20th Sep 2018 13:36
LONDON (Alliance News) - Jersey Oil & Gas PLC on Thursday said its loss widened in the first half of the year due to a significant reduction in carried costs reimbursement.
In the six months ended June, the upstream oil & gas company's pretax loss was GBP857,455, increasing from GBP626,979 the prior year. This was the result of a drop in carried costs reimbursement to GBP12,038 from GBP140,156.
Jersey Oil, which focuses primarily on the UK continental shelf of the North Sea, recorded no revenue for the year as exploration efforts continue at the P2170 licence, in which it holds an 18% interest. The Verbier oil discovery was made within P2170 in October, and Jersey has remained focused on the licence since then.
"It will take time to realise its full potential, but with the encouragement we have gained to date, we very much look forward to appraising Verbier and continuing our work effort across the acreage," said Jersey Oil Chief Executive Andrew Benitz.
According to Jersey, a conditional agreement exists between itself and Total E&P UK Ltd concerning the P2032 Licence, also in the North Sea. Jersey contends that Total E&P owes GBP1 million for terminating its 2013 farm-in to the licence but Total E&P disputes this. As yet, this dispute has not been resolved.
Shares in Jersey Oil were up 1.5% at 173.00 pence on Thursday.
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