Geomet Inc. reported unaudited consolidated earnings results for the third quarter and nine months ended September 30, 2009. For the quarter, the company reported net loss of $48.3 million or a loss of $1.24 per fully diluted share. For the quarter ended September 30, 2008, the company reported net income of $17.5 million or $0.44 per fully diluted share. Adjusted net loss was $0.6 million as compared to adjusted net income of $4.1 million in the third quarter of 2008. Adjusted EBITDA for the quarter decreased to $3.4 million from $10.3 million in the prior year quarter. Capital expenditures were $2.2 million as compared to $22.0 million for the same quarter in the prior year. The company reported operating loss of $74.75 million and loss before income taxes of $76.13 million on total revenues of $6.49 million compared to operating income of $29.17 million and income before income taxes of $28.08 million on total revenues of $18.82 million for the same period a year ago. For the nine months, the company reported a net loss of $155.5 million or a loss of $3.98 per fully diluted share. For the nine months ended September 30, 2008, the company reported net income of $12.2 million or $0.31 per fully diluted share. Adjusted net loss was $2.5 million as compared to adjusted net income of $11.7 million in the prior year period. Adjusted EBITDA decreased to $9.5 million from $31.1 million in the prior year period. Capital expenditures were $7.7 million as compared to $43.2 million for the same period in the prior year. The company reported operating loss of $243.59 million and loss before income taxes of $247.35 million on total revenues of $22.95 million compared to operating income of $23.75 million and income before income taxes of $20.29 million on total revenues of $55.60 million for the same period a year ago. Net cash provided by operating activities was $6.86 million compared to $24.97 million reported a year ago. The company reported $69.1 million or $1.77 per fully diluted share, pre-tax, non-cash impairment to the company's natural gas properties and $236.4 million or $6.05 per fully diluted share, pre-tax, non-cash impairment to the company's natural gas properties for the quarter and nine months of 2009, respectively.

Geomet, Inc., Q3 2009 Earnings Call, Nov-16-2009

Geomet Inc. announced that the company's bank syndicate, led by Bank of America, set the company's borrowing base at $135 million after completing their Fall borrowing base determination. This represents a less than 4% reduction from the previous determination of $140 million completed in the Spring of this year. The next regularly scheduled borrowing base determination will be based on the December 31, 2009 reserve report as prepared by independent reserve engineers. Commitments under the credit agreement expire in January 2011 and borrowings at September 30th totaled $119.5 million.