PetroTal reports improved fourth quarter production

(Sharecast News) - Oil producer PetroTal said in an update on Thursday that its corporate production in the fourth quarter averaged about 19,150 barrels of oil per day, bolstered by volumes from its newly-acquired Block 131.

The AIM-traded firm said production from the Bretana oil field averaged 18,938 daily barrels during the quarter, marking a 27% increase compared to the fourth quarter of 2023.

For the full year, Bretana achieved an average production of 17,733 barrels per day, up 24% from 2023 and exceeding guidance of between 16,500 and 17,500 barrels of oil per day.

PetroTal said it ended the year with $115m in cash, a 3% increase from the fourth quarter of 2023, reflecting the company's strong financial position.

Additionally, PetroTal secured two technical evaluation agreements for areas surrounding block 131 in Peru, enhancing its exploration portfolio.

PeruPetro also extended the exploration period for Block 107 until February 2027, providing further opportunities for resource development.

"PetroTal finished 2024 on a strong note, with production from our Bretana field hitting new highs in the fourth quarter," said president and chief executive officer Manuel Pablo Zuniga-Pflucker.

"We ended the year with a cash balance of $115m, which puts the company in a good position to support its ongoing dividend and capital programs in 2025.

"I am pleased to announce that PetroTal has been granted two new technical evaluation agreements in Peru's Ucayali Basin, immediately surrounding and on trend with our recently acquired Block 131."

Zuniga-Pflucker said several exploration prospects had already been identified on existing seismic coverage, setting up a new high-potential core area for the company in central Peru.

"PeruPetro has updated the current exploration period for Block 107 to February 2027, after reviewing the force majeure periods, which will give us ample time to undertake an exploration program at the high-impact Osheki-Kametza prospect.

"Peru's oil industry is open for business, and we continue to see plenty of interesting business development opportunities in the country."

At the close on Thursday, shares in PetroTal were up 1.39% at 36.5p.

Reporting by Josh White for Sharecast.com.

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