LONDON (Alliance News) - Magnolia Petroleum PLC Friday said it expects full-year earnings before interest, taxation, depreciation and amortisation, adjusted for any foreign exchange gains or losses, to be ahead of market expectations, with revenues in line with expectations.
The US-focused onshore oil and gas production company, which takes small stakes in multiple wells in highly prospective shale plays, said that based on these figures it will have made more than a three-fold year-on-year revenue increase during the period.
According to market expectations provided by Magnolia Petroleum's broker Northland Capital Partners Ltd on Friday, revenues were expected to increase to USD2.5 million in the full year 2013 from USD700,000 the previous year, and adjusted EBITDA were expected to rise to USD500,000 from a loss of USD400,000 in 2012.
The company said that as a result of strong trading performance in 2013, and its significant increase in proposals to participate in wells, the borrowing base of its credit facility has been increased to USD2.1 million from an initial borrowing base limit of USD1.6 million.
The company said it will announce its full-year results around May 1.
Magnolia Petroleum shares were trading flat at 2.12 pence Friday.
By Tom McIvor; tommcivor@alliancenews.com; @TomMcIvor1
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