LONDON (Alliance News) - Frontera Resources PLC Friday said it losses widened in 2013, as crude oil sales fell slightly and interest payments increased.
The oil and gas exploration company posted a pretax loss of USD11.2 million for compared with a USD8.9 million loss a year earlier, as revenue from crude oil sales dipped to USD6.1 million from USD7.5 million, while interest payments rose to GBP3.8 million from GBP2.7 million a year earlier.
At an operating level, the company said gas production operations are ongoing at its Mtsare Khevi gas complex in Georgia. It said continuous drilling operations are planned to continue during the third and fourth quarters in order to continue gas delivery into its recently commissioned processing facilities and associated transportation system at the complex.
The Mtstare Khevi gas complex is an area of approximately 80 square kilometres and encompasses gas reservoir targets found between 300 metres and 5,000 metres in depth.
In addition, Frontera said plans are underway to start phase one of its Varang Exploration farm-out agreement in Georgia. Phase one will see the completion of three wells over a period of 18 months.
These wells are designed to continue exploitation of the nearby main reservoir at the Taribani Field as well as other associated horizons situated within the area.
Frontera Resources shares were quoted down 13% at 0.785 pence Friday morning.
By Anthony Tshibangu; anthonytshibangu@alliancenews.com; @AnthonyAllNews
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