Lfeaccetfusd Share News (FEP)

Philippines-focused oil and gas company Forum Energy narrowed pre-tax losses and made a gross profit in 2009 as it began receiving production revenues from the Galoc oilfield. It posted a gross profit of $196m in the 12 months to 31 December versus a $311m loss the year before. Production from Galoc, in which Forum has a 2.27% interest, hit 2.5 million barrels gross in 2009 and is expected to stabilise at 2.3 million barrels in 2010.A loss before tax of $2.5m was much less than the $4.4m deficit reported in 2008, while revenue jumped 153% to $1.8m, aided by rising oil prices.The main asset of the firm, 63%-owned by Philex Mining Corporation, is a 70% interest in Service Contract 72 (SC72), an 8,800-square kilometre offshore petroleum licence situated west of Palawan Island in the South China Sea."Forum now has the ability to move forward with the development of the potentially world class gas discovery at SC72 and to move into the appraisal process," said chief executive Water Brown. "We believe that this will create material value for our shareholders and we look forward to releasing more specific details shortly."