West Africa-focused oil and gas explorer Canadian Overseas Petroleum Limited (TSX-V:COPL) (LON:COPL) released full-year results for the year to end-December 2016, which according to broker Shore Capital “contained no surprises”.
The broker said: “Cash and cash equivalents amounted to $2.6m at the period end and COPL’s short term focus remains on matters including working with ExxonMobil to assess results from the previously-drilled Mesurado-1 well offshore Liberia, where the partners have also been re-evaluating alternative leads providing upside potential.
“In addition, through its partnership with Shoreline Energy, the company remains focused on successfully appraising OPL 226 offshore Nigeria, which COPL considers to be highly prospective.”
In its results statement, COPL said it “remains committed, along with its Liberia operating partner, ExxonMobil, to interpreting the data collected from the drill at LB-13, in December 2016.”
It added: “ Meanwhile, through COPL's partnership with Shoreline Energy, the Company continues to source funds for the first drill at OPL 226, offshore Nigeria.
“COPL remains confident that it will meet the target drilling of an appraisal well in late 2017.”
Arthur Millholland, the Canadian firm’s president and CEO, said: "Whilst we were disappointed with the initial drill results from the Mesurado-1 well, we have been re-evaluting alternative leads as we believe there remains upside potential.
“In addition to this, we remain focused on developing an attractive oil appraisal in OPL 226, offshore Nigeria, which is a highly prospective area in our opinion. We look forward to updating the market on the progress made at OPL 226 over the summer months."