5th Jan 2005 07:00
BowLeven Plc05 January 2005 BowLeven plc ("BowLeven" or "the Company") Results for the year ended 30 June 2004 Highlights - Commitment Well, MANYU-1, successfully drilled offshore Cameroon. - Etinde permit, renewed for a further four years until 2008. - £30.0 million (net of expenses) raised to carry out the ongoing work programme and exploit the potential of the hydrocarbon assets. - The Company's shares admitted to the AIM market on 7th December 2004. Terry Heneaghan, the Chairman commented: "Since 30 June 2004 we have completedtwo substantial capital raisings so these figures are historic. Our admission toAIM last month has given us the financial resources to exploit the verypromising position we hold in Cameroon." For further information, please contact: BowLeven plcTerry Heneaghan, Executive Chairman 0131 225 9677 MaitlandNeil BennettLiz Morley 0207 379 5151 Review BowLeven enjoyed significant progress during the year. Between February andMarch the Company drilled its commitment well, MANYU-1. This well encounteredsignificant hydrocarbons and Randall & Dewey, the oil and gas consultancy group,has indicated that the hydrocarbon volumes within the Manyu structure arepotentially 310 million barrels of stock tank oil initially in place and 320billion cubic feet of gas initially in place, at the P50 level of probability. As a result of drilling this well the Company's Etinde permit, covering blocksMLHP 5, MLHP 6, and MLHP 7, has been renewed for a further four years until2008. Following this success the Company has, since its financial year end,significantly strengthened its balance sheet and now has the financial resourcesto bring these fields nearer production. In November the Company raised £14million (net of expenses) from a number of investors in a private placing. Thiswas followed in December by a further share placing to raise £16 million (net ofexpenses) at 363p a share, at the same time as the Company's admission to AIM. The Company intends to use these funds to acquire 3D seismic data over theEtinde permit area, drill up to three further wells and negotiate a gas supplycontract for a Gas to Electricity (GTE) project in Cameroon. The Board will update investors as its plans develop and come to fruition. Notes to editors BowLeven is an independent oil and gas company which has a 100 per cent.interest in an exploration permit in the shallow waters offshore Cameroon, WestAfrica. The acreage, which has had 9 wells drilled in it, contains recoverableP50 hydrocarbon reserves and recoverable P50 contingent resources. The acreagealso has attractive exploration potential. The Company has operated in Cameroonsince 1999. BowLeven plcConsolidated Profit and Loss AccountFor the year ended 30 June 2004 2004 2003 £'000 £'000 Turnover - - --- --- Administrative expenses (589) (472) --- --- Operating loss (589) (472) Interest receivable and similar income 7 1Interest payable and similar charges (2,185) - --- ---Loss on ordinary activities before taxation (2,767) (471) Taxation - - --- ---Loss on ordinary activities after taxation (2,767) (471) --- ---Accumulated deficit brought forward (1,173) (702) --- ---Accumulated deficit carried forward (3,940) (1,173) === === BowLeven plcConsolidated Balance SheetAs at 30 June 2004 2004 2003 £'000 £'000 Fixed assets Intangible assets 7,447 3,394 --- --- Current assets Stock 238 238Debtors 69 9Cash at bank 162 14 --- --- 469 261 Creditors: amounts falling due within one year (7,755) (927) --- ---Net current assets/(liabilities) (7,286) (666) --- --- Total assets less current liabilities 161 2,728 === === Capital and reservesCalled up share capital 1,030 1,018Share premium 188 -Merger reserve 2,883 2,883Profit and loss account (3,940) (1,173) --- ---Shareholders' equity funds 161 2,728 === === BowLeven plcConsolidated Cash Flow StatementFor the year ended 30 June 2004 2004 2003 £'000 £'000 Net cash (outflow)/inflow from operating (176) (315)activities Returns on investments and servicing of finance Interest received 7 1Interest paid (12) - --- ---Net cash flow for returns on investments (5) 1and servicing of finance --- --- Capital expenditure and financial investment Purchase of intangible fixed assets (2,168) (241) --- ---Net cash flow for capital expenditure and (2,168) (241)financial investment --- ---Cash outflow before use of liquid (2,349) (555)resources and financing FinancingProceeds of share issue 150 -Redemption of loan (12) -Advance of debenture loans 42 475Advance of other loans 2,317 - --- ---Net cash inflow for financing 2,497 475 --- --- --- ---(Decrease)/increase in cash 148 (80) === === Reconciliation of net cash flow tomovement in net debt Decrease/increase in cash in year 148 (80)Net cash (inflow) from debentures (30) (475)Net cash (inflow) from other loans (2,317) - --- ---Movement in (debt) in year resulting from (2,199) (555)cashflows Redemption premiums on loans (2,122) - --- ---Movement in funds/(debt) in year (4,321) (555) Opening net funds/(debt) (461) 94 --- ---Closing net funds/(debt) (4,782) (461) === === BowLeven plcReconciliation of Movement in Shareholders' FundsFor the year ended 30 June 2004 2004 2003 £'000 £'000 Loss for the year (2,767) (471)New shares issued 12 -Premium on new share capital subscribed 188 -Opening shareholders' funds 2,728 3,199 --- ---Closing shareholders' funds 161 2,728 === === Notes to the announcementFor the year ended 30 June 2004 Basis of Preparation The financial statements have been prepared under the historical costconvention, in accordance with the Statement of Recommended Practice forAccounting for Oil and Gas Exploration, Development, Production andDecommissioning Activities and with applicable accounting standards. The financial information set out in this announcement does not constitutestatutory financial statements as defined in section 240 of the Companies Act1985. The consolidated balance sheet at 30 June 2004, the consolidated profitand loss account, consolidated cash flow statement and associated notes for theyear then ended have been extracted from the statutory accounts upon which theauditors opinion is unqualified and does not include any statement under section237 of the Companies Act 1985. These financial statements have not yet been delivered to the Registrar ofCompanies. Further Copies Copies of this announcement and the full annual report and accounts areavailable, free of charge, for a period of one month from the Company'sNominated Adviser and Broker, Noble & Company Limited, 120 Old Broad Street,London, EC2N 1AR, Tel: 020 7763 2200 or from BowLeven plc, 49 Queen Street,Edinburgh EH2 3NH, Tel: 0131 220 1002. 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