Dune Energy Inc.(fka DUNRQ)

[OilStockReport]

Like many junior oil companies they were over leveraged when prices tanked in 2008. I think there is a clear path here forward now that prices have improved which we expect to continue to average $100.

Dune Energy Inc. delivered stable results as revenue grew and loss for the third quarter came in narrower.

Quarterly net loss was at $9.1 million for the third quarter of 2010 as compared to $11.3 million for the third quarter of 2009.

With better production and improved prices, revenue from continuing operations for the third quarter grew $15.6 million as opposed to $11.3 million for the third quarter of 2009.

Production volumes in the third quarter were 148 Mbbls of oil and 0.9 Bcf of natural gas, or 1.8 Bcfe against 123 Mbbls of oil and 0.9 Bcf of natural gas, or 1.6 Bcfe for the third quarter of 2009.

Average price received per Mcfe produced was $8.59, 24 percent high from $6.90 in the comparable third quarter of 2009.

Total lease operating expense from continuing operations for the third quarter totaled $5.2 million versus $6.7 million for the third quarter of 2009. Cash SG&A expense totaled $2.1 million for the third quarter of 2010 versus $2.3 million for the third quarter of 2009.

Cash and short-term investment at the end of third quarter 2010 was $13.83 million against $19.85 million cash and investment position reported in same period of 2009.