13th May 2014 11:24
LONDON (Alliance News) - Ithaca Energy Inc Tuesday reported higher profits and revenues in the first quarter of its new financial year, driven by a 50% increase in production.
The North Sea oil and gas operator reported a pretax profit of USD4.6 million for the three months to March 31, an increase from USD2.3 million the prior year, despite a considerable increase in finance costs in the period, as it benefited from a USD3.96 million gain on financial instruments, compared with a USD7.2 million loss the prior year.
Revenues for the quarter were USD99.6 million, up from USD59.8 million last year.
Ithaca Energy that the average realised oil price increased slightly in the first quarter to USD108 per barrel of oil from USD106.
Average production in the quarter was 9,222 barrels of oil equivalent per day, 95% oil, which Ithaca Energy said was in line with expectations given shutdowns on the Cook and Beatrice fields during the quarter. In the first quarter of the previous year, it produced 6,148 barrels of oil equivalent per day.
"Total 2014 production guidance remains unchanged in the range of 11,000 to 13,000 barrels of oil per day approximately 95% oil. The anticipated schedule of 2014 production enhancement activities means that volumes are forecast to be weighted towards the second half of the year," the company said in a statement.
Ithaca Energy shares were trading 2.7% higher at 140.75 pence before midday Tuesday.
By Rowena Harris-Doughty; [email protected]; @rharrisdoughty
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