Europa Oil & Gas (Holdings) PLC will continue to seek opportunities to acquire further appraisal and early development assets, the UK onshore oil company said ahead of its annual general meeting today.
“Our aim remains to engage in potentially high reward activity without putting the company's balance sheet at risk,” said chairman Brian O'Cathain in a statement.
Last month, Europa Oil reported a quadrupling of revenue and a sharp rise in profits for the year to end July as it continued to benefit from the stronger-than-originally-predicted performance at the Wressle field and higher oil prices.
"The last year was an exceptionally busy period for Europa, positioning it very strongly for the future,” O'Cathain said today. “Despite the continuing economic volatility, the period delivered good operational results.”
Production for Europa’s 30%-owned Wressle field has risen to the current rate of 700-750 barrels of oil per day (bopd) gross (or 210-225 bopd net to Europa).
“We are excited about undertaking further development on the Wressle field with a planned gas monetisation project unlocking further upside potential for oil production rates and gas sales from the field. This could add an additional 50% to oil production rates, further boosting Europa's revenues,” said O'Cathain.
“Looking forward, I believe that we are starting to reap the rewards of delivering on our strategic vision, with strong cash flows from our onshore production, further development opportunities at Wressle and Serenity as well as material upside potential with our exploration assets in Ireland, about which we are very excited.”