Aminex plc’s (LON:AEX) progress in Tanzania was marked in the group’s interim results which show a return to profitability, supported by production from the Kiliwani North gas project.
Investors, meanwhile, have been focused on the more impactful Ntorya project where a successful appraisal well has set the company up for production growth.
READ: Aminex submits Ntorya field development plan
Kiliwani North yielded around 15mln cubic feet of gas per day during the six months to June 30, and testing on the new Ntorya-2 well measured a flow rate of 17mln cubic feet per day and further drilling is now in the works.
Success at Ntorya led Aminex to upgrade its resource estimate for the project, where it now sees some 1.3 trillion cubic feet.
A development plan and an application for development has since been submitted to the Tanzanian authorities, and a gas commercialisation study has been commissioned.
"We are pleased to report to shareholders a return to profit during the first half of the year,” said Jay Bhattacherjee, Aminex chief executive.
“During 2017, Aminex successfully drilled the Ntorya-2 appraisal well, which tested at approximately 17 million cubic feet per day, increased management's estimate of the Pmean unrisked resource estimates for the Ntorya field to approximately 1.3 TCF and submitted a development plan for, together with the application for, a development licence over the Ntorya field.
READ: Aminex nearly triples estimate for Ntorya gas resources
He added: “The company also repaid all of its outstanding corporate debt so that it is now a debt-free company. With this base, the board believes the company is well placed to build on success."
In terms of financial results, Aminex reported a US$1.01mln profit for the six months, compared to a US$2.45mln loss for the same period in 2016.
The company highlighted that it had a US$6.91mln cash balance on June 30.