Source: Matra Petroleum AB
August 24, 2018 02:30 ET
Second quarter ended 30 June 2018 (Second quarter ended 30 June 2017)
Six months ended 30 June 2018 (Six months ended 30 June 2017)
|Second quarter 2018||Second quarter 2017||Six months 2018||Six months 2017||Twelve months 2017|
|Gross crude oil production, bbl||32,020||33,075||60,641||62,972||127,080|
|Gross gas and natural liquids production, mcf||177,061||169,409||322,591||343,143||707,543|
|Net crude oil production, bbl||26,405||26,885||49,780||51,419||103,714|
|Net gas and natural liquids production, mcf||133,764||125,625||243,954||255,772||523,251|
|Average selling price oil, USD/bbl||64.52||45.39||62.28||47.00||47.53|
|Average selling price gas USD/mcf||6.45||5.57||6.76||6.05||6.78|
|Result for the period||-2,775||-1,917||-4,873||-3,220||-7,126|
|Earnings per share (basic and diluted), USD||-0.07||-0.05||-0.12||-0.08||-0.18|
In the second quarter, the main events were the launch of the drilling and development program and the closing of the CoreTerra acquisition. So far, the results of these activities are encouraging:
In reviewing the performance so far, my conclusion is that we are on track towards our annual target to double daily oil and gas production by year end. The strategic objectives of the drilling program are to convert proved undeveloped reserves to production and to explore the limits of the field and potential reserve additions through drilling in sections of the field previously not tested by drilling. In addition, an extensive program to improve oil and gas production from existing wells through workovers and reopening of shut-in wells is being executed.
Through the CoreTerra acquisition, Matra has expanded its asset base by 40 additional oil and gas leases and estimated proved reserves of approx. 4.0 million barrels of oil equivalent in the Texas Panhandle. These assets currently contribute approximately 120 boepd in production. The operational results from the acquisition were only partially included in the second quarter financials as we consolidate the acquired properties from early June when the acquisition was closed. From Q3, production from the acquired assets will be consolidated for the full quarter.
In the second quarter, operational performance continued to improve, which was reflected in 20% revenue growth compared to last year. The financial results were however affected by oil price hedges that hasn't allowed Matra to fully capitalise on the recent rise in oil prices yet. These hedging contracts are in effect until year end 2018. As production increases, with new wells coming on stream and the full effects of the acquisition recorded, the hedging effects will gradually diminish in the second half of the year allowing for significantly improved financial performance going forward.
24 August 2018
Chief Executive Officer
This report has not been subject to review by the auditors of the Company.
For more information, please contact:
Maxim Barskiy, CEO, Matra Petroleum AB (publ)
Phone number: +46 8 611 49 95
Mangold Fondkommission AB is the Company's Certified Adviser.
Telephone: +46 (0) 85 03 01 550
Matra Petroleum AB (publ) | Eriksbergsgatan 10 | Box 7292 | 103 90 Stockholm
Telephone: +46 (0)8-611 4995 | web: www.matrapetroleum.com | Email: email@example.com
This information is information that Matra Petroleum AB (publ) is obliged to make public pursuant to the EU Market Abuse Regulation 596/2014. The information was submitted for publication, through the agency of the contact person set out above, at 8:30 CET on 24 August 2018.
Matra Petroleum AB (publ) is a Swedish independent oil and gas exploration and production company operating in the United States, where the company owns and operates 170 leases, covering an area of 45,640 net acres in the Panhandle region in Texas. Matra's proved oil and gas reserves amount to approximately 25.0 million barrels of oil equivalent. Matra Petroleum's shares are traded on NASDAQ First North in Sweden under the symbol MATRA. Mangold Fondkommission AB is Certified Adviser (www.mangold.se).