Vaalco Energy Inc on Wednesday said profit rose in the third quarter with revenue, although fell across the first nine months of 2023, while it maintained its dividend payout to shareholders.

In the three months that ended September 30, the Canada and Africa-focused hydrocarbon explorer said pretax profit rose 7.7% to $32.0 million from $29.7 million a year earlier, while across the nine months that ended September 30, pretax profit fell 30% to $68.6 million from $98.7 million.

Third quarter revenue was up 49% to $116.3 million from $78.1 million, while nine month revenue was up 19% to $305.9 million from $257.7 million.

Third quarter total operating costs and expenses rose 83% to $80.7 million from $44.2 million, while on a nine month basis, they more than doubled to $227.9 million from $110.7 million.

It also declared an interim dividend of $0.0625 per share, unchanged from a quarter earlier.

In the third quarter, Vaalco Energy more than doubled net revenue interest production to 18,844 barrels of oil equivalent per day from 9,157 barrel a year earlier, although this fell 4.2% from 19,676 barrels in the second quarter.

Vaalco Energy said it expects fourth quarter net revenue interest sales to be between 19,800 and 22,000 barrels of oil equivalent per day.

‘Vaalco is financially stronger, with more reserves and production, than at any other time in our history and poised to continue to grow in 2024 and beyond. We continue to have no bank debt and a growing cash position that will allow us to fund 2024 [capital expenditure] projects across our portfolio,’ said Chief Executive Officer George Maxwell.

‘We remain committed to accretively growing Vaalco both organically and through additional inorganic opportunities. The diversity and strength of our assets provide a solid foundation for sustainable growth and supports our commitment to returning and growing value for our shareholders.’

Shares in Vaalco Energy were untraded at 360.00 pence each in London on Wednesday morning.

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