LONDON (Alliance News) - Faroe Petroleum PLC said Wednesday an independent technical report of its reserves for 2015 shows year-end numbers that are "materially higher" than those it reported at the end of 2014.
The oil and gas company, focused on Norway and the UK, said Senergy (GB) Ltd completed an independent technical report which showed proved plus probable reserves net to Faroe of 60.6 million barrels of oil equivalent as at January 1, up 98% from 30.6 million barrels of oil equivalent the year before.
This is mostly a result of the addition of the Butch and Pil fields in Norway, as well as further reserves added through the acquisition of Roc Oil (Holdings) Ltd.
"I am very pleased to report this material increase in reserves over the year, generated principally from exploration success and which further underpins the significant value of the company. This doubling of 2P reserves demonstrates clearly how our consistent strategy is delivering tangible results," said Chief Executive Graham Stewart in a statement.
"We look forward to an exciting three well exploration drilling programme for 2016 in Norway, which is firming up on cost efficient terms. Faroe enters 2016 in a robust financial position, with strong production, a solid cash balance and largely undrawn credit facilities," Stewart added.
Shares in Faroe were up 0.9% at 54.25 pence Wednesday morning.
By Hana Stewart-Smith; hanassmith@alliancenews.com; @HanaSSAllNews
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