Source - SMW
Northern Petroleum (LON:NOP) has more than halved its H1 loss to $1.2m, from a loss of $2.6m previously. Revenue had improved to $1.5m, from $223,000.

Administrative expenses were $1.1m, from $2.5m.

"With production at the current level of approximately 400 bopd, the Group can sustain its financial position with a WTI oil price of approximately $50 per barrel," the company said in a statement. 

"As production grows, the Rainbow asset's fixed cost base does not increase significantly, therefore the operating cost increase per additional production barrel is less than $10. 

"This makes incremental production from this point forward economically attractive, and something that is achievable and relatively low cost.

"The Group is now developing a winter work programme to double production again to 800 bopd which will then provide free cashflow for investment. This will enable the Group to fund activities in Alberta and other areas such as the 3D seismic programme in the southern Adriatic. 

"Funding for this programme will be achieved through a combination of working capital, debt, a farmout and equity as is considered most appropriate at the time.

"The work conducted in the first half of 2016 has enabled the Group to survive in these extreme market conditions and helped establish the platform for further growth. This work is continuing in order to generate strong positive cash flow and core value for shareholders."

* * *

Global Petroleum (LON:GBP) posts a loss after tax of US$2,336,513 for the six months to the end of June - down from a loss of US$4,469,837 last time. 

Cash balances at 30 June amounted to US$10,172,598 (2015: US$12,707,727). The group has no debt.

The company said macro-economic factors remained challenging in the period and continue to form the context for both operational and commercial activity in the upstream energy business. 

The company said it has made significant progress in reducing its costs in response to these factors. 

* * *

President Energy(LON:PET)  has provided an update on its Argentine and Louisiana operations.

WELL DP 1002 S/T, ARGENTINA

"The well remains on target to reach full production around the end of the first half of October, subject, as stated in the previous RNS of 2 September 2016, to successful operational execution," the company said.

"Whilst, further to that announcement, certain cementing issues were encountered causing further delay, subsequent drilling has proceeded satisfactorily. 

"President Energy has now successfully intercepted the target Yacoraite producing formation at a measured depth of 3740m and an inclination of 84-degrees, at which point, notwithstanding the heavy oil based drilling mud being used of 11 lbm/gal, the expected increase in C1-C5** hydrocarbon gas readings were seen through the mud logs. 

"The well was then drilled down to the casing point of 3756m measured depth with the continued presence of these elevated hydrocarbon gases. The hole is now being prepared for running casing down to the Yacoraite whereupon the production horizontal leg will be drilled at or around horizontal and, subject to all being in accordance to plan, the well completed.

PUESTO GUARDIAN CONCESSION, ARGENTINA

"Daily production for the first 25 days of September is averaging approximately 500 bopd.

"Further to the Company's previous RNS on 2 September 2016, a Halliburton Coiled Tubing Unit ("CTU") has been contracted and is ready to be mobilised to the Puesto Guardian fields awaiting a final regulatory permission for road transport, anticipated to be obtained this week. 

"The CTU is due to start work shortly and will be combined with a stimulation programme on four non-producing wells. Management estimates that the CTU work on those wells will yield an increase in total field production in the region of 20%.

LOUISIANA ASSETS PRODUCTION

"The A55 well, one of the two wells referred to in the Company's previous RNS, has now come on stream. The Company is waiting for the non-operated Triche well, previously producing 60-70 boepd net to President Energy, to come back on stream, after being out of effective working commission for approximately six months due to pipeline issues.

"The Company expects the Triche well to come back on-stream in about 14 days, at which point, the Company should see its share of total net production in Louisiana increase to the 200-250 boepd levels projected in the previous RNS."

* * *

The biggest riser was Urals Energy (LON:UEN) - up by more than 31.5% in late trading. The biggest faller was Oilex (LON:OEX) - down by more than 10.5%. 


At 4:17pm:

(LON:AUR) Aurum Mining PLC share price was 0p at 1.85p

(LON:BOR) Borders  Southern Petroleum PLC share price was 0p at 1.85p

(LON:CHAR) Chariot Oil  Gas Ltd share price was +0.19p at 9.81p

(LON:ENQ) EnQuest Plc share price was +2.38p at 27.13p

(LON:GBP) Global Petroleum Ltd share price was -0.13p at 1.63p

(LON:GKP) Gulf Keystone Petroleum share price was +0.06p at 2.19p

(LON:GPX) Gulfsands Petroleum PLC share price was 0p at 3p

(LON:INDI) Indus Gas Ltd share price was -0.12p at 497.38p

(LON:NOP) Northern Petroleum PLC share price was -0.25p at 3p

(LON:OEX) Oilex Ltd share price was -0.05p at 0.43p

(LON:PET) Petrel Resources PLC share price was 0p at 6.63p

(LON:RKH) Rockhopper Exploration PLC share price was +1p at 28p

(LON:RPT) Regal Petroleum PLC share price was +0.01p at 3.54p

(LON:UEN) Urals Energy PLC share price was +0.75p at 3.13p

(LON:XEL) Xcite Energy Ltd share price was +0.08p at 1.23p



Related Charts

Global Petroleum (GBP)

0.00p (0.00%)
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Northern Petroleum (NOP)

+0.13p (+3.70%)
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Oilex (OEX)

0.00p (0.00%)
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Petrel Resources (PET)

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Urals Energy (UEN)

0.00p (0.00%)
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