Europa Oil & Gas, the company focused on the exploration, development and production of oil and gas in the United Kingdom and Ireland, reported a pre-tax loss of 1.3 million pounds ($1.6 million ) during the six months ended January 31, 2023.
This compares with pre-tax profit of 0.7 million pounds ($0.8 million) for the six months ending January 31, 2022. There was a 13 percent increase in the average price made oil up to $88 per barrel (H1 2022: $77.84).
The company said it has delivered a strong financial performance in the first half of 2023, supported by high levels of income generated by its UK onshore production assets, particularly the Wressle oil field.
“In addition to substantially increasing our revenue to £3.7m (H1 2022: £2.2m) and achieving a gross profit of £1.5m (H1 2022: 0.9 £ million), we have also significantly strengthened our balance sheet, resulting in net cash of £5.1 million at the end of the period,” said Europa Oil chief executive Will Holland.
He further noted that Wressle, currently the UK’s second most productive onshore oilfield, continues to exceed all expectations, adding that the company remains committed to further improving field efficiency and increasing production through solutions gas monetization, as well as advancing development drilling to enable even more. production
“In addition to building on our corporate ESG framework, the cornerstone of our long-term commitment to the global energy transition, we initiated a delisting process on our Irish offshore license FEL 4/19. Within the license is the extensive Inishkea gas prospect containing approximately 1.5 tcf of gas, and we recognize the significant potential of FEL 4/19 to help alleviate Ireland’s energy security issues by providing the nation with a reliable source of of gas produced with low carbon emissions,” says Holland.
Holland added that, bolstered by the UK government’s continued commitment to invest in North Sea hydrocarbon exploration, the company continues to evaluate development options for the UK Serenity offshore oil field alongside its partner i3 Energy.
“With Serenity strategically located close to existing infrastructure, a cost-effective solution we are exploring is to develop the reserve discovered through Repsol Sinopec’s Tain field. A potential unitary development could bring significant benefits to Europe and our shareholders, with expected net production for Europe of around 1,000 bopd,” he concluded.
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