6th Feb 2019 11:08
LONDON (Alliance News) - Mosman Oil & Gas Ltd on Wednesday reported a big jump in production in the first half of its current financial year, despite poor weather conditions.
The AIM-listed company said total production was 18,253 barrels of oil equivalent in the six months to the end of December 2018, up 49% from 12,260 barrels it produced in the six months to the end of June 2018.
Net production attributable to Mosman was 6,476 barrels of oil equivalent, an increase of 47% compared to 4,417 barrels reported for the second half of its financial 2018.
Mosman's wholly owned subsidiary owns a 27% interest in the Arkoma stacked pay project in US state of Oklahoma. The project has production of oil and gas, sold to local refineries.
The company said the bad weather has resulted in lower-than-expected production, mainly due to wet road conditions affecting access to well sites.
"Mosman continues to grow its production and sales consistent with its business plan, despite the challenges of the severe weather delays, oil price falls and operational issues during the period," said Chair John Barr.
"Production growth is expected to continue as workovers are completed and new wells drilled. Planning continues for additional wells," added Barr.
Mosman shares were trading flat on Wednesday at 0.25 pence each.
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