18th Apr 2018 12:49
LONDON (Alliance News) - Echo Energy PLC said Wednesday it exported its first cargo of oil last Saturday from the Punta Loyola terminal, Rio Gallegos in Argentina.
The oil & gas company's share of the cargo in first quarter from Fraccion C and Fraccion D wells was about 25,000 barrels. The final realised sale price will have a USD6 discount on the Brent price for the five days following loading - Brent is currently sitting at USD71.5.
The company also reported that during the first quarter all sales gas produced - 245.1 million standard cubic feet - was sold into the Argentinian market at an average realised price of USD4.21 per one million British thermal units. An additional 81.5 million standard cubic feet produced at the well was used for fuel and power at Echo's operations.
Total sales receipts net to Echo before royalty, tax and operating expenses for the quarter ended March is anticipated to be about USD2.7 million.
Chief Executive Fiona MacAulay said: "Loading our first cargo was a significant step for Echo, particularly with Brent currently trading at a sustained USD70 per barrel for the first extended period during 2018. We are also delighted that gas sales have remained strong and our realised blended price for those has been in excess of USD4.20 per mmbtu throughout the summer season in Argentina. Receipt of maiden LATAM revenues in quarter one marks an important milestone in the company's mission to become an exploration-led gas-focused mid-cap E&P, delivering value for shareholders."
Shares in Echo were trading up 2.3% at 15.35 pence each.
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