(Alliance News) - Nostra Terra Oil & Gas Company PLC reported an annual revenue boost on Friday, as the company benefitted from strong oil prices.
The London-based oil & gas company said its pretax loss last financial year had narrowed to USD546,000 from USD1.1 million the prior year.
Revenue was up by 76% to USD4.0 million from USD2.3 million the previous year, which the company said was a reflection of the 19% increase in production sales and an improving commodity price environment - with an average price of barrels sold in 2022 rising to USD91.17 from USD61.45.
Nostra Terra said that it took advantage of strong oil prices in the year following the invasion of Ukraine, sanctions and boycotts on Russian oil, and end of covid restrictions, to "consolidate production and to invest further into our existing acreage".
Looking forward, the company said that its continued focus it the stated aim of increasing cashflow and reserves in 2023.
Nostra Terra also expects a decision is expected to be handed down in the third quarter of 2023 regarding the Fouke 1 and Fouke 2 wells in Pine Mills, East Texas. The test rate of Fouke 2 and production rate of Fouke 1 resulted in the operator requesting a substantial increase in the field allowable rate, allowing both wells to be produced at higher and more efficient rates.
Pines Mill, East Texas is Nostra Terra's key asset, accounting for 84% of company sales.
"The board continues to focus on its stated aim of increasing cashflow and reserves for the year ended 2023," said Chief Executive Officer Matt Lofgran
"The company plans to continue to pursue opportunities both within and outside the existing asset portfolio where we believe value can be created for shareholders."
Nostra Terra was trading down 4.9% at 0.19 pence in London on Friday.
By Will Neill, Alliance News reporter
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Nostra Terra (NTOG)