Columbus Energy Resources PLC (LON:CERP) is set up for a busy second half of 2019, according to chairman Leo Koot, who alongside interim results highlighted a number of upcoming exploration opportunities.
The story of the first half largely focussed on the company’s disciplined cash management and cashflow optimisation, as the production operations essentially remained at a steady state.
Oil sales totalled 92,154 barrels for the six month period, up 3.7% from the same period last year. The daily rate averaged 561 bopd albeit in the month of February it peak at 1,019 bopd. Columbus described it as a ‘solid production base’ whilst noted that operationally it encountered a number of technical challenges during the period.
Realised oil prices ranged between US$50 and US$60 per barrel which Columbus noted had incurred Trinidad’s supplemental petroleum tax, of which £331,000 was applied in the period.
Columbus reported a £691,000 first half gross profit, up 61% on the same period last year, while net revenue amounted to £3.4mln which was down from the £3.6mln generated last year.
It stated a £1.72mln pre-tax net loss, narrowing from a £2.46mln loss in the first half of 2018. It ended June with £1.05mln of cash in hand.
The outlook emphasised upcoming new projects and also a continuing effort to assess acquisition opportunities.
Specifically, the company will in the coming month start an exploration campaign in Trinidad’s south west peninsular project area.
This will see drilling start later this month for the Saffron exploration well, meanwhile, the company noted that it has identified a further drillable prospect, Saffron.
"The first half of 2019 has seen Columbus secure its operating base and set itself for a busy second half of the year,” said Leo Koots, executive chairman.
“The company expects to bring to fruition a number of projects, in particular the drilling of an exploration well in the South West Peninsula, the commencement of the Inniss-Trinity CO₂ project and announcement of a new country entry.
“We look forward to an exciting second half of 2019."