22nd May 2015 06:00
LONDON (Alliance News) - Nigeria-focused oil and gas company Eland Oil & Gas PLC on Friday said its pretax loss narrowed in 2014 as the group reported its maiden revenue and its operating costs remained broadly flat.
Eland said its pretax loss for the year was USD16.9 million, down from USD26.1 million a year earlier, primarily due to the company reporting revenue of USD11.7 million, the first revenue it has reported to date.
The revenue was generated by the sale of 115,722 barrels of crude oil in the year from the OML 40 licence in Nigeria. In the first four months of 2015 to the end of April, the company said its Elcrest Exploration and Production Nigeria Ltd joint venture, which operates the licence, has sold 95,290 barrels of crude oil.
Looking ahead, Eland said the first operations at the Opuama field at the OML 40 licence are planned for the second quarter, with a seven-well drilling development programme planned. The expected year-end gross production end-rate from OML 40 is around 12,000 barrels of oil per day.
The company also said it is planning to continue its cost-reduction programme in order to cut operating expenses.
By Sam Unsted; [email protected]; @SamUAtAlliance
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