(Adds details, shares)
By Ron Bousso
LONDON, April 23 (Reuters) - Serica Energy intends to
maintain its dividend in 2020, its CEO said on Thursday after
the North Sea energy producer announced its first-ever payout
following a rise in 2019 profit.
CEO Mitch Flegg said, however, that Serica's 2020 drilling
programme is under review due to coronavirus-related movement
restrictions and supply chain difficulties.
As a result, Flegg said its planned Columbus field
development will likely be pushed into next year, while Rhum 3
well drilling remains on track to start at the end of 2020.
Serica announced a maiden dividend of 3 pence per share
after its gross profit in 2019 more than quadrupled to 85.8
million pounds ($106 million).
"Our intention is that (the dividend) is here to stay,"
Flegg told Reuters.
Serica shares were up around 10% by 0930 GMT, compared with
a 1.8% gain in the broader energy index.
The company's oil and gas production rose by around 20% last
year to 30,000 barrels of oil and gas equivalent.
Serica has reduced the number of personnel on its platforms
by around one third following the coronavirus outbreak, which
means that its offshore operations are focused on keeping
production running, Flegg said.
($1 = 0.8102 pounds)
(Reporting by Ron Bousso; editing by Nick Tattersall)