27th Jan 2020 11:13
(Alliance News) - Diversified Gas & Oil PLC on Monday reported a near 6% increase in quarterly net production from its assets in North America.
DGO's net production in the last quarter of 2019 was 96,300 barrels of oil equivalent per day, 5.7% higher than the third quarter of the year. From legacy assets, production rose 2.3% to 70,800 barrels.
The December exit rate was 94,800 barrels of oil equivalent per day, 0.4% higher than the exit rate in September of 94,400 barrels. From legacy assets, the exit rate dipped 0.6% to 70,600 barrels.
By legacy assets, Alabama-based DGO means those it held prior to the acquisition of assets from EdgeMarc Energy and HG Energy during 2019.
The EdgeMarc assets were bought in July 2019 for USD50 million, made up of oil and gas assets in Ohio. Earlier in 2019, in March, DGO bought the HG Energy assets in Pennsylvania and West Virginia for USD400 million.
"DGO's Smarter Well Management programme continues to maintain strong production from its legacy assets, which exceeded 70,000 barrels of oil equivalent per day in December and for the fourth quarter of 2019," said DGO.
"This performance marks the sixth consecutive quarter the company's continued optimisation of these assets has largely offset what would otherwise have been natural declines in well production."
Shares were 0.8% lower on Monday morning in London at 94.60 pence each.
By George Collard; [email protected]
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