News

Nov 12, 2004 - 17:54 ET Antrim Energy Inc. Announces 2004 Third Quarter Financial and Operational Results

CALGARY, ALBERTA and LONDON, UNITED KINGDOM--(CCNMatthews - Nov. 12, 
2004) - Antrim Energy Inc. (TSX: AEN) (AIM: AEY) ("Antrim") is pleased 
to report its financial and operational results for the nine month 
period ended September 30, 2004.

Highlights include:

- 23% increase in oil production

- Increased presence in UK North Sea

- Completed Australian farm-out and offshore drilling

- Completed $7.5 million private placement

- Successful start to workover program in Argentina

- Strong working capital position

During the third quarter 2004 Antrim significantly strengthened its oil 
production, increased the Company's presence in the UK North Sea and 
reinforced its already strong cash position. Through its activities 
Antrim has continued to generate well-managed high risk / high reward 
drilling opportunities for the Company's shareholders.

In Argentina, net oil production from the Puesto Guardian Field in the 
first nine months of 2004 was 453 barrels of oil per day compared to 429 
barrels of oil per day in the fourth quarter of 2003 and an average of 
366 barrels of oil per day in the first nine months of 2003. In 
September 2004 Antrim also commenced the first of a planned six well 
workover program on previously shut-in wells. To-date three workovers 
have been successfully completed with incremental production net to 
Antrim in excess of 100 barrels of oil per day ("bopd").

In June 2004, Antrim announced that it had entered into an agreement to 
purchase an 18.4% working interest in UK North Sea Licence P.201 (Block 
211/22a, Osprey Ridge). In November 2004 this working interest was 
further increased to 57.6% The Osprey Ridge Block is situated between 
the producing Cormorant and Dunlin oilfields, which to date have 
produced over 400 and 380 million barrels of oil respectively. Two 
discovery wells have been drilled on the block, the most significant of 
which is 211/22a-3, which tested oil from three zones at a combined rate 
of 6,186 bopd from the Jurassic Brent interval (5,512 bopd from a single 
zone). Antrim intends to evaluate potential targets in the prolific 
sandstones of the Jurassic Brent Group, including the trends defined by 
the two discovery wells, with a view to drilling at least one well in 
2005.

In September 2004, Antrim successfully participated in the UK North Sea 
22nd Offshore Licensing Round. Block 42/23 was awarded to Antrim and its 
UK partner as a "promote" licence. Under the terms of the award, Antrim 
has two years from the date of the award to commit to the drilling of 
one well or drop the block. Antrim, the designated permit administrator 
of the licence, will have a 60% interest in the Block.

In Australia the Company drilled an unsuccessful well in October 2004 
but retained a high working interest in the surrounding permits which 
are still considered very prospective in terms of additional drilling 
opportunities. 80% of the cost associated with the Australian dry hole 
was funded by a third party (ONGC Videsh Limited) under a farm-out 
agreement signed in August 2004. These cost savings, together with the 
successful completion in August 2004 of a $7.5 million private placement 
and a significant increase in cash flow from Argentina, have combined to 
give Antrim a strong working capital position from which it can pursue 
its drilling prospects in the North Sea.

Antrim generated cash flow from operations in the nine month period 
ended September 30, 2004 of $824,278 ($0.03 per share) compared to a net 
cash outflow of $127,283 ($0.01 per share) in the comparable period in 
2003. Net loss in the first nine months of 2004 was $1,273,202 ($0.04 
per share) compared to a net loss of $2,009,128 ($0.10 per share) in 
2003.

/T/

Financial and Operating Results


                                  Three Months Ended  Nine Months Ended
                                        September 30,      September 30,
Financial Results                ---------------------------------------
($000's except per share amounts)
                                        2004    2003       2004    2003
                                 ---------------------------------------

Revenue                                1,743   1,290      5,019   3,778
Cash flow from operations                170      (6)       824    (127)
Cash flow from operations per share     0.00   (0.00)      0.03   (0.01)
Net earnings (loss)                   (1,045)   (201)    (1,273) (2,009)
Net earnings (loss) per share          (0.03)  (0.01)     (0.04)  (0.10)
Working capital                       23,536   6,845     23,536   6,845
Capital expenditures                  (1,365) (1,052)    (2,541) (4,049)
Debt                                     Nil     Nil        Nil     Nil

Common shares outstanding (000's)
End of period                         38,573  20,103     38,573  20,103
Weighted average - basic              33,771  20,084     32,178  20,066
Weighted average - fully diluted      41,365  21,110     39,772  21,091

Operating Results
Wellhead price ($/BOE)                 38.18   33.43      38.49   35.62
Royalties ($/BOE)                      (5.04)  (5.00)     (5.32)  (4.95)
Operating expenses ($/BOE)             (5.82) (10.30)     (7.43)  (9.71)
                                 ---------------------------------------
Netback ($/BOE)                        27.32   18.13      25.73   20.96
                                 ---------------------------------------
                                 ---------------------------------------
Oil and natural gas production (BOE)  45,659  38,593    130,405 106,056
                                 ---------------------------------------
                                 ---------------------------------------
Oil and natural gas production
 (BOE per day)                           496     419        476     388
                                 ---------------------------------------
                                 ---------------------------------------

/T/

Certain statements contained in this press release may be considered as 
"forward looking". Such "forward looking" statements are subject to 
risks and uncertainties that could cause actual results to differ 
materially from estimated or implied results.

Updated information about Antrim can be accessed on its website: 
www.antrimenergy.com

/T/

Antrim Energy Inc.
Consolidated Balance Sheets
As at September 30, 2004 and December 31, 2003 (Unaudited)
------------------------------------------------------------------------

                                                       2004        2003
                                                          $           $
                                                ------------------------
Assets  (restated - note 3)
Current assets
Cash and cash equivalents                        20,567,973  15,136,075
Funds held in escrow                              4,326,675           -
Accounts receivable                               1,863,676   1,038,046
Inventory and other                                 309,221     618,793
                                                ------------------------
                                                 27,067,545  16,792,914

Petroleum and natural gas properties
 (notes 2 and 3)                                  9,787,409   9,003,637
Office equipment - net of accumulated
 amortization of $470,620 (2003 - $380,620)         144,060     191,466
                                                ------------------------

Total Assets                                     36,999,014  25,988,017
                                                ------------------------
                                                ------------------------

Liabilities
Current liabilities
Accounts payable and accrued liabilities          3,019,317   1,447,908
Income taxes payable                                511,834       1,245
                                                ------------------------
                                                  3,531,151   1,449,153

Future income taxes                                  66,443      66,443

Site restoration provision (note 3)                 363,968     337,669
                                                ------------------------
                                                  3,961,562   1,853,265

Shareholders' Equity

Share capital (note 4)                           44,682,139  34,772,554
Contributed surplus (note 4)                        387,427     121,110
Deficit                                         (12,032,114)(10,758,912)
                                                ------------------------

                                                 33,037,452  24,134,752
                                                ------------------------

Total Liabilities and Shareholders' Equity       36,999,014  25,988,017
                                                ------------------------
                                                ------------------------


Antrim Energy Inc.
Consolidated Statements of Income (Loss) and Deficit
For the Periods Ended September 30, 2004 and 2003 (Unaudited)
------------------------------------------------------------------------
                                   Three Months             Nine Months
                             Ended September 30,     Ended September 30,
                                2004       2003         2004       2003
                                   $          $            $          $
                         -----------------------------------------------
                                      (restated               (restated
                                       - note 3)               - note 3)
Revenue
Oil and gas sales          1,743,451  1,290,308    5,018,653  3,778,201
Royalties                   (230,022)  (193,158)    (694,330)  (525,473)
                         -----------------------------------------------

                           1,513,429  1,097,150    4,324,323  3,252,728

Interest and other income     81,741     48,622      201,741    134,272
                         -----------------------------------------------

                           1,595,170  1,145,772    4,526,064  3,387,000
                         -----------------------------------------------

Expenses
Operating                    265,808    397,571      969,184  1,029,937
General and administrative   848,911    570,696    1,981,745  1,383,498
Depletion and depreciation   401,889    219,294    1,106,732    618,055
Accretion of asset
 retirement obligations        9,500      7,417       26,300     22,251
Foreign exchange loss
 (gain)                      110,553     50,759       95,264    383,922
Write off of impaired
 assets                      698,131          -      698,131  1,890,242
                         -----------------------------------------------

                           2,334,792  1,245,737    4,877,356  5,327,905
                         -----------------------------------------------

Income (loss) for the year
 before below noted
 dispositions and income
 taxes                      (739,622)   (99,965)    (351,292)(1,940,905)

Gain on disposition of
 petroleum and natural gas
 properties                        -     63,614            -     63,614
                         -----------------------------------------------
Income (loss) for the year
 before income taxes        (739,622)   (36,351)    (351,292)(1,877,291)

Income taxes (recovery)
Current                      304,943    164,587      921,910    802,752
Future                             -          -            -   (670,915)
                         -----------------------------------------------

                             304,943    164,587      921,910    131,837
                         -----------------------------------------------

Net Income (Loss) for the
 Period                   (1,044,565)  (200,938)  (1,273,202)(2,009,128)
Deficit - Beginning of
 Period as Previously
 Reported                (10,987,549)(9,596,044) (10,656,042)(7,787,854)
Retroactive Adjustment
 for Change in
 Accounting Policy                 -     15,590     (102,870)    15,590
                         -----------------------------------------------
Deficit - End of Period  (12,032,114)(9,781,392) (12,032,114)(9,781,392)
                         -----------------------------------------------
                         -----------------------------------------------

Net Income (Loss) Per
 Common Share - Basic          (0.03)     (0.01)       (0.04)     (0.10)
Net Income (Loss) Per
 Common Share - Diluted        (0.03)     (0.01)       (0.04)     (0.10)
 

FOR FURTHER INFORMATION PLEASE CONTACT:

Antrim Energy Inc.
Stephen Greer
Chairman & CEO
(403) 264-5111
(403) 264-5113 (FAX)
Email: greer@antrimenergy.com

or

Antrim Energy Inc.
Anthony J. Potter
Chief Financial Officer
(403) 264-5111
(403) 264-5113 (FAX)
Email: potter@antrimenergy.com
Website: www.antrimenergy.com