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 October 28, 2015 - 9:20 AM EDT
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Royale Announces Positive Operating Income

SAN DIEGO, Oct. 28, 2015 (GLOBE NEWSWIRE) -- Royale Energy, Inc. (NASDAQ:ROYL) today announced its third quarter 2015 results, in which it posted $21,372 in operating income for the three months ending September 30, 2015 despite the worst energy market in recent history.  This accomplishment overcomes a sharp decline in natural gas prices and declining production.

In response to the deterioration of the sector, Royale has been able to reduce General and Administrative expenses by over 17% from the same quarter last year, and has achieved an 11% reduction in Lease Operating expenses for the three months ending September 30, 2015 when compared to the same period in 2014.

The company is optimistic that it can overcome this phase of the industry cycle and emerge stronger and better positioned to capitalize on the future. 

“We plan to sell non-core assets and raise additional equity to provide the capital necessary to drill new wells and acquire producing properties,” said Stephen Hosmer the company’s CFO.  “This plan is expected to allow us to regain NASDAQ compliance, in the coming months, and become consistently profitable into the foreseeable future.”

Forward Looking Statements

In addition to historical information contained herein, this news release contains “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995, subject to various risks and uncertainties that could cause the company’s actual results to differ materially from those in the “forward-looking” statements. While the company believes its forward looking statements are based upon reasonable assumptions, there are factors that are difficult to predict and that are influenced by economic and other conditions beyond the company’s control. Investors are directed to consider such risks and other uncertainties discussed in documents filed by the company with the Securities and Exchange Commission.

  
ROYALE ENERGY, INC. 
STATEMENTS OF OPERATIONS 
FOR THE PERIODS ENDED SEPTEMBER 30, 2015 AND 2014 
  
  Three Months Ended September 30,  Nine Months Ended September 30, 
  2015  2014  2015  2014 
  (Unaudited)  (Unaudited)  (Unaudited)  (Unaudited) 
             
Revenues:            
Sale of Oil and Gas $255,179  $507,784  $831,472  $2,077,750 
Supervisory Fees and Other  186,616   169,475   529,082   497,379 
                 
Total Revenues  441,795   677,259   1,360,554   2,575,129 
                 
Costs and Expenses:                
General and Administrative  710,239   858,137   2,397,434   2,280,268 
Lease Operating  218,953   248,028   803,549   969,390 
Delay Rentals  0   2,400   49,565   34,192 
Lease Impairment  83,755   37,494   96,436   37,494 
Well Equipment Write Down  0   0   19,000   0 
Legal and Accounting  130,037   39,030   453,935   307,433 
Marketing  94,861   133,047   240,608   263,365 
Depreciation, Depletion and Amortization  70,018   62,880   209,238   241,015 
                 
Total Costs and Expenses  1,307,863   1,381,016   4,269,765   4,133,157 
                 
Gain (Loss) on Turnkey Drilling Programs  887,440   562,885   903,677   959,339 
Gain (Loss) on Sale of assets  0   369,977   10,070   335,376 
                 
Income (Loss) From Operations  21,372   229,105   (1,995,464)  (263,313)
Other Income (Expense):                
Interest Expense  (21,766)  (22,792)  (64,495)  (60,085)
                 
Income (Loss) Before Income Tax Expense  (394)  206,313   (2,059,959)  (323,398)
                 
Net Income (Loss) $(394) $206,313  $(2,059,959) $(323,398)
                 
Basic Earnings Per Share $0.00  $0.01  $(0.14) $(0.02)
                 
Diluted Earnings Per Share $0.00  $0.01  $(0.14) $(0.02)
 

The notes to unaudited financial statements are an integral part of this financial statement.

Contact:
Royale Energy, Inc.
Chanda Idano 
Director of Marketing & PR 
619-383-6600 
chanda@royl.com 
http://www.royl.com

Source: GlobeNewswire (October 28, 2015 - 9:20 AM EDT)

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