16th Sep 2014 10:13
LONDON (Alliance News) - Ascent Resources PLC Tuesday said its losses widened in the first-half of 2014, due to higher finance costs.
The oil and gas exploration and production company said it made "steady progress" in the first-half towards its goal of bringing the Peti?ovci project in Slovenia into production, although it said permitting is taking longer than expected.
Ascent posted a pretax loss of GBP1.9 million for the six months to June 30, compared with a loss of GBP1.3 million in the first-half of 2013.
The company said its losses widened on the back of higher finance costs. Last year's results also benefited from a GBP305,000 finance income gain.
The company said it is in "advanced discussions" with a "major international funding institution" for a project loan for phase one of the project.
Last month, Ascent said it was planning to start legal proceedings if it fails to receive planned equity funding and experiences a loss to its financing plan, after the company did not receive funds promised by Global Power Sources SrL and their partners, Salomon Werner HAB Privée Ltd, a company which agreed terms to a major investment back in May.
"Your Board continues to work hard to replace the funds promised by GPS and their partners... which have as yet failed to materialise. There are a small number of discussions with potential funders ongoing although there can be no promise that these will result in funds being invested," the company said in a statement.
Ascent shares were trading 2.4% lower Tuesday morning at 0.415 pence.
By Rowena Harris-Doughty; [email protected]; @rharrisdoughty
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