TIDMDGOC

RNS Number : 9035U

Diversified Gas & Oil PLC

30 October 2017

30 October 2017

DIVERSIFIED GAS & OIL PLC

("DGO" or the "Company")

Trading update

Diversified Gas & Oil PLC (AIM: DGOC), an Appalachian Basin focused producer of gas and oil, is pleased to provide the following production and trading update.

The acquisition of assets from Titan Energy ("Titan") announced in June is now wholly completed with the closing of the remaining assets on 29 September 2017. The Company has largely concluded the initial integration of the Titan assets into its operations, and continues its efforts to optimize the asset performance while reducing costs. The Company now operates approximately 17,000 wells.

The Company continues to improve operating efficiencies, driving costs lower and increasing gross margins. Since completing the Titan acquisition, operating costs have been reduced 8% from $7.73/Boe reported for the first six months of 2017 to $7.14/Boe in September 2017. In turn, Adjusted EBITDA margins have improved from 35% for the first six months of 2017 to 44% in September 2017.

Overall trading remains in line with current market forecasts and the Board anticipates that it will provide a further market update at the year end.

This announcement is inside information for the purposes of Article 7 of EU Regulation 596/2014.

 
 Diversified Gas & Oil PLC 
  Rusty Hutson Jr., Chief Executive 
  Officer 
  Brad Gray, Finance Director and 
  Chief Operating Officer 
  Eric Williams, Chief Financial 
  Officer                                 + 1 (205) 408 
  www.diversifiedgasandoil.com             0909 
 Smith & Williamson Corporate 
  Finance Limited 
  (Nominated Adviser & Joint Broker) 
  Russell Cook 
  Katy Birkin                             +44 20 7131 4000 
 Mirabaud Securities LLP (Joint 
  Broker) 
  Peter Krens 
  Edward Haig-Thomas                      +44 20 3167 7221 
 Buchanan (Financial Public Relations) 
  Ben Romney 
  Chris Judd 
  Henry Wilson                            +44 20 7466 5000

This information is provided by RNS

The company news service from the London Stock Exchange

END

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(END) Dow Jones Newswires

October 30, 2017 03:00 ET (07:00 GMT)

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