Bayou City Exploration, Inc. (fka BYCX)

[OilStockReport]

Not much happening in the stock but decent activity in the field. Are you still in contact with the Company?

RESULTS OF OPERATIONS FOR THE THREE MONTHS ENDED MARCH 31, 2010 AND 2009

The Company had a net income of $988,000 for the three months ended March 31, 2010 compared to $360,000 for the same period in 2009. The income per common share was $0.04 per share during the first quarter of 2010 compared to $0.01 per share during the first quarter of 2009 due mainly to the sale of the Sein #1 well.

OPERATING REVENUES

Operating revenues from oil and gas sales were $87,000 during the three months ended March 31, 2010 as compared to $283,000 during the three months ended March 31, 2009 due to the sale of the Sein #1 well and consequent decrease oil and gas production revenue from aforementioned well.

DIRECT OPERATING COSTS

Direct operating costs are reflected as lease operating expenses and production taxes on the company’s statement of operations and were $11,000 for the three months ended March 31, 2010 as compared to $24,000 during the three months ended March 31, 2009. This decrease is due to the sale of the Sein #1 well and consequent decrease in oil and gas lease operating expenses and production taxes on well.

EXPLORATION COSTS

Exploration costs during the first quarter of 2010 and 2009 were $-0-. The Company does plan to resume its exploration efforts during the 2010 year.

OTHER OPERATING EXPENSES

The Company’s general and administrative expenses increased to $84,000 for the first quarter 2010 as compared to $53,000 for the first quarter of 2009. This increase is due to the establishment of executive salaries paid to Robert D. Burr, President and Chief Executive Officer, and to Stephen C. Larkin, Chief Financial Officer.