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South America-focused oil and gas producer Amerisur Resources (LON:AMER) improved its first half revenues by 93% to $67.9 million, with average daily production 33% higher than in the same period of 2017. The company also earned a post-tax profit of $10.8 million, a turnaround from the loss of $2.3 million during the equivalent period of last year.
Chairman Giles Clarke said: “The first half of 2018 has been a period of significant revenue growth for Amerisur, with our low-cost production and excellent netbacks delivering strong cash generation and profitability. As the owner and operator of the strategic OBA pipeline, we continue to deliver highly competitive operating margins and during the period, we were able to secure an increase in guaranteed minimum carrying capacity through the pipeline. We have now spudded the Pintadillo-1 well in the Platanillo block, the first of three fully-funded wells targeting the N Sand A anomaly, estimated to hold P50 resources of 11.44 MMBO.
For the remainder of the year and into 2019, we remain focused on growing production levels from existing reserves and executing our drilling plan, which is targeting resources of 131.53 MMBO net.”
Shares in Amerisur Resources climbed 2.97% to 15.24p (as of 13:00 BST).