(Alliance News) - Nostrum Oil & Gas PLC on Friday reported a rise in revenue in the first nine months of the year and expects to agree on a bond restructuring soon.
Nostrum shares were up 11% to 8.94 pence each in London on Friday morning.
The oil and gas firm, which operates in the pre-Caspian Basin in Kazakhstan, said it expects revenue of USD142 million for the first nine months of the year, up 4.6% on last year's USD135.8 million.
Average daily production after treatment totalled 17,532 barrels of oil equivalent per day, down 24% from 23,129 boepd last year.
Average daily sales volumes of 15,838 boepd, 29% lower from 22,269 boepd.
Brent crude oil prices are up 62% year-to-date, trading at USD83.86 on Friday morning, while natural gas prices also have soared in recent months amid an energy crisis in Europe.
Chief Executive Arfan Khan said the company is making good progress toward reaching a bond restructuring agreement with "an informal ad hoc committee of noteholders", which is expected in the near future.
"The closing of the restructuring will allow us to move the group forward and achieve our near-term business goals with the support of our stakeholders," Khan said.
The company has not planned a drilling programme in 2021 but has been conducting a targeted well work-over and intervention programme.
The average daily production forecast for 2021 remains 17,000 boepd, with an average daily sales volume of 16,000 boepd.
The company's 2020 average daily production after treatment totalled 22,337 boepd, down 22% from 28,540 barrels in 2019. 2020 average daily sales volumes stood at 21,514 boepd, a 19% decrease from 26,626 barrels in 2019.
By Greg Roxburgh; gregroxburgh@alliancenews.com
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Nostrum Oil&gas (NOG)