Hammerhead Energy Inc.

CIK:0001946425|SEC Filings

CONSOLIDATED STATEMENTS OF PROFIT (LOSS) AND COMPREHENSIVE PROFIT (LOSS) - CAD ($) $ in Thousands	4 Months Ended	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
REVENUE
Oil and gas revenue		$ 844,644	$ 439,843	$ 263,514
Royalties		(104,508)	(38,577)	(17,185)
Oil and natural gas revenue, net of royalties		740,136	401,266	246,329
RISK MANAGEMENT CONTRACTS
Realized (loss) gain on risk management contracts		(105,977)	(95,407)	66,121
Unrealized gain (loss) on risk management contracts		38,112	(16,649)	(18,353)
Total gain (loss) on risk management contracts		(67,865)	(112,056)	47,768
OTHER INCOME		2,939	1,202	5,050
Total Revenue		675,210	290,412	299,147
EXPENSES
Operating		106,592	82,721	77,477
Transportation		69,683	62,044	57,393
General and administrative		22,268	21,565	21,838
Optimization fees		0	19,708	670
Transaction costs		19,080	0	0
Share-based compensation		10,044	14,039	7,155
Depletion and depreciation		147,168	127,333	135,184
Finance		25,497	21,264	37,344
Loss (gain) on foreign exchange		7,229	(350)	817
Loss (gain) on warrant revaluation		10,611	96	(3,981)
Loss (gain) on debt		218	0	(88,160)
Loss on asset disposition		0	13,813	0
Total expenses		418,390	362,233	245,737
Profit (loss) before tax		256,820	(71,821)	53,410
Deferred income tax expense		31,720	0	0
Profit (loss)		$ 225,100	$ (71,821)	$ 53,410
Net profit (loss) per common share
Basic		$ 0.51	$ (0.24)	$ 0.09
Diluted		$ 0.21	$ (0.24)	$ 0.05
Hammerhead Energy Inc. [Member]
REVENUE
Oil and natural gas revenue, net of royalties	$ 0
EXPENSES
Total expenses	0
Profit (loss)	$ 0
Net profit (loss) per common share
Basic	$ 0
Diluted	$ 0

CONSOLIDATED STATEMENTS OF CASH FLOWS - CAD ($) $ in Thousands	4 Months Ended	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
OPERATING ACTIVITIES
Net profit (loss)		$ 225,100	$ (71,821)	$ 53,410
Adjustments for non-cash items:
Unrealized (gain) loss on risk management contracts		(38,112)	16,649	18,353
Share-based compensation		10,044	14,039	7,155
Depletion and depreciation		147,168	127,333	135,184
Finance, non-cash		13,414	14,685	10,209
Unrealized loss (gain) on foreign exchange		4,804	(341)	813
Loss (gain) on warrant revaluation		10,611	96	(3,981)
Deferred income tax expense		31,720	0	0
Settlement of decommissioning obligations		(123)	0	0
Loss (gain) on debt		218	0	(88,160)
Loss on asset disposition		0	13,813	0
Non-cash settlement under long term retention program		0	527	0
Gain on farmout transaction		0	0	(3,496)
Realized foreign exchange loss on debt repayment		5,168	0	0
Change in non-cash working capital		(38,657)	6,131	(9,801)
Net cash from operating activities		371,355	121,111	119,686
FINANCING ACTIVITIES
Drawdown of bank debt		209,500	51,500	23,300
Repayment of bank debt		(136,000)	(108,800)	(149,700)
Repayment of term debt		(78,621)	0	0
Debt transaction costs		(218)	0	(1,186)
Issued Series IX first preferred shares, net of issue costs		0	34,977	102,512
Proceeds from common shares issued		14	0	22
Payment of lease obligations		(1,283)	(1,441)	(1,522)
Net cash used in financing activities		(6,608)	(23,764)	(26,574)
INVESTING ACTIVITIES
Additions to property, plant and equipment ("PP&E")		(383,876)	(138,544)	(94,362)
Proceeds from asset disposition		0	10,027	0
Net change in accounts payable related to the addition of PP&E		15,723	37,337	(18,966)
Net cash used in investing activities		(368,153)	(91,180)	(113,328)
Net change in cash		(3,406)	6,167	(20,216)
Cash, beginning of period		12,239	6,078	26,450
Foreign exchange revaluation		0	(6)	(156)
Cash, end of period	$ 8,833	8,833	$ 12,239	$ 6,078
Hammerhead Energy Inc. [Member]
OPERATING ACTIVITIES
Net profit (loss)	0
Adjustments for non-cash items:
Net cash from operating activities	0
FINANCING ACTIVITIES
Net cash used in financing activities	0
INVESTING ACTIVITIES
Net cash used in investing activities	0
Net change in cash	0
Cash, beginning of period	0
Cash, end of period	$ 0	$ 0

CONSOLIDATED STATEMENTS OF FINANCIAL POSITION - CAD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021
Current assets
Cash	$ 8,833	$ 12,239
Accounts receivable	89,235	49,433
Prepaid expenses and deposits	4,564	2,751
Risk management contracts	19,293	289
Total current assets	121,925	64,712
Property, plant and equipment	1,644,199	1,408,839
Total assets	1,766,124	1,473,551
Current liabilities
Accounts payable and accrued liabilities	135,547	116,866
Current portion of lease obligations	1,180	1,030
Risk management contracts	7,286	23,344
Total current liabilities	144,013	141,240
Bank debt	179,800	106,300
Term debt	78,932	134,747
Non-current portion of lease obligations	3,945	3,927
Risk management contracts	0	3,050
Warrant liability	21,971	11,360
Decommissioning obligations	23,115	29,569
Deferred tax liabilities	31,720	0
Total liabilities	483,496	430,193
SHAREHOLDERS' EQUITY
Common share capital	585,732	584,275
Preferred share capital	606,131	606,131
Contributed surplus	96,417	83,704
Deficit	(5,652)	(230,752)
Total shareholders' equity	1,282,628	1,043,358
Total liabilities and shareholders' equity	1,766,124	$ 1,473,551
Hammerhead Energy Inc. [Member]
Current assets
Accounts receivable	10
Total assets	10
SHAREHOLDERS' EQUITY
Common share capital	10
Total shareholders' equity	10
Total liabilities and shareholders' equity	$ 10