Cobalt International Energy, Inc. (CIE) saw its loss widen to $1,872.94 million, or $4.47 a share for the quarter ended Dec. 31, 2016. In the previous year period, the company reported a loss of $486.84 million, or $1.19 a share.
Revenues for the quarter were $7.77 million. The company has not recorded any revenues for the previous year period.
Operating loss for the quarter was $1,830.54 million, compared with an operating loss of $476.45 million in the previous year period.
Timothy J. Cutt, Cobalt’s Chief Executive Officer said, "The accounting rules are mechanical and required us to impair our Angolan assets at this time. This is an accounting result and not a reflection of what we believe these assets are worth to Cobalt. While it is clear that our sale process has been negatively impacted by the uncertainty surrounding the extensions, it is also clear that Sonangol’s preference is for Cobalt to present potential buyers to Sonangol to finalize and grant the extensions. While we continue to work the sales process, we must also continue to work to protect our rights and thus have formally notified Sonangol of our dispute. We hope to resolve things amicably with Sonangol but will be ready for arbitration as well."
Operating cash flow remains negative
Cobalt International Energy, Inc. has spent $165.66 million cash to meet operating activities during the year as against cash outgo of $1.65 million in the last year.
Cash flow from investing activities was $152.83 million from investing activities during the year as against cash outgo of $114.12 million in the last year.
Cash flow from financing activities was $490 million for the year as against cash outgo of $4.07 million in the last year period.
Cash and cash equivalents stood at $613.53 million as on Dec. 31, 2016, up 665.28 percent or $533.36 million from $80.17 million on Dec. 31, 2015.
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