13 May 2016 07:00
13 May 2016
Andes Energia plc
("Andes" or "the Company")
Group Production Update
The Board of Andes (AIM: AEN; BCBA: AEN) is pleased to provide an update on current production at a Group level based on the April and March 2016 sales and production reports.
Group production for April 2016 was 3,532* boepd (March 2016: 3,567* boepd; February 2016: 3,538* boepd).
Argentine licences production update for the month of April 2016:
• In Chachahuen, Chanares Herrados, Puesto Pozo Cercado, Vega Grande, La Brea and El Manzano average production was 2,388 bpd net to Andes
Colombian licences production update for the month of April 2016:
• In Mana and Altair average production was 1,144* boepd (59% Oil) net to Interoil, in which Andes holds a 26% interest
The Group's results for the year ending 31 December 2015 are expected to be released within the next 2 weeks and revenue, gross profit and EBITDA are in line with management's expectations.
For further information please contact:
Andes Energia plc Nicola Mallo Huergo, Chairman T: +54 11 4110 5150
Alejandro Jotayan, CEO
Billy Clegg, Head of Communications
Stockdale Securities Antonio Bossi T: +44 20 7601 6100
David Coaten
Camarco Gordon Poole T: +44 20 3757 4980
Qualified Person Review
In accordance with AIM guidance for mining, oil and gas companies, Mr. Juan Carlos Esteban has reviewed the information contained in this announcement. Mr. Juan Carlos Esteban, an Officer of the Group, is a petroleum engineer with over 30 years of experience and is a member of the SPE (Society of Petroleum Engineers).
Note to Editors:
Andes Energia plc is an oil and gas exploration and production company focused on onshore assets in South America with a market capitalisation of circa £115m. The Company has its main operations in Argentina and Colombia.
The Company has approximately 25* MMbbls of conventional 2P reserves, and it also has certified prospective resources of 640 MMboe, primarily in the Vaca Muerta unconventional development in Argentina and over 7.5 million acres across South America.
The Company has approximately 250,000 net acres in the Vaca Muerta formation, which is the second largest shale oil deposit in the world and the only producing shale oil deposit outside of North America, currently producing 45,000 boepd. Over 300 wells have already been drilled and fracked in the Vaca Muerta formation.
Andes is the only AIM quoted company on the London Stock Exchange with exposure to the Vaca Muerta shale.
The Company currently produces approximately 3,550* boepd in Argentina and Colombia from six conventional fields in Argentina and two in Colombia, with positive cash flows generated.
*Includes 100% of Interoil's net reserves and production