(Alliance News) - An rise in annual production helped JKX Oil & Gas PLC increase revenue and double profit, the firm said Tuesday, despite prices falling.
Ukraine-focused energy firm JKX posted a pretax profit of USD30.4 million for 2019, more than double the USD14.0 million the year before. Revenue rose 9.7% to USD101.7 million.
JKX said average production during the year was 20% higher at 10,748 barrels of oil equivalent per day. In Ukraine, production was over 50% higher and Russia was steady, with both providing roughly equal shares in JKX's overall output.
Ukrainian production increased following field development work began in late 2018 by JKX.
JKX had year-end cash of USD20.6 million, slightly higher than the USD19.2 million a year earlier, and after making a bond payment in February 2020 it is now debt-free.
"2019 was another year of achievement for JKX. Despite the collapse in commodity prices our strong production results allowed us to report healthy profit and cash flow for the second year in a row. The group is now debt-free," said Chief Executive Viktor Gladun.
Looking ahead, Gladun said the focus in 2020 will be in Ukraine following the completion of a well workover programme in Russia.
On Covid-19, he said the firm is in a "suitably stable" financial position to take on the crisis.
Shares ended 15% higher on Tuesday in London at a price of 17.50 pence each.
By George Collard; georgecollard@alliancenews.com
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