Isramco, Inc. Reports Fourth Quarter Results

HOUSTON, March 17, 2014

The loss was primarily caused by one time impairment of $23,161,000 on our oil and gas properties in United States, lower crude oil, natural gas and natural gas liquids ("NGLs") sales revenues in the fourth quarter of 2013 as a result of a decrease in crude oil, natural gas and NGLs sales volumes in the U.S. This decrease was partially offset by revenues from the Company's overriding royalty in Tamar Field off shore Israel, an increase in revenues from well service activities and an increase in crude oil, natural gas and NGLs sales prices.

For the full year, revenues from oil and gas sales were $51,288,000 in 2013, compared to $40,402,000 in 2012. The Company's net loss in 2013 was $6,710,000 or $(2.47), per share compared to a net income of $2,221,000 or $0.82 per share in 2012.

When compared to 2012, the loss was primarily due to a one time impairment of $23,161,000 on our oil and gas properties in the United States in 2013, the Company's net gain of $3,650,000 in 2012 on sale of its investment in shares of a related party, Jerusalem Oil Exploration Ltd ("JOEL"), lower crude oil, natural gas and NGLs sales revenues in 2013 as a result of a decrease in crude oil, natural gas and NGLs sales volumes in the U.S., and a decrease in NGLs prices in 2013. This loss was partially offset by revenues from the Company's overriding royalty in the Tamar Field off shore Israel, an increase in revenues from well service activities and an increase in NGLs sales prices.

There are currently 2,717,691 outstanding shares of Common Stock.

Isramco's unaudited quarterly results are summarized below (in thousands except for shares outstanding and per share amounts):

	For the Three Months Ended ARIVA.DE Börsen-Geflüster Kurse Isramco -   0,00% December 31,		For the Year  Ended December 31,
	2013	2012	2013	2012
STATEMENT OF OPERATIONS DATA
Revenues	$20,617	$13,383	$68,692	$50,430
Total operating expenses	38,994	12,794	72,021	44,433
Operating income (loss)	(18,377)	589	(3,329)	5,997
Net income (loss) attributable to Isramco	(13,132)	(652)	(6,710)	2,221
Earnings (loss) per share – basic and diluted	(4.83)	(0.24)	(2.47)	0.82
CASH FLOW DATA
Net cash provided by operating activities			24,282	17,000
Net cash used in investing activities			(21,931)	(12,031)
Net cash provided by (used in) financing activities			1,183	(6,476)
			December 31, 2013	December 31, 2012
BALANCE SHEET DATA
Current assets			$  28,343	$  17,386
Total assets			157,913	153,958
Total liabilities			145,422	135,143
Total shareholders' equity			12,491	18,815

FORWARD-LOOKING STATEMENTS

ALL STATEMENTS CONTAINED HEREIN, AS WELL AS ORAL STATEMENTS THAT MAY BE MADE BY THE COMPANY OR BY OFFICERS, DIRECTORS OR EMPLOYEES OF THE COMPANY ACTING ON THE COMPANY'S BEHALF, THAT ARE NOT STATEMENTS OF HISTORICAL FACT, CONSTITUTE "FORWARD-LOOKING STATEMENTS" AND ARE MADE PURSUANT TO THE SAFE-HARBOR PROVISIONS OF THE PRIVATE SECURITIES LITIGATION REFORM ACT OF 1995. SUCH FORWARD-LOOKING STATEMENTS INVOLVE KNOWN AND UNKNOWN RISKS, UNCERTAINTIES AND OTHER FACTORS THAT COULD CAUSE THE ACTUAL RESULTS OF THE COMPANY TO BE MATERIALLY DIFFERENT FROM THE HISTORICAL RESULTS OR FROM ANY FUTURE RESULTS EXPRESSED OR IMPLIED BY SUCH FORWARD-LOOKING STATEMENTS. SUCH RISKS AND UNCERTAINTIES ARE OUTLINED IN THE COMPANY'S ANNUAL REPORT ON FORM 10-K FOR 2013, ITS QUARTERLY REPORTS ON FORM-10-Q, AND SUCH OTHER DOCUMENTS AS ARE FILED WITH THE SECURITIES AND EXCHANGE COMMISSION FROM TIME TO TIME. THE COMPANY IS NOT OBLIGATED TO REVISE OR UPDATE ANY FORWARD-LOOKING STATEMENTS IN ORDER TO REFLECT EVENTS OR CIRCUMSTANCES THAT MAY ARISE AFTER THE DATE OF THIS RELEASE.

SOURCE Isramco, Inc.