10th Jun 2015 06:52
LONDON (Alliance News) - SOCO International PLC is considering the options at hand for its African portfolio, including rationalisation and farm-out of all or part of its asset base in the region, as the oil and gas exploration and production company maintained production guidance for 2015.
In an update ahead of SOCO International's annual meeting of shareholders at 1000 BST, Chief Executive Ed Story said that more stable Brent crude oil prices, in the USD60 to USD65 range, mean the company can evaluate the "economic attractiveness" of significant investments in future projects.
The company has interests in Vietnam, the Republic of Congo, the Democratic Republic of Congo and Angola.
"Accordingly, the company has undertaken an effort to evaluate its African portfolio with a view toward further rationalisation," Story said.
Story said the the FTSE 250 company's production was 11.9 thousand barrels of oil equivalent per day (KBOEPD) so far in 2015.
While that production figure was "largely in line" with the company's expectations, Story said the "key variable" for the remainder of the year is "the timing and associated production rates of H5 coming on stream".
"Until that time, our full-year production guidance for 2015 is maintained at 10.5-12 KBOEPD," Story said.
In addition, the company said an independent reserve audit, conducted by Gaffney, Cline & Associates, confirmed the company's reserves and contingent resources estimates.
By Samuel Agini; samagini@alliancenews.com; @samuelagini
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