<PAGE>
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 10Q
QUARTERLY REPORT UNDER SECTION 13 OR 15 (d)
OF THE SECURITIES EXCHANGE ACT OF 1934
For Quarter Ended September 30, 1997
Commission File Number 0-9394
BLACK DOME ENERGY CORPORATION
-----------------------------------------------------
(Exact name of registrant as specified in its charter)
Colorado 84-0808397
- ------------------------------- ---------------------------------
(State or other jurisdiction of (IRS Employer Identification No.)
incorporation or organization)
2374 Eldorado Lane
Evergreen, Colorado 80439
---------------------------------------------------
(Address of principal executive offices) (Zip code)
Registrant's telephone number, including area code: (303)674-8756
Indicate by check mark whether the registrant (1) has filed all reports
required 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 that the
registrant was required to file such reports), and (2) has been subject to
such filing requirements for the past 90 days.
__X__ Yes _____ No
At September 30, 1997, 73,755 shares of no par value common stock (the
registrant's only class of voting stock) were outstanding.
<PAGE>
BLACK DOME ENERGY CORPORATION
INDEX
TO
FORM 10-Q
SEPTEMBER 30, 1997
PART I - FINANCIAL INFORMATION PAGE
Item 1. Financial Statements
Condensed balance sheet 3
at September 30, 1997 and
December 31, 1996.
Statement of operations for 5
for the nine-month periods ended
September 30, 1997 and 1996 and
the three-month periods ended
September 30, 1997 and 1996.
Statement of cash flows 6
for the nine-month periods ended
September 30, 1997 and 1996 and
the three-month periods ended
September 30, 1997 and 1996.
Notes to Financial Statements 7
Item 2. Management's Discussion and Analysis of 8
Financial Conditions and Results of Operations
PART II - OTHER INFORMATION 9
------------------------------
The financial information furnished in this Form 10-Q reflects all
adjustments which are, in the opinion of management, necessary for a fair
presentation of the financial position of the Company and results of its
operations for the interim periods presented.
Page 2
<PAGE>
PART I - FINANCIAL INFORMATION
Item 1. Financial Statements
BLACK DOME ENERGY CORPORATION
CONDENSED BALANCE SHEET
September 30, December 31,
1997 1996
(Unaudited) (Note)
------------- ----------
ASSETS
Current Assets:
Cash $ 834,177 $ 128,220
Accounts Receivable 3,003 103,657
Total current assets $ 837,180 $ 231,877
Property and equipment, at cost:
Oil and gas properties - net
(successful efforts method) -- 161,511
Materials and supplies -- 9,772
171,283
Deferred income tax assets -- 300,000
Total assets $ 837,180 $ 703,160
----------- ----------
Note: The balance sheet at December 31, 1996 has been taken from the audited
financial statements at that date, and condensed.
Page 3
<PAGE>
BLACK DOME ENERGY CORPORATION
CONDENSED BALANCE SHEET (Continued)
September 30, December 31,
1997 1996
(Unaudited) (Note)
------------- -----------
LIABILITIES AND STOCKHOLDER'S EQUITY
Current Liabilities:
Accounts Payable $ 18,738 $ 99,431
Deferred Compensation -- 132,100
Total Current Liabilities 18,738 231,531
Stockholders' Equity:
Common stock; no par value;
authorized 10,000,000 shares,
issued and outstanding 73,755
2,188,353 2,188,353
Retained earnings (deficit) (1,369,911) (1,716,724)
Total stockholders' equity 818,442 471,629
Total liabilities and
stockholders' equity $ 837,180 $ 703,160
----------- -----------
Note: The balance sheet at December 31, 1996 has been taken from the audited
financial statements at that date, and condensed.
Page 4
<PAGE>
BLACK DOME ENERGY CORPORATION
STATEMENT OF OPERATIONS
(Unaudited)
Nine Months Three Months
Ended Ended
September 30, September 30,
1997 1996 1997 1996
-------- -------- -------- --------
Income (loss) from:
Discontinued Operations -- $ (4,770) -- $22,382
Expense during liquidation
period $(95,671) -- $(17,171) --
Gain on sale of oil and
gas properties 742,484 -- -- --
646,813 (4,770) (17,171) 22,382
Income Tax expense 300,000 -- -- --
Net Income (loss) $346,813 $(4,770) $(17,171) $22,382
Income (loss) per common
share $ 4.70 $ (.06) $ (.23) $ .31
-------- ------- -------- -------
Page 5
<PAGE>
BLACK DOME ENERGY CORPORATION
STATEMENT OF CASH FLOWS
Nine Months Three Months
Ended Ended
September 30, September 30,
1997 1996 1997 1996
--------- -------- -------- --------
Cash flows from
operating activities:
Net earnings (loss) $ 346,813 $ (4,770) $(17,182) $ 22,382
Gain on sale of oil &
gas properties (742,484) -- -- --
Depreciation, depletion,
amortization -- 120,000 -- 36,500
Changes in assets and
liabilities:
(Increase) decrease
in receivables 100,657 7,515 (3,003) 9,311
Decrease in deferred tax asset 300,000 -- -- --
Increase (decrease) in
accounts payable (80,693) 34,391 (5,570) 34,359
Increase (decrease) in
deferred compensation (132,100) 62,500 -- --
Net cash provided (used) by (207,807) (219,636) (25,755) 102,552
operating activities
Cash flows from investing
activities:
Proceeds from sale of
O&G properties 921,750 -- -- --
Purchase of equipment (7,986) (17,113) -- (4,499)
Purchase of well equipment
inventory, net of transfers
to wells -- 15,909 -- 16,935
Net cash (used in) provided by
investing activities 913,764 1,204 -- 12,436
Cash flows from financing activities:
Increase (Decrease) in notes payable -- (51,229) -- (19,539)
Net cash (used in) provided by
financing activities -- (51,229) -- (19,539)
Increase (decrease) in cash 705,957 167,203 (25,755) 95,449
Cash balance at beginning of period 128,220 63,008 859,932 134,762
Cash balance at end of period $834,177 $230,211 $834,177 $230,211
-------- -------- -------- --------
Page 6
<PAGE>
Notes to Financial Statements of
Black Dome Energy Corporation
SEPTEMBER 30, 1997
(UNAUDITED)
NOTE 1 -- Basis of Preparation and Presentation
The Black Dome Energy Corporation financial statements included herein
have been prepared by the Company, without audit, pursuant to the rules and
regulations of the Securities and Exchange Commission and include all
adjustments which are, in the opinion of management, necessary for a fair
presentation. Certain information and footnote disclosures normally included
in financial statements prepared in accordance with generally accepted
accounting principles have been condensed or omitted pursuant to such rules
and regulations. The Company believes that the disclosures are adequate to
make the information presented not misleading; however, it is suggested that
these financial statements be read in conjunction with the financial
statements and the notes thereto which are incorporated by reference in the
Company's Annual Report on Form 10-K for the fiscal year ended December 31,
1996. The financial data for the interim periods may not necessarily be
indicative of results to be expected for the year.
Page 7
<PAGE>
Item 2. Management's Discussion and Analysis of Financial Condition and
Results of Operations.
General
This discussion and analysis covers variations in the balance sheets of
December 31, 1996, and September 30, 1997, and in the statements of operations
and changes in cash flows for the nine-month periods ended September 30, 1997
and 1996.
Liquidity and Capital Resources
As a result of the sale of all the Corporation's oil and gas properties,
working capital at September 30, 1997 was $818,442 compared to the $346 at
December 31, 1996.
Results of Operations
The Corporation sold all of its operating oil and gas properties effective
December 31, 1996 and ceased operations. Costs incurred in the nine months
ended September 30, 1997 resulted mostly from administrative costs incurred in
the closing of operations.
Page 8
<PAGE>
PART II - OTHER INFORMATION
Item 6. Exhibits and Reports on Form 8-K.
(a) Exhibits: None
(b) Reports: None
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the
Registrant has duly caused this report to be signed on behalf of the
undersigned thereunto duly authorized.
BLACK DOME ENERGY CORPORATION
Date: November 4, 1997 By: /s/Edgar J. Huff
Edgar J. Huff, President
and Chief Financial Officer
Page 9
<PAGE>
EXHIBIT INDEX
EXHIBIT METHOD OF FILING
- ------- ------------------------------
27. Financial Data Schedule Filed herewith electronically
<TABLE> <S> <C>
<ARTICLE> 5
<LEGEND>
This schedule contains summary financial information extracted from the
balance sheets and statements of operations found on pages 3-5 of the
Company's Form 10-Q for the year to date, and is qualified in its entirety by
reference to such financial statements.
</LEGEND>
<PERIOD-TYPE> 9-MOS
<FISCAL-YEAR-END> DEC-31-1996
<PERIOD-END> SEP-30-1997
<CASH> 834,177
<SECURITIES> 0
<RECEIVABLES> 3,003
<ALLOWANCES> 0
<INVENTORY> 0
<CURRENT-ASSETS> 837,180
<PP&E> 0
<DEPRECIATION> 0
<TOTAL-ASSETS> 837,180
<CURRENT-LIABILITIES> 18,738
<BONDS> 0
<COMMON> 2,188,353
0
0
<OTHER-SE> (1,369,911)
<TOTAL-LIABILITY-AND-EQUITY> 837,180
<SALES> 0
<TOTAL-REVENUES> 646,813
<CGS> 0
<TOTAL-COSTS> 0
<OTHER-EXPENSES> 0
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 0
<INCOME-PRETAX> 646,813
<INCOME-TAX> 300,000
<INCOME-CONTINUING> 0
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 346,813
<EPS-PRIMARY> 4.70
<EPS-DILUTED> 4.70
</TABLE>
