LONDON (Alliance News) - Wentworth Resources PLC on Thursday said its expects average production to dip at Mnazi Bay due to a maintenance programme, although it maintained its guidance for 2019.
The oil and gas firm said that production from its Mnazi Bay concession in Tanzania will be reduced from Monday next week until early April. During that period, production will be limited to to 70 million standard cubic feet of gas per day.
The maintenance programme includes a slick-line campaign in which the sliding-sleeves of a number of well completions will be opened.
The goal of the programme is to see "is sustained higher production raised can accommodate forward demand growth", as demand is due to increase in the second half of 2019.
"Despite this reduced production, the onset of the rainy season in April through May 2019 and the scheduled maintenance of the power stations at the Ubungo complex in Dar es Salaam, the company is maintaining current guidance," Wentworth said.
This guidance is for average daily production in 2019 of between 75 million and 85 million standard cubic feet of gas per day.
Wentworth also announced it has received USD3.2 million worth of monthly payments from Mnazi Bay gas sales in January and February.
"As a result of the continued demand and sustainable payment landscape, the company continues to meet and pay-down its debt commitments from free cash-flow in 2019 and expects to be debt free with the final payment on its single outstanding loan facility falling due in January 2020," Wentworth said.
Shares in Wentworth were down 0.6% at 22.36 pence on Thursday.
