Columbus Energy Completes La Lora Employee Dismissals On Budget

26th Mar 2018 13:53

LONDON (Alliance News) - Oil & gas producer and explorer Columbus Energy Resources PLC said Monday it has completed a collective dismissal procedure of workers on its La Lora concession.

The procedure, begun in February, has cost the company EUR410,000. The plan was approved by the "vast majority" of the 14 employees affected and was formally approved by their trade union.

The process, Columbus said, was completed on time, and costs were met from existing resources.

The La Lora concession covers the Ayoluengo field in northern Spain, and it lapsed at the end of January last year, having originally been granted in 1966.

Columbus is now guiding for ongoing care and maintenance costs at Ayoluengo to be EUR15,000 a month, compared to EUR60,000 per month incurred since early 2017, and it expects the re-tender for La Lora to begin in either the second or third quarter of 2018 once the concession is formally closed.

Executive Chairman Leo Koot said: "We would like to thank the employee representatives and the trade union for undertaking the collective dismissal procedure in a professional manner and for the swift conclusion of the negotiations.

"We look forward to the formal closure of the concession and participating in the re-tender exercise. We would welcome expressions of interest from parties who would like to join us in the re-tender process."

Shares were down 0.2% on Monday at 5.99 pence each.

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