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Oil & Gas

i3 Energy upgrades expectations amid bumper Q4 production and rising oil prices

Production in Q4 amounted to 18,229 boepd, generating around US$57mln of revenue.

i3 Energy Plc told investors produced some 18,229 barrels of oil equivalent per day in the fourth quarter, marking a 38% rise on the preceding three months.

The current production rate is approximately 19,000 boepd, it added.

Revenue for the fourth quarter amounted to US$57.6mln, up 64% on the third quarter, also reflecting the rise in oil and gas prices. Looking to the 2021 full year, i3 is forecasting net operating income of US$66mln and it is predicted to be US$150.3mln for 2022.

“We spent the following months on an extensive integration process to optimise the portfolio and generate a development programme to organically grow our production and income base,” said chief executive Majid Shafiq.

“The execution of these plans during Q3 and Q4 2021 allowed us to replace declines, grow production and enhance margins in an improving commodity price environment.

“I am pleased to report that this has resulted in significantly improved income projections for the coming year.”

Shafiq added: “We entered 2022 with a significant working capital surplus and a disciplined hedging program, covering approximately 36% of forecasted 2022 production, ensuring the fully funded 2022 programme and a monthly dividend commitment.”

The i3 chief meanwhile highlighted that the high impact drill programme for 2022, which started in January, has so far seen “very promising” initial results.

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