Crescent Point posts fourth-quarter loss on hedging losses

CALGARY - Crescent Point Energy Corp. (TSX:CPG), an oil and gas producer, reported a fourth-quarter loss of $4 million compared to a profit of $361 million in the same quarter of 2008, its results affected by losses this year and gains in the last due to its hedging program.

The loss amounted to two cents per share, compared to a profit of $2.84, in the same 2008 period.

The Calgary-based energy producer said revenue from oil and gas increased to $328 million from $211 million in 2008. But it booked an unrealized hedging loss of $81 million in the quarter compared to an unrealized gain of $417 million in 2008.

The company spent $113.1 million on development capital activities in the fourth quarter. Crescent Point says it maintained a monthly dividend of 69 cents per share for fourth quarter 2009, unchanged from the fourth quarter of 2008.

For the full year, the company reported a loss of $31 million, or 19 cents per share, compared to a profit of $464 million, or $3.71 per share in 2008. During the year, Crescent Point booked an unrealized hedging loss of $228.3 million, versus a gain of $294.3 million in 2008.

The company reduced its net debt to $371 million in 2009 from $731 million in 2008. In its guidance, it projected 2010 production of 56,500 barrels of oil equivalent per day.

Crescent Point is a conventional oil and gas producer with light oil and natural gas properties in Western Canada.

In December, the company made an agreement with Penn West Energy Trust (TSX:PWT.UN) to swap oil properties to stake out more ground in promising regions of Saskatchewan and Alberta in which they have core operations.

Shares in the company fell 32 cents to $38.74 during Thursday morning trading on the Toronto Stock Exchange.