LONDON (Alliance News) - Fastnet Oil & Gas PLC Monday said it slightly increased its losses in its last financial year.
The company is focused on near-term exploration and appraisal acreage in Morocco and the Celtic Sea.
Fastnet, which is yet to produce any revenue, said it narrowed its operating loss, but reported a pretax loss of USD2.6 million for the financial year to March 31, compared with a loss of USD2.1 million a year earlier, on the back of lower finance revenue and a much lower net foreign exchange gain.
The company said it is fully funded to meet all current licensing phase commitments and obligations, including a non-obligatory drilling programme onshore Morocco.
Looking forward, Fastnet said it has a "healthy pipeline" of acquisition deals that it is continually assessing and may lead to the acquisition of another asset in the coming year in onshore East Africa.
The company said it has active ongoing farm-out processes running for its onshore Morocco Tendrara Project and Celtic Sea assets, which it hopes to conclude by the end of 2014, and it is carefully managing its financial resources and exposures whilst it remains on target to deliver farm-in partners for the Tendrara Licence and the Celtic Sea.
The company is in the process of seeking a farm-in partner for its Celtic Sea assets and expects to receive past costs as part of a successful first stage farm-out, with costs currently standing at USD21.9 million.
"We have a busy year ahead of us as we continue to drive the business forward," it said.
Fastnet shares were up 4.0% at 5.15 pence before midday Monday.
By Rowena Harris-Doughty; rowenaharrisdoughty@alliancenews.com; @rharrisdoughty
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