Victoria Oil & Gas drops on low sales as dispute continues
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Cameroon-based hydrocarbon company Victoria Oil & Gas (LON:VOG) saw its shares fall by 3.15% to 31.65p (at 09:50 BST) as gas sales from its Logbaba project remained weak. The firm remains in dispute with ENEO Cameroon regarding its grid supply agreement, but management remain confident that an agreement will be reached.
The firm agreed supply agreements with two new customers, one for retail power and another for thermal. Ongoing power shortages in the Douala region have led to an increase in inquiries about Victoria’s retail energy products and management believe that a number of them will be signed up by the end of this year.
New reserve estimates were also published suggesting that the company’s current wells hold sufficient proven and probable reserves to maintain production for at least 10 years.
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