21st Apr 2020 15:31
(Alliance News) - Egdon Resources PLC on Tuesday reported a widened interim loss on increased impairment charges in the period.
Shares in the company were down 9.7% in London on Tuesday afternoon at 1.90 pence each.
In the six months to January 31, Egdon recorded a pretax loss of GBP3.2 million, widened from a GBP724,000 loss made in the same period a year before.
Egdon recorded a GBP1.7 million impairment on its property, plant and equipment in the first half, compared to no such impairment the year before.
Revenue fell to GBP675,000 from GBP1.2 million.
Production in the fist half topped 178 barrels of oil equivalent per day, up from 164 barrels the year before, and in line with guidance.
Chair Philip Stephens said: "The highlight of the period is undoubtedly the grant of planning consent after appeal for the development at Wressle. Our agreement with Shell with regard to our North Sea prospects and the positive results of the test drilling at Springs Road are also significant achievements."
Egdon said its focus in the second half will be getting Wressle ready for production.
Stephens continued: "The current market conditions are difficult and the board's focus will be on cost discipline and continued safe operations as we seek to navigate the near-term challenges faced by the whole country and the specifics of our industry. We are confident that we have the right asset base and strategy to deliver long-term value for our shareholders and look forward to more normal times and progressing the exciting opportunities that your company has."
By Paul McGowan; [email protected]
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