16th Sep 2013 09:19
LONDON (Alliance News) - Desire Petroleum PLC Monday said its pretax losses widened in its first half year results as the company was hit by a foreign exchange loss during a relatively inactive period.
The UK based oil and gas exploration company, with operations on the Falkland Islands, said its pretax loss widened to USD1.6 million from USD1.5 million for the six months ended June 30.
The company is yet to post revenues and has been relatively inactive in the six months. It has recorded a 19% fall in exploration expenditure to USD585,000 from USD720,000 and its administrative expenses were relatively stable compared to the previous year.
The company's losses were increased due to a foreign exchange loss of USD154,000, compared to a foreign exchange gain of USD66,000 the previous year.
The company was positive that a new exploration programme in the North Falkland basin, set up by Desire's partners in the region, Premier Oil and Rockhopper Exploration, could commence as soon as the fourth quarter of 2014. Desire Petroleum owns 40% of the PL004b site close to the Falkland Islands.
"The possible recommencement of drilling activity will hopefully enable us to participate in a drilling campaign that should unlock more of the potential of our exciting prospect inventory," Company Chairman Stephen Phipps said in a statement.
Desire shares were down 1.96% to 12.01 pence Monday.
By Tom McIvor; [email protected]; @TomMcIvor1
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