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SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
__________________________
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934
Date of Report (Date of earliest event reported) January 12, 2004
Berry Petroleum Company
(Exact name of registrant as specified in its charter)
Delaware 1-9735 77-0079387
(State or other (Commission IRS Employer
jurisdiction of File Number) Identification No.
incorporation)
5201 Truxtun Avenue, Suite 300 Bakersfield, CA 93309
(Address of principal executive offices)
Registrant's telephone number, including area code (661) 616-3900
N/A
(Former name or former address, if changed since last report)
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Item 9. Regulation FD Disclosure
On January 12, 2004, Berry Petroleum Company, a Delaware
corporation, issued a press release, a copy of which is attached
hereto as Exhibit 99.1 and is incorporated herein by reference.
(c) Exhibits
99.1 Press Release of Berry Petroleum Company dated
January 12, 2004.
SIGNATURE
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.
BERRY PETROLEUM COMPANY
By /s/ Kenneth A. Olson
Name: Kenneth A. Olson
Title: Corporate Secretary
and Treasurer
January 13, 2004
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News Release
Berry Petroleum Company Phone (661) 616-3900
5201 Truxtun Avenue, Suite 300 E-mail: ir@bry.com
Bakersfield, California 93309-0640 Internet:www.bry.com
Contacts: Jerry V. Hoffman, Chairman, President and CEO
Ralph J. Goehring, SVP & CFO
BERRY PETROLEUM COMPANY SETS
$50 MILLION CAPITAL PROGRAM FOR 2004;
ANNOUNCES PRODUCTION TARGETS
Bakersfield, CA - January 12, 2004 - Berry Petroleum Company
(NYSE:BRY) announced the board of directors approved a 2004 capital
expenditure budget of approximately $50 million directed at
increasing production and reserves through development and
exploitation, according to Jerry V. Hoffman, chairman, president and
chief executive officer.
Hoffman continued, "For 2004 the Company will have its largest
capital budget in its history. Approximately two-thirds of the budget
will be spent on continued development of Berry's Brundage Canyon,
Utah acreage and other Rocky Mountain region developments, with the
balance directed toward the Company's California assets. This amount
does not include funds for additional property acquisitions which the
Company continues to pursue."
2004 Production Target
Based on the 2004 capital budget, the Company anticipates that
production will average between 20,000 and 21,000 barrels of oil
equivalent per day (BOE/day) in 2004, up from 16,500 BOE/day in 2003.
The Company expects net cash from operating activities in 2004 to be
approximately $75 million, up over 20% from 2003, based on West Texas
Intermediate crude oil prices of $28 per Bbl and Henry Hub natural
gas prices of $5 per Mcf (thousand cubic feet of gas).
Rocky Mountain & Mid-Continent Assets Update
Development of the Brundage Canyon asset in the Uinta Basin of Utah
is proceeding as scheduled and meeting expectations. Logan Magruder,
vice president of the Rocky Mountain and Mid-Continent Region, said,
"We have drilled 26 wells and completed 21 new wells since taking
over the Brundage Canyon operations. Net production has increased by
over 1,000 BOE/day to approximately 2,800 BOE/day at year-end since
assuming operations in late August 2003. We will continue drilling
throughout 2004 with one rig in Brundage Canyon and will add
approximately 44 wells. The 2004 program is designed to grow proven
production, extend the proven boundaries of the field and test
prospective geologic horizons within the field's Green River
formations. The Company has also been the beneficiary of higher than
anticipated prices."
California Assets Update
Brian L. Rehkopf, vice president of engineering, stated, "In
California, one-third of our capital budget, or $17 million, will be
targeted toward increasing production levels through optimization of
various projects and certain high-impact exploitation projects. Our
California exit rate for 2003 was approximately 16,300 BOE/day.
Several new projects such as the Ethel D and McVan steam projects
will be 'proven-up' in 2004, laying the groundwork for further
development in 2005."
2004 CAPITAL BUDGET SUMMARY
Projected Projected
Region In Number of Number of
Millions Wells Workovers
California $17 44 63
Rocky Mountain & Mid-Continent 33 51 22
Total $50 95 85
This release may contain descriptions of the Company's expectations
regarding future business activities. These forward-looking
statements are made in reliance upon safe harbor provisions of the
Private Securities Litigation Reform Act of 1995. Accordingly, actual
results may differ materially from those contemplated by the forward-
looking statements.
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