TIDMCEG
RNS Number : 8739E
Challenger Energy Group PLC
01 November 2022
1 November 2022
Challenger Energy Group PLC
("Challenger Energy" or the "Company")
Trinidad Q3 2022 Update
Challenger Energy (AIM: CEG), the Caribbean and Atlantic -margin
focused oil and gas company, with oil production, appraisal,
development and exploration assets across the region, provides the
following update on its Trinidad and Tobago business unit's
operating results for Q3 2022 (1 July 2023 to 30 September
2023):
-- Total gross oil production for Q3 2022 was 32,370 barrels,
representing an approximately 5% decline on Q2 2022. The decline
reflects the impact of especially adverse weather conditions
causing grid and field level electrical failures through the
quarter (and continuing into the beginning of Q4 2022), and which
resulted in between three to eight days of production downtime
(varying by field), as well as the need to delay / reschedule much
of the production enhancement work that had been planned for the
quarter.
-- Despite the lower gross oil production, the Company was able
to maintain oil sales at a comparatively constant level during Q3
2022, through release of inventory build-up in Q2 2022, with total
oil sales in Q3 2022 amounting to 31,267 barrels (marginally higher
than Q2 2022 oil sales, by 0.3%).
-- Gross realised average price per barrel sold in Q3 2022 was
US$85.02, an approximately 13% decrease over Q2 2022. R evenue
received by the Company from oil sales (being gross revenues less
Government royalties and mandatory source deductions and
adjustments applicable under the relevant licences) (1) , amounted
to approximately US$1.3 million in Q3 2022. This represents average
net revenue to the Company of US$40.20 per barrel sold, an
approximately 11% decrease on Q2 2022, largely as a consequence of
a decline in oil price.
-- The Company's business in Trinidad and Tobago operated on a
break-even pre-tax operating profit basis in Q3 2022 (Q2 2022:
US$0.2 million). In aggregate during the first nine months of 2022
the business in Trinidad and Tobago has generated field operating
profits of approximately US$1.6 million, and a pre-tax operating
cash surplus of approximately US$0.6 million (stated after field
operating costs, in-country G&A and other Trinidad expenses,
but before corporation and other taxes including supplemental
petroleum tax where applicable, and noting that, given the extent
of carry-forward tax losses, t he Company is currently largely
shielded from corporation taxes).
Eytan Uliel, Chief Executive Officer of Challenger Energy,
said:
"We plan for a certain level of disruption each year during the
rainy season, but during the third quarter we experienced
considerably more than expected, resulting in production downtime,
and it also became necessary to delay much of the routine
maintenance and production enhancement activities we had hoped to
undertake. At the same time realised oil prices declined from the
highs seen in Q2. Operationally, therefore, the third quarter of
2022 was challenging. Nonetheless, in aggregate the first nine
months of 2022 continues to represent an improving overall
financial performance for the Trinidad business, with positive
field level operating profits (unaudited, before G&A) and a
positive unaudited pre-tax operating profit. During the fourth
quarter, as weather conditions improve, we expect less production
disruption, so we will be able to begin clearing the backlog of
delayed field activity, which should benefit production levels
further."
---
Note 1: Oil sales are predominantly made to Heritage Petroleum
Company Limited, the Trinidadian national oil company, which then
apply certain deductions and adjustments before payment of funds to
the Company. These vary between various licences, and include
deduction of Government royalties, Heritage overriding royalties,
facilitation fees, escrow and mandatory contributions to the
abandonment fund, oil impost, and in respect of Goudron and
Inniss-Trinity only, deduction of agreed first tranche volume and
addition of an agreed handling fee.
This announcement contains inside information for the purposes
of Article 7 of EU Regulation 596/2014, which forms part of United
Kingdom domestic law by virtue of the European Union (Withdrawal)
Act 2018 (as amended).
For further information, please contact:
Challenger Energy Group PLC Tel: +44 (0) 1624
Eytan Uliel, Chief Executive Officer 647 882
Strand Hanson Limited - Nomad Tel: +44 (0) 20 7409
Rory Murphy / James Spinney / Rob 3494
Patrick
Arden Partners plc - Broker Tel: +44 (0) 20 7614
Simon Johnson 5900
CAMARCO Tel: +44 (0) 20 3757
Billy Clegg / James Crothers / Hugo 4980
Liddy
Notes to Editors
Challenger Energy is a Caribbean and Atlantic margin focused oil
and gas company, with a range of exploration, appraisal,
development and production assets and licences, located onshore in
Trinidad and Tobago, and Suriname, and offshore in the waters of
Uruguay and The Bahamas. In Trinidad and Tobago, Challenger Energy
has five (5) producing fields, two (2) appraisal / development
projects and a prospective exploration portfolio in the South West
Peninsula. In Suriname, Challenger Energy has on onshore appraisal
/ development project. Challenger Energy's exploration licences in
Uruguay, the South West Peninsula of Trinidad, and The Bahamas
offer high-impact value exposure within the overall portfolio
value.
Challenger Energy is quoted on the AIM market of the London
Stock Exchange.
https://www.cegplc.com
ENDS
This information is provided by RNS, the news service of the
London Stock Exchange. RNS is approved by the Financial Conduct
Authority to act as a Primary Information Provider in the United
Kingdom. Terms and conditions relating to the use and distribution
of this information may apply. For further information, please
contact rns@lseg.com or visit www.rns.com.
RNS may use your IP address to confirm compliance with the terms
and conditions, to analyse how you engage with the information
contained in this communication, and to share such analysis on an
anonymised basis with others as part of our commercial services.
For further information about how RNS and the London Stock Exchange
use the personal data you provide us, please see our Privacy
Policy.
END
UPDBBBFTMTAMMBT
(END) Dow Jones Newswires
November 01, 2022 03:00 ET (07:00 GMT)
Challenger Energy (AQSE:CEG.GB)
Gráfica de Acción Histórica
De Nov 2024 a Dic 2024
Challenger Energy (AQSE:CEG.GB)
Gráfica de Acción Histórica
De Dic 2023 a Dic 2024
