20th Aug 2024 17:25
(Alliance News) - Southern Energy Corp on Tuesday posted improved financial performance for the second quarter despite weaker natural gas prices.
The Calgary, Canada-based energy producer narrowed its net loss to USD2.6 million in the second quarter that ended June 30 from USD3.8 million the previous year.
Petroleum and natural gas sales rose 4.0% to USD3.9 million from USD3.7 million.
Average production fell 2.8% to 15.5 million from 15.9 million cubic feet of gas per day.
Chief Executive Officer Ian Atkinson said: "The results in Q2 2024 underscore the company's strategic advantage stemming from the prime locations of its assets and sales points for natural gas.
"In Q2 2024, we extended the maturity of our convertible debentures to June 30, 2025. Combined with the extension of our senior secured term loan in Q1 2024, these actions were crucial steps in protecting our balance sheet while natural gas prices remain low. This strategic manoeuvre allows us to resume growth by completing our three remaining Gwinville drilled but uncompleted wells when natural gas prices improve."
Southern Energy maintains USD10.0 million in unused capacity on its senior secured term loan to fund the completion of the DUCs.
Southern Energy shares were flat on close at 9.75 pence each in London on Tuesday.
By Elijah Dale, Alliance News reporter
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