TPY Tipperary Corp

Tipperary Corporation Reports Fourth Quarter and Year-End Results DENVER, March 24 /PRNewswire-FirstCall/ -- Tipperary Corporation (AMEX:TPY), an independent energy company, today reported results for its fourth quarter and fiscal year ended December 31, 2004. Fourth quarter revenue increased 118% to $3,243,000 versus $1,489,000 in the fourth quarter last year. The revenue improvement was fueled by a 92% increase in gas sales volumes and a 14% increase in average gas price received. The Company reported a fourth quarter net loss of $4,070,000, or 10 cents per share, versus a net loss of $2,224,000, or 6 cents per share, in the comparable quarter last year. The increased net loss was due to a $1,500,000 increase in expenses (net of recoveries) related to the Company's litigation with Tri-Star Petroleum Company and to a $500,000 reduction in currency exchange gain. As previously announced, the Tri-Star litigation was dismissed in December 2004 pursuant to an October 30, 2004 settlement. For the full year, revenue increased 36% to $8,506,000 versus 2003 revenue of $6,253,000. Net loss was $15,338,000, or 38 cents per share, versus a net loss in 2003 of $15,369,000, or 39 cents per share. Gas sales during the fourth quarter were 1,774,000 Mcf, up 92% from 922 Mcf sold in the fourth quarter last year. For the full year, gas sales increased 14% to 4,869,000 Mcf from 4,254,000 Mcf sold in 2003. David Bradshaw, president and CEO, said, "We are pleased to report continuing increases in gas production and revenues from the Comet Ridge project in Australia. On other positive notes, settlement of the litigation will reduce general and administrative expenses by approximately $2 million per year, and significant United States gas sales are expected to commence in the second quarter. All of these factors lead us to expect improving financial performance." Tipperary Corporation is an independent energy company focused primarily on exploration for, and production of, coalseam and conventional natural gas. Headquartered in Denver, Colorado, Tipperary has producing operations in Queensland, Australia. Together with its affiliates, Tipperary holds a 75.25% capital interest and a 71.7% pre-royalty revenue interest in southeastern Queensland's Comet Ridge coalseam gas project totaling approximately 1,230,500 acres and holds other exploration permits in Queensland totaling approximately 77,000 acres. Domestically, Tipperary holds interests in several exploration projects in Colorado and Nebraska covering approximately 623,000 acres. Information herein contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, which can be identified by words such as "may," "will," "expect," "anticipate," "estimate," or "continue," or comparable words. In addition, all statements other than statements of historical facts that address activities that Tipperary expects or anticipates will or may occur in the future are forward-looking statements. Readers are encouraged to read the SEC reports of Tipperary, particularly its Annual Report on Form 10-K for the year ended December 31, 2004, for meaningful cautionary language disclosing why actual results may vary from those anticipated by management. FINANCIAL RECAP (Thousands, except per share amounts) Three Months Ended Twelve Months ended Dec. 31, Dec. 31, Dec. 31, Dec. 31, 2004 2003 2004 2003 Revenue $3,243 $1,489 $8,506 $6,253 Net loss $(4,070) $(2,224) $(15,338) $(15,369) Net loss per common share $(.10) $(.06) $(.38) $(.39) Weighted average shares outstanding - Basic and Diluted 41,339 39,221 39,881 39,221 OPERATING DATA Three Months Ended Twelve Months Ended Dec. 31, Dec. 31, Dec. 31, Dec. 31, 2004 2003 2004 2003 Net gas production (Mmcf) 1,774 922 4,869 4,254 Avg. gas price per Mcf $1.83 $1.61 $1.75 $1.47 DATASOURCE: Tipperary Corporation CONTACT: Joseph B. Feiten, CFO of Tipperary Corporation, +1-303-293-9379; or Geoff High of Pfeiffer High Investor Relations, Inc., +1-303-393-7044, , for Tipperary Corporation Web site: http://www.tipperarycorp.com/

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