Joel ‘Monty’ Pemberton chief executive of Trinity Exploration & Production (LON:TRIN) told investors he is encouraged by the progress of the detailed talks held with interested parties.
The Trinidad oil junior, which this morning released a second quarter update, launched a strategic review in April and has since been engaged in a formal process to sell the company.
Trinity today revealed production averaged 3,085 barrels oil equivalent for the first six months of 2015, and said it cut general admin costs by 45% in the same period.
The company said it ended the first half with a US$8.2mln cash balance, and had receivables of US$19.5mln, and has US$13mln of debt. There is currently a moratorium in place on repayments for that debt, current deadline August 21, whilst the sales process is underway.
The oil price remained low, albeit whilst it was below US$50 the company benefited from exemption from Trinidad’s supplemental petroleum tax.
"The current oil price environment and country specific fiscal regime has been difficult for companies in Trinidad to weather,” Pemberton said.
He added: “Trinity is unable to develop and capitalize on its portfolio organically and hence announced a strategic review and formal sales process.
“This process has led to detailed discussions with a number of interested parties and we are encouraged by the progress made to date."