awaiting final regulatory approval. Rex expects it will go online during the fourth quarter of 2010.
In December, Rex announced it was forming a joint venture called Keystone Midstream Services LLC with Colorado-based Stonehenge Energy Resources.
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