SECURITIES AND EXCHANGE COMMISSION
Washington, D. C. 20549
FORM 10-Q
QUARTERLY REPORT UNDER SECTION 13 OR 15 (d)
OF THE SECURITIES EXCHANGE ACT OF 1934
For Quarter Ended August 31, 2000 Commission File #0-7919
Wyoming Oil and Minerals, Inc.
(Exact name as specified in its Charter)
Wyoming 83-0217330
(State or other jurisdiction of (I.R.S. EMPLOYER
incorporation or organization) IDENTIFICATION NUMBER)
330 S. Center, Suite 419, Casper, Wyoming 82602
(Address of Principal Executive Offices)
Registrant's Telephone Number, Including Area Code: (307 234-9638)
Indicate by check mark whether the registrant (1) has filed all reports re-
quired to be filed by Section 13 or 15 (d) of the Securities Exchange Act of
1934 during the preceding 12 months (or for such shorter period than the
registrant was required to file such reports), and (2) has been subject to
such filing requirements for the past 90 days.
YES X NO
As of August 31, 2000, there were 633,500 shares of $0.01 par value common
stock issued and outstanding.
WYOMING OIL AND MINERALS, INC.
TABLE OF CONTENTS
AUGUST 31, 2000
PART I - FINANCIAL STATEMENTS
Unaudited Balance Sheets
August 31, 2000 and February 29, 2000 1
Unaudited Condensed Statements of Operations
Three and Six Months Ended August 31, 2000 and 2,3
Unaudited Condensed Statements of Changes
in Financial Position
Six Months Ended August 31, 2000 and 1999 4
Unaudited Notes to Financial Statements 5
Management's Discussion and Analysis of
the Unaudited Condensed Statements of
Operations 6
PART II - OTHER INFORMATION
Exhibits and Reports on Form 8-K 7
WYOMING OIL AND MINERALS, INC.
UNAUDITED BALANCE SHEETS
ASSETS Aug 31, Feb 29,
2000 2000
Current assets:
Cash $17,845 $59,000
Accounts receivable 38,714 81,046
Marketable equity securities,
at market value (Note 4) 19,250 14,536
Inventory 84,120 91,100
Note receivable 13,333
Interest Receivable 216
Total current assets: 159,929 259,231
Property and equipment, at cost less
accumulated depreciation and depletion:
204,495 =February 29, 2000
221,119 =Aug 31, 2000 766,757 619,175
Accounts receivable - non current 26,352 26,352
Financing fees, net of accumulated amortization 15,633 19133
Other assets 61 61
42,046 45,546
$968,732 $923,952
LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities:
Notes payable, current portion (Note 3) $96,386 $61,120
Accounts payable and accrued expenses 197,508 101,214
Income taxes payable 6,636
Total current liabilities: 293,894 168,970
Long term debt (Note 3) 566,306 642,630
Stockholders' equity:
Capital stock, common, $.01 par-value
Authorized: 25,000,000 shares
Issued: 546,500 shares as of February 29, 2000
and 633,500 shares as of August 31, 2000 6,335 5,465
Additional paid-in capital 1,639,651 1,553,521
Accumulated deficit (1,550,854)(1,455,320)
Unrealized gains on securities available for sale
net of applicable deferred income taxes 13,400 8,686
108,532 112,352
$968,732 $923,952
The notes to financial statements are an integral part of these statements.
1
WYOMING OIL AND MINERALS, INC.
UNAUDITED CONDENSED STATEMENTS OF OPERATIONS
Six Months Ended
Aug 31, Aug 31,
2000 1999
Operating revenues:
Oil and gas sales $249,652 $116,931
Other operating income 3,600 3,651
Total operating revenues 253,252 120,582
Operating expenses:
Gerneral and administrative 72,139 24,396
Production expenses 246,577 73,413
Lease rentals
Total operating expenses 318,716 97,809
Operating income (loss) (65,464) 22,773
Other income (expense):
Realized gain (loss) sale of marketable securities 1,000
Interest income 277
Interest (expense) (34,987) (9,025)
Other income (expense) net (34,710) (8,025)
Earnings (loss) before income taxes: (100,174) 14,748
Income tax expense (4,640)
Net earnings (loss) (95,534) 14,748
Other comprehensive income, net of tax:
Unrealized gains on available for sale securit 4,714
Comprehensive income ($90,820) $14,748
Net earnings (loss) per common share:
Basic ($0.17) $0.09
Diluted ($0.13) $0.09
Average shares outstanding - Basic 550,000 172,500
Average shares outstanding - Diluted 677,438 172,500
The notes to financial statements are an integral part of these statements.
2
WYOMING OIL AND MINERALS, INC.
UNAUDITED CONDENSED STATEMENTS OF OPERATIONS
Three Months Ended
Aug 31, Aug 31,
2000 1999
Operating revenues:
Oil and gas sales $131,625 $64,291
Other operating income $1,800 1,827
Total operating revenues 133,425 66,118
Operating expenses:
Gerneral and administrative $35,591 11,237
Production expenses $141,879 50,734
Lease rentals
Total operating expenses 177,470 61,971
Operating income (loss) (44,045) 4,147
Other income (expense):
Realized gain (loss) sale of marketable securities 1,000
Interest income $0
Interest (expense) ($18,016) (2,890)
Other income (expense) net (18,016) (1,890)
Earnings (loss) before income taxes: (62,061) 2,257
Income tax expense (4,640)
Net earnings (loss) (57,421) 2,257
Other comprehensive income, net of tax:
Unrealized gains on available for sale securit 3,324
Comprehensive income ($54,097) $2,257
Net earnings (loss) per common share:
Basic ($0.10) $0.01
Diluted ($0.08) $0.01
Average shares outstanding - Basic 553,500 172,500
Average shares outstanding - Diluted 690,265 172,500
The notes to financial statements are an integral part of these statements.
3
WYOMING OIL AND MINERALS, INC.
UNAUDITED CONDENSED STATEMENTS OF CHANGES
IN FINANCIAL POSITION
Six Months Ended
Aug 31, Aug 31,
2000 1999
Sources of working capital:
Net earnings from operations (adjusted by
items not using working capital) ($74,196) $16,767
Amortization of financing fees 3,500
Increase in long term debt (Note 3) 50,000
Sale of Common Stock (Note 5) 87,000
16,304 66,767
Uses of working capital:
Increase in properties (Note 2) 164,206
Decrease in long term debt (Note 3) 76,324
240,530
Increase (decrease) in working capital (224,226) 66,767
Working capital (deficit), beginning of period 90,261 (140,886)
Working capital (deficit), end of period ($133,965) ($74,119)
The notes to financial statements are an integral part of these statements.
4
WYOMING OIL AND MINERALS, INC.
UNAUDITED NOTES TO FINANCIAL STATEMENTS
1. Significant accounting policies
Refer to the Company's annual financial statements for a description of
the accounting policies which have been continued without change. Also, refer
to the footnotes with those financial statements for additional details of the
Company's financial condition, results of operations, and changes in financial
position. The details of those notes have not changed, except as a result of
normal transactions in the interim, or as disclosed within this report.
In the opinion of Management of the Company, the accompanying financial
statements contain all adjustments necessary to present fairly the financial
position as of August 31, 2000 and 1999, and the results of operations for
the three and six month periods then ended. The results of operations for
the three and six month periods ended August 31, 2000 and 1999 are not
necessarily indicative of the results to be expected for the full year.
2. Oil and gas properties
During the six months ended August 31, 2000, the Company expended $155,342 for
major betterment workovers on various wells. Also, leases were purchased in
the amount of $8,864.
3. Notes payable
As of August 31, 2000, the Company had outstanding notes payable of $662,692.
The interest rate on these loans is 3/4% to 1% over the prime rate.
A loan having a balance of $3,750 is secured by a producing oil well. A note
payable to a bank in the amount of $658,942 is secured by preferred stock of a
third party.
4. Marketable Securities
Marketable securities are carried at the lower of cost or market at the
balance sheet date. That determination is made by aggregating all current
marketable equity securities. Marketable equity securities in current assets
had a basis at August 31, 2000 of $41,077 less $35,227 permanent impairments
plus unrealized gains of $13,400 pertaining to the current portfolio.
5. Stock Options
During the three months ended August 31, 2000, 400,000 shares of $1 stock
options were granted to the chief executive officer of the Company as per
the Stock Purchase and Restructuring Agreement dated October 29, 1999. Of
these options, 21,000 shares were exercised at the end of July and 66,000
shares were exercised at the end of August.
6. Commitments..
In accordance with an operating agreement dated September 1, 1998 the
Company has the option to participate in an eight well pilot program in which
the Company holds a 16.67% interest. Phillips Petroleum, a 50% interest owner,
has proposed the program for approximately $2,900,000 of which the Company's
portion would be approximately $483,000. The Company will participate
in the program and intends to finance their share of the costs through a
private placement or additional borrowings.
5
WYOMING OIL AND MINERALS, INC.
MANAGEMENT'S DISCUSSION AND ANALYSIS OF
FINANCIAL CONDITION AND RESULTS OF OPERATIONS
The following is Management's discussion and analysis of material changes
in financial conditions since the end of the most recent fiscal year.
During the six months ended August 31, 2000, the Company's net working
capital decreased by $224,226, the result of capital used by operations of
$74,196, an increase in properties of $164,206(Note 2), amortization of
financing fees in the amount of $3,500, the sale of common stock of
$87,000(Note 5), and a decrease in long term debt of $76,324(Note 3).
Crude oil and natural gas sales for the three months ended August 31,
2000 were $132,721 higher than for the corresponding period of the prior year.
This increase is the result of the increase in oil prices and volume of
production due to additional ownership interest in wells.
General and administrative expenses were $47,743 higher during the current
six month period as compared to the corresponding 1999 period. This increase
is mainly the result of approximately $13,500 of legal fees regarding filing of
Form 10K and an increase in officer's salary of $18,000 and various other costs
mostly relating to shareholder expense.
Production expenses were $173,164 higher during the 2000 period as com-
pared to the 1999 period. This increase is the result of additional producing
wells purchased and some significant workover costs on the new wells as well as
certain wells owned during both quarters.
For Proposed capital expenditures, see Note 6 to the Financial Statements.
6
WYOMING OIL AND MINERALS, INC.
PART II - OTHER INFORMATION
Item 6 - Exhibits and Reports on Form 8-K
None
All other items of this report are inapplicable.
7
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934,
the registrant has duly caused this report to be signed on its behalf by
the undersigned thereunto duly authorized.
WYOMING OIL AND MINERALS, INC.
(Registrant)
Dated: 10/13/00
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/s/ Jack C. Bradley, Jr.
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Jack C. Bradley, Jr.
President
