27th Jun 2019 14:02
(Alliance News) - Hardy Oil & Gas PLC on Thursday posted an annual loss eleven times that of its previous year after the USD51.1 million impairment of an exploration block in India.
Shares in Hardy were down 4.5% at 3.20 pence in afternoon trade in London.
Hardy is the operator and holds a 75% interest in India's CY-OS/2 exploration block offshore from Pondicherry. It wrote down USD51.1 million of intangible assets after the Indian Supreme Court ruled to allow an appeal of the awarding of the licence.
As a consequence of this impairment, Hardy posted a USD56.3 million loss for its year to March 31, eleven times its USD4.7 million loss the year before.
"Our considerable efforts to enforce the CY-OS/2 arbitration award, handed down in 2013, have not produced a meaningful outcome. The [government of India] has consistently been allowed by the judicial institutions in India, UK and US to abuse legal process and frustrate enforcement. Consequently, we initiated a strategic review of the group to consider all options including the possible sale of [Hardy Exploration & Production India Inc]. I will report back the conclusions of this review to shareholders in due course," said Hardy Chair Alasdair Locke.
Related Shares:
HDY.L