27th Mar 2024 14:31
(Alliance News) - Bowleven PLC on Wednesday said its half-year loss widened as it continues to develop the Entinde project.
Bowleven shares fell 16% to 0.13 pence in London on Wednesday afternoon.
The Edinburgh, Scotland-based oil and gas exploration company holds a 25% equity interest in the Etinde project offshore Cameroon as part of a joint venture with additional partners.
For the six months ending December 31 Bowleven said pretax loss widened to USD1.1 million from USD1.0 the year before.
This is primarily due to a combination of lower recharges from Etinde, as project development activities have been reduced, as well as expenditure reduction measures imposed by Bowleven's board, offset by a USD0.2 million inventory impairment charge at Etinde.
Similar to last year, no revenue was reported by the company for this period, and a dividend has not been declared.
Looking ahead, the company awaits an agreement between its partners and the government of Cameroon regarding the Etinde development plan.
Bowleven added that it will raise additional capital following the completion of an open offer which will generate GBP1.4 million. The firm expects this to provide sufficient funding through to mid-2025 based on current expenditure levels.
By Elijah Dale, Alliance News reporter
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