Vaalco Energy Inc - Houston, Texas-based oil and gas firm - Says it has entered into crude oil commodity swap agreements for a total of 672,533 barrels at a dated Brent crude weighted average price of USD66.51 per barrel for the period from and including May 2021 through October 2021. These swaps will settle on a monthly basis.
Company says is hedging a majority of its 2021 production volumes to protect cash flows which are expected to be used to fund the 2021 to 2022 drilling program of up to four wells and the potential Floating Storage & Offloading unit capital upgrade costs if an agreement is executed. In total, Vaalco now has 70% of its production hedged through October 2021 at a dated Brent weighted average price of USD62.27 per barrel.
Current stock price: 180 pence
Year-to-date change: up 65%
By Arvind Bhunjun; arvindbhunjun@alliancenews.com
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Vaalco Energy (EGY)