23rd Feb 2021 10:46
(Alliance News) - Shares rose in i3 Energy PLC on Tuesday as it announced plans to declare a maiden dividend for the first quarter of its financial year, on top of stable production achieved in the previous three months.
Shares in the UK and Canada-focused oil and gas firm were 17% higher at 6.85 pence on Tuesday in London.
For the three months ended January 31, production averaged 9,150 barrels of oil equivalent per day, while i3 Energy's portfolio continues to perform above expectations. Looking ahead, i3's net operating income for the calendar year 2021 is forecast to be CAD35 million, around USD27.6 million.
In December, i3 completed an 80-hour flow test on a horizontal Father formation well, located on its Noel acreage in British Columbia, Canada. The flow test ran for a sustained period at 700 barrels of oil equivalent per day.
As a result, the well is expected to be brought on production at around 500 barrels per day during the second quarter of 2021.
i3 Energy will declare its maiden dividend in the first quarter of 2021, subject to loan note holder, judicial and shareholder approval.
"We remain very pleased with the performance of our Canadian assets, which are producing better than both internal and independent third-party technical evaluator estimates and forecasts, generated at the time of the acquisitions," said Chief Executive Officer Majid Shafiq.
"Our Canadian and UK teams continue to pursue synergistic opportunities to grow our platform through accretive M&A, while the current commodity environment also has i3 progressing organic opportunities from within, as is exemplified by the excellent result we've just achieved at Noel," Shafiq added.
By Dayo Laniyan; [email protected]
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