LONDON (Alliance News) - Frontier Resources International PLC Tuesday said it has continued with talks aimed at farming out interests in Oman, Namibia and Zambia, as the onshore oil and gas explorer reported a narrower loss in 2014.
Frontier Resources said it made a USD1.2 million loss before and after tax in 2014, compared with a USD1.8 million loss in the prior year. The prior year's loss had been driven up by the costs of listing on London's AIM market and the settlement of an equity swap deal with YA Global Master SPV Ltd. The non-repeat of those costs was partly offset by an increase in costs as the results included a full year of the exploration manager hired in July 2013. The company recorded no revenue in 2014 and USD11,000 in 2013.
"Our projects in Oman, Namibia and Zambia have progressed well during the period. However, as we have previously stated, Frontier needs substantial financial resources to develop our assets," Neil Herbert, chairman, said in a statement.
"In Oman, the next exploration phase should be the drilling of a well into the most advanced of the structural leads, and we have received approval from the Ministry of Oil and Gas to exchange the Phase 1 work commitment of a 3D seismic survey for an exploration well and 2D seismic survey," Herbert said.
"In Namibia, results of the study will be used both to guide the locations for the next phase of soil gas sampling, and determine preferential areas for 2D seismic acquisition, and in Zambia, we are now actively planning the next phase of the exploration programme which may include the acquisition of additional gravity and/or magnetic data and soil gas analysis over the entire block," he added.
Frontier shares were flat at 0.850 pence on Tuesday morning.
By Samuel Agini; samagini@alliancenews.com; @samuelagini
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