ADVFN Logo

We could not find any results for:
Make sure your spelling is correct or try broadening your search.

Trending Now

Toplists

It looks like you aren't logged in.
Click the button below to log in and view your recent history.

Hot Features

Registration Strip Icon for charts Register for streaming realtime charts, analysis tools, and prices.

Afren announce half-year results

Share On Facebook
share on Linkedin
Print

Afren, an independent exploration and production company listed on the London Stock Exchange (LSE:AFR), has announced its Half-yearly Results for the six months ended 30 June 2013 and an update on its operations year-to-date 2013.

In a stament the company said that the “first half of 2013 has been a period of notable success for Afren across all operational fronts”, with the achievement of record production (up 13 per cent.) principally as a result of the Ebok and Okoro fields, offshore Nigeria.

Afren argued that the financial results “reflect the consolidation of First Hydrocarbon Nigeria Company Limited (FHN) following the completion of the acquisition of an additional beneficial interest in FHN in the period and the early adoption of IFRS 10”.

Reflecting on the results Osman Shahenshah, Chief Executive of Afren, said that the company had “recorded a year-on-year increase in underlying net production of 13 per cent. principally from our green field developments offshore”.

Post period end, Afren further increased its beneficial interest in FHN and commenced sales from the Barda Rash field in the Kurdistan region of Iraq. On the exploration front, the oil discovery at OPL 310 opens a new oil basin in an under-explored region with targeted resources believed to be in excess of pre-drill estimates (78 mmboe).

Earlier in 2013 the company announced that following the sale of all Afren PDMR holdings in First Hydrocarbon Nigeria (“FHN”) to CSL Stockbrokers in Nigeria, they have undertaken to use the net proceeds to acquire Afren shares in the public markets.

Highlights:

  • Strong operating cash flow driven by a 13 per cent. year-on-year increase in net production to 47,653 boepd; on track for full year guidance of 40,000 – 47,000 boepd
  • Continued E&A success

– Play opening discovery at OPL 310, offshore Nigeria

– DST programme at Simrit-2 on the Ain Sifni PSC, Kurdistan region of Iraq complete, with aggregate flow rates of 19,641 bopd achieved. Well being prepared for Extended Well Test operations

– Completion of drilling at Simrit-3. Multi-zone testing programme underway to confirm the resource potential and the eastern extent of the Simrit anticline

– Active exploration programme with ongoing Ogo-1 sidetrack and upcoming Ufon-1 well on OML 115 in Nigeria

  • Active portfolio management

– Completion of farm-out (subject to Nigerian Ministerial Consent) of a 30 per cent. economic interest in OPL 310, offshore Nigeria, to Lekoil Limited

– Acquisition by FHN of 16.9 per cent. economic interest in OML 113. Synergies expected with OPL 310 development

– Agreement for sale of CI-11 block and Lion Gas Plant for total consideration of US$26.5 million, of which US$15.3 million will be settled in cash

– Proposed relinquishment of JDZ Block 1, Nigeria São Tomé & Príncipe

  • Balance sheet and financial flexibility

– Cash at bank US$588 million (1H 2012: US$497 million); Net debt, excluding finance leases US$590 million (1H 2012: US$679 million). Full year capex guidance revised to US$650 million from US$620 million

CLICK HERE TO REGISTER FOR FREE ON ADVFN, the world's leading stocks and shares information website, provides the private investor with all the latest high-tech trading tools and includes live price data streaming, stock quotes and the option to access 'Level 2' data on all of the world's key exchanges (LSE, NYSE, NASDAQ, Euronext etc).

This area of the ADVFN.com site is for independent financial commentary. These blogs are provided by independent authors via a common carrier platform and do not represent the opinions of ADVFN Plc. ADVFN Plc does not monitor, approve, endorse or exert editorial control over these articles and does not therefore accept responsibility for or make any warranties in connection with or recommend that you or any third party rely on such information. The information available at ADVFN.com is for your general information and use and is not intended to address your particular requirements. In particular, the information does not constitute any form of advice or recommendation by ADVFN.COM and is not intended to be relied upon by users in making (or refraining from making) any investment decisions. Authors may or may not have positions in stocks that they are discussing but it should be considered very likely that their opinions are aligned with their trading and that they hold positions in companies, forex, commodities and other instruments they discuss.

Leave A Reply

 
Do you want to write for our Newspaper? Get in touch: newspaper@advfn.com