Interim results were among the features in the sector this past week.
Bahamas Petroleum Company PLC (LON:BPC) raised £9.5mln in an institutional share placing and said it will spud the Perseverance-1 well before Christmas.
It also updated investors on license administration in Trinidad, to December 31.
The extension is intended to give Heritage time to obtain requisite consents from the Ministry of Energy and Energy Industries for the implementation of a new 10-year Enhanced Production Sharing Contract (EPSC) agreement. BPC noted that it has been assured that the signing of the EPSC will come in the near future.
In Australia, Falcon Oil & Gas Ltd (LON:FOG) completed an 11-stage hydraulic stimulation programme has been completed at part of the Beetaloo shale project in Australia’s Northern Territory.
The 11 stages were carried out along the well’s 1,579-metre horizontal section in the Lower Kyalla formation. The well is now being prepared for flowback and an extended production test, with early-stage gas flow rates expected to be available in the coming weeks.
San Leon Energy PLC (LON:SLE) extended the deadline to close its investment in Decklar Petroleum and the Oza field, in Nigeria, in order to finalise certain conditions to the agreement.
In early September the company unveiled its agreement to invest US$7.5mln investment into the Oza field via a loan agreement with Decklar, which is a subsidiary of Asian Mineral Resources (CVE:ASN). Decklar owns a majority interest in production and cash flow rights for the Oza field which was historically operated by Shell, between 1959 and 1974, but has never reached commercial-scale production.
Aminex PLC (LON:AEX) agreed the ninth extension to the long stop date for its farm-out transaction in Tanzania. The new deadline is set to October 15, moved from September 30.
It added that it has been advised by ARA Petroleum that the date will not be extended again and therefore the transaction will be cancelled if government approval is not forthcoming before the new deadline.
Solo Oil PLC (LON:SOLO) expects the second half of the year will be transformative as it continues to pursue a strategic evolution. It is presently focussed on business development activities, seeking to underpin the company with high quality, cash generative assets in the European energy market.
At the same time, it has explored value realisation opportunities from its asset portfolio.
ADM Energy PLC (LON:ADM) boasted excellent progress despite difficult macro conditions as it released results for the six months ended June 30. “Operations at the Aje field continued largely uninterrupted by COVID-19 and costs were significantly reduced at the asset level, bringing break-even costs down to US$28 per barrel, which ensures the asset remains profitable even at lower oil prices,” said Osamede Okhomina, ADM chief executive.
“By storing oil on the FPSO, we have avoided making sales at depressed prices and are now positioned to benefit from any potential increased forward curve in oil prices as the global economy begins to re-open.”
Echo Energy PLC (LON:ECHO) continues to make selective and highly targeted investments to build its production and development base. At the same time, the Argentina focussed group put in place cost saving measures but retained operational capability.
Revenue for the first half amounted to US$5.6mln, comprising US$3.5mln from gas sales and US$2.1mln. The company reported a loss of US$5.7mln, narrowed from US$7.7mln in the same period of 2019, and, Echo said it marks the success of its successful cost savings drive. Echo ended June with a cash balance of US$1.2mln.
Tower Resources PLC (LON:TRP) chief executive Jeremy Asher highlighted that the company remains excited about its projects in Cameroon, Namibia and South Africa. “These are challenging times, but we do believe that we will surmount these challenges,” Asher said in the company’s interim results statement.
“We are excited about our Thali project in Cameroon, and our Namibian and South African projects, and we believe that there are still more great opportunities to create value in the oil and gas business in Africa.