Panhandle Oil and Gas Inc. produced record amounts of oil and natural gas during its 2014 fiscal first quarter, and the company -- which doesn't operate any wells, but owns acreage in several states, especially Oklahoma and Texas -- saw net income rise 43%.

The Oklahoma City-based company reported net income of $4.93 million (59 cents/share) for 1Q2014, compared to $2.15 million (26 cents/share) for the preceding first quarter. Production totaled 3.51 Bcfe in 1Q2014, up 16.7% from 3.01 Bcfe in 1Q2013, and oil production rose 79%, from 46,656 to 83,413 bbl, during the same time period.

Panhandle also said it spent $9.9 million for drilling and equipping wells during the most recent quarter, and operator activities generated $11.9 million. Debt was reduced by $2.3 million to $6 million during 1Q2014.

"Our first quarter financial and operational results again demonstrate that continuing to execute on the company's fundamental business strategies while maintaining a longer-term outlook will increase shareholder value," said CEO Michael Coffman. "The 2014 winter has driven natural gas prices to three-year high levels, which we expect to moderate as we move into spring. However, these current prices and expected prices through 2014 should continue to have a positive effect on 2014 earnings."

COO Paul Blanchard added that Panhandle "is extremely well positioned to benefit from increasing natural gas prices. We have grown natural gas production, reserves and undeveloped opportunity materially through the trough in the gas market over the last several years."

Blanchard said the company has spent $27 million to acquire more developed and undeveloped natural gas properties, principally in the core of the Fayetteville Shale. The most recent was for $1.6 million.

Panhandle currently holds 255,300 net acres, including 113,568 in Oklahoma and 43,196 in Texas. It also has holdings in New Mexico (57,374 net acres), Arkansas (11,992), North Dakota (11,179), Colorado (8,217), Florida (3,832), Kansas (3,082), South Dakota (1,825), Montana (1,008) and Indiana (27).