UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
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): July 1, 2005 (June 29, 2005)
BERRY PETROLEUM COMPANY
| DELAWARE (State or Other Jurisdiction of Incorporation or Organization) |
1-9735 (Commission File Number) |
77-0079387 (IRS Employer Identification Number) |
| 5201 TRUXTUN AVE., STE. 300, BAKERSFIELD,
CA (Address of Principal Executive Offices) |
93309 (Zip Code) |
Registrant’s telephone number, including area code: (661) 616-3900
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
o Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
o Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
o Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
o Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
| Item 7.01 | Regulation FD Disclosure |
On July 1, 2005 Berry Petroleum Company issued a news release announcing the implementation of additional hedging.
The information in this Current Report on Form 8-K and Exhibit 99.1 is being furnished and shall not be deemed "filed" for the purposes of Section 18 of the Securities Exchange Act of 1934, as amended, or otherwise subject to the liabilities of that Section.
| Item 9.01 | Financial Statements and Exhibits |
(c) Exhibits
99.1 Press Release of Berry Petroleum Company dated July 1, 2005.
SIGNATURES
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 hereto duly authorized.
| BERRY PETROLEUM COMPANY |
||||
| By: |
/s/ Kenneth A. Olson |
|||
| Kenneth A. Olson | ||||
| Corporate Secretary | ||||
Date: July 1, 2005
Page 2 of 2
News Release - July 1, 2005
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: Robert F. Heinemann, President and CEO - - Ralph J. Goehring,
Executive Vice President and CFO
BERRY PETROLEUM IMPLEMENTS ADDITIONAL HEDGING
Bakersfield, CA - July 1, 2005 - Berry Petroleum Company (NYSE:BRY) has entered
into zero-cost collars for approximately 10,000 barrels of oil per day for the
period January 1, 2006 through December 31, 2009. Based on WTI pricing, the
floor is $47.50 and the ceiling is $70.00.
Robert Heinemann, chief executive officer and president, stated, "Crude oil
futures prices have increased substantially in recent months and we believe it
is prudent for Berry to lock in a floor price on a portion of the Company's
production while also retaining significant upside. The volume of 10,000 barrels
per day currently represents slightly less than half of our oil production.
Strategically, we intend to continue growing Berry through a combination of
asset development and acquisitions. The use of collars supports this strategy by
protecting our future cash flows if oil prices decline significantly while
allowing us to participate in the upside of our assets if oil prices run up."
Drilling Rig Purchase
Separately, to assist in achieving its growth plans, Berry has purchased a
drilling rig that is rated to a depth of approximately 7,000 feet. A Rocky
Mountain-based drilling company under contract with Berry will begin drilling
with the rig at the Company's Brundage Canyon property by mid-July. This rig
will be dedicated to Berry's shallow drilling program in the Uinta Basin.
Berry Petroleum Company is a publicly traded independent oil and gas production,
exploration and exploitation company located in Bakersfield, California.
This release contains certain forward-looking statements within the meaning of
the Private Securities Litigation Reform Act of 1995 involving risks and
uncertainties discussed in detail in the Company's Securities and Exchange
Commission filing and reports, including the Company's 2004 Annual Report to
shareholders. Actual results may vary due to these or other risks and
uncertainties Details of the Company's hedging program, including discussion of
the risks, will be contained in the Company's upcoming second quarter 2005 Form
10-Q to be filed by August 9, 2005.
# # #