Losses narrow at Petrel Resources in first half of 2018
Oil explorer looking to re-enter Iraq after first-half focus on Porcupine
Petrel Resources recorded an operating loss of €104,000 for the period to June 30th, compares with €207,000 in the previous year. Photograph: iStock
Irish oil company Petrel Resources narrowed its losses in the first six months of the year.
The firm recorded an operating loss of €104,000 for the period to June 30th. That compares with €207,000 in the previous year.
The company’s main focus was the Irish Atlantic Porcupine Basin. Petrel said its joint venture with Woodside Energy was now focused on Frontier Exploration Licence 11/18, which is located 150km southwest of Kerry and Cork. Petrel acquired a 10 per cent working interest in the bloc for which processed seismic data has been delivered to the operator.
Petrel has also applied for a 12-month extension to the seismic first phase of its Frontier Exploration Licence on the FEL 3/14, which Petrel controls fully. The explorer will seek drilling partners if the extension is granted.
The company also agreed to buy back 16,747,368 shares for a nominal sum and cancelled them, reducing the number of shares in issue by approximately 17 per cent.
Petrel is also re-establishing its Baghdad operations.
“Despite 2018 difficulties, we believe Iraq is finally turning a corner: pro-business parties open to international investment polled well in the May 2018 general election,” the company said in a statement.
“So far, the impact of unrest on oil production from the southern fields has been limited, with August 2018 output stable at 4.65 million barrels daily.”
However, the company noted the western desert, where Petrel has an interest in exploration ground, is still impossible for international companies to effectively operate in.