24th Jul 2014 11:40
LONDON (Alliance News) - Forum Energy PLC Thursday said it swung to profit in the recent half year, after its results in the previous period were affected by restructuring costs.
The Philippines-focused oil and gas company posted pretax profit of USD569,000 for the six months ended June 30, compared with a USD2.2 million loss a year earlier. In the previous year, the company incurred USD1.6 million in restructuring costs which have since been reduced.
Revenue rose to USD4.5 million from USD2.2 million a year earlier.
At an operating level, the company said it received a one-year extension to sub-phase 2 of service contract 72, located west of the Palawan Island. Forum now has until August 2016 to drill the two commitment wells under the sub-phase. It said preparations are underway for possible drilling in late 2015 or early 2016, subject to rig availability.
During 2014 a block-wide geological and geophysical study will be initiated to map other leads outside the Sampaguita Field.
In addition, Forum said it completed the development of Galoc Phase II which has increased production to an average of 8,980 barrels of oil per day from an average 4,720 average barrels of oil per day.
At the period end the company said it held USD400,000 in cash, compared with USD2.8 million a year earlier. In December, the company had USD200,000 in cash.
Forum Energy shares were quoted down 7.7% at 54.00 pence Thursday midday.
By Anthony Tshibangu; [email protected]; @AnthonyAllNews
Copyright 2014 Alliance News Limited. All Rights Reserved.
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