Tórshavn, Faroe Islands, 2015-11-30 07:21 CET (GLOBE NEWSWIRE) -- P/F Atlantic Petroleum (NASDAQ OMX: ATLA DKK & Oslo Stock Exchange: ATLA NOK) today announces its results for the third quarter of 2015. This company announcement should be read in conjunction with Atlantic Petroleum’s Condensed Consolidated Interim Report attached to this announcement.
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HIGHLIGHTS & OUTLOOK
Production for 3Q was 125,000 boe (1H 2015: 240,200 boe) corresponding to an average of 1,359 boepd net (1H 2015: 1,327 net) which results in an average of 1,338 boepd net for the first nine months.
EBITDAX for 3Q was positive with DKK 26.1MM and contributed to reduce the total negative EBITDAX to a positive EBITDAX DKK 5.5MM for the first nine months of the year.
Gross loss in 3Q 2015, after asset impairments and write-offs, was DKK 124.6MM which results in a total gross loss DKK 129.0MM for the first nine months.
Revenue for 3Q 2015 was DKK 47.6MM and this was impacted by the lower than expected production and lower oil price. Net loss for 3Q 2015 was DKK 112.6MM. Cash and cash equivalents at end of 3Q 2015 was DKK 34.0MM and net assets/shareholders equity DKK 314.6MM. Bank debt excluding exploration finance facility was DKK 58.5MM.
G&A costs have been reduced and are total DKK 26.4MM for the first 9 months of 2015 (DKK 38.6 in 2014).
The Group took a DKK 117.3MM impairment on all producing assets in the quarter and DKK 115.8MM in exploration expenses including a write down of the Perth discovery.
Ben Arabo, CEO commented:
“The sustained low oil price over the last 12 months is having a large impact on Atlantic Petroleum. Our current production does not pay for the field operating expenses at the current oil price, and that situation is not sustainable. We are still pursuing funding or a commercial solution on the Orlando development. These discussions will complete within days or weeks at the most. However the outcome is uncertain, but management currently believe there’s a reasonable prospect of securing a funding or commercial solution. However, should these discussions fail, then there’s little likelihood of finding a funding solution for 2016 and the group is likely to go into administration.”
Atlantic Petroleum in brief:
Atlantic Petroleum is a full cycle exploration and production (E&P) Group focused on North West Europe. Atlantic Petroleum currently holds 29 oil and gas licences in the UK, Norway and Ireland, and has equity in three fields in production in the UK part of the North Sea. In addition to this, the Group has one field under development with first oil expected in 2016, two additional potential development projects and a substantial number of exploration prospects. Atlantic Petroleum participates in joint ventures with 30 reputable, international partners. Atlantic Petroleum P/F is based in Tórshavn, Faroe Islands, and the Company has subsidiaries and offices in London, UK and Bergen, Norway. Atlantic Petroleum’s existing shares are listed on NASDAQ OMX Copenhagen and on Oslo Stock Exchange.
Further Details:
Further details can be obtained from Ben Arabo, CEO, tel +298 550100 (ben.arabo@petroleum.fo). This announcement will be available, together with other information about Atlantic Petroleum, on the Company's website: www.petroleum.fo.
On the website, it is also possible to sign up for the Company’s e-mail newsletter.
Announcement no.35/2015
Issued 30-11-2015
P/F Atlantic Petroleum
Yviri við Strond 4
P.O. Box 1228
FO-110 Tórshavn
Faroe Islands
Telephone +44 208 834 1045
Fax +44 208 834 1125
Website: www.petroleum.fo
E-mail: petroleum@petroleum.fo
