Profile: Pyramid Oil Co (PDO.A)
23 May 2013
Pyramid Oil Company (Pyramid), incorporated on October 9, 1909, is engaged in the business of exploration, development and production of crude oil and natural gas. Pyramid acquires interests in land and producing properties through acquisition and lease, on which it drills and/or operates crude oil or natural gas wells. Crude oil and natural gas produced from these properties are sold to various refineries and pipeline companies. Pyramid also participates in specific joint ventures with other companies in the development of oil and gas properties. The Company owns some oil and gas interests in New York, Texas and Wyoming, all of the Company's operations and revenue producing properties are in California.
Oil and Gas OperationsOil and Gas Operations
As of December 31, 2011, Pyramid owned and operated 27 oil and gas leases (properties) located within Kern and Santa Barbara Counties in the State of California. All of these properties were shut-down before January 1, 2011. During the year eded December 31, 2011, the Company operated 18 leases within California, 16 of these leases had total annual gross oil production approximately 1,000 barrels per lease. Production activities primarily consist of the daily pumping of oil from a well(s) into tanks, maintaining the production facilities both at the well and tank settings, preparing and shipping the crude oil to buyers. . Daily operations differ from one property to another, depending on the number of wells, the depth of the wells, the gravity of the oil produced and the location of the property. All of Pyramid's oil production is classified as primary recovery production.
Primary recovery of oil and gas is by means of natural flow(s) or artificial lift of oil and gas from a single well bore. In secondary recovery operations, liquids or gases are injected into the reservoirs for the purpose of augmenting reservoir energy or increasing reservoir temperatures. The Company employs field personnel (i.e., pumpers, rig crews, roustabouts and equipment operators) that perform basic daily activities associated with producing oil and gas. Daily operations include inspections of surface facilities and equipment, gauging, reporting and shipping oil, and routine maintenance and repair activities on wells, production facilities and equipment. The Company owns and maintains various pieces of equipment necessary for employees to perform various repair and maintenance tasks on Company properties. Such equipment consists of service rigs, mobile pumps, vacuum trucks, hot oil truck, backhoe, trucks and trailers. Occasionally, the Company drills new wells or redrills existing wells on properties owned by the Company. The Company also owns other oil and gas interests outside of California that it does not operate. These interests are located in Wyoming, Texas and New York.
Marketing of Crude Oil and Natural Gas
The Company sells its crude oil to ConocoPhillips and Kern Oil & Refining, accounting for approximately 50% and 47%, respectively, of the Company’s crude oil and gas revenues deruing 2011. The Company sells its oil pursuant to short-term contracts.
Pyramid Oil Co
2008 21st ST
BAKERSFIELD CA 93301