Zoltav Resources booked a maiden H1 pretax profit of $1.6m, from a year-ago loss of $2.5m. This was achieved from an excellent operational performance and cost-optimisation.
Non-executive chair Marcus Rhodes commented:
"Zoltav's significant efforts on driving performance at Bortovoy's Western Gas Plant and on cost efficiencies have enabled the Company to deliver a maiden profit before tax for the half year of USD 1.6 million.
"This was achieved despite the increased weakness of the rouble against the US dollar. Our performance has been further strengthened by an additional uplift of our gas sale price.
"The Company has high quality assets and experienced management that is intent on driving more profitable growth from the Western Gas Plant, on operating a lean and efficient business and on the development of our organic opportunities - particularly the considerable resource in the Eastern Fields of Bortovoy, where we are working to better understand the feasibility and economic viability of the development options.
"The Board believes this strategy will not only result in our transition into an attractive and profitable junior oil company - a path on which we are already well advanced - but also position the Company very well should the rouble regain strength and as the oil and gas sector continues to improve."
At 9:07am: (LON:ZOL) Zoltav Resources share price was +7p at 31.5p