Petro Matad Limited Interim results for 6 months ended 30 June 2015
29 September 2015
Interim results for the six months ended 30 June 2015
LONDON, 29 September 2015: Petro Matad Limited, the AIM quoted Mongolian oil explorer, is pleased to announce its unaudited interim results for the six months ended 30 June 2015
Financial Summary
The Group posted a loss of USD 1.74 million for the six-month period ended 30 June 2015, which compares to a loss of USD 2.00 million for the comparable period in 2014. The reduced loss in 2015 mainly reflects reduced staff numbers compared to 2014. Significant increases in staff to meet the needs of the ongoing work programme only commenced late in the six-month period. The Company's cash balance at 30 June 2015 was $2.51 million, which compares to a cash balance of $1.88 million on 30 June 2014. The 30 June 2015 cash balance largely arises from the receipt of proceeds from BG Group, which is the result of the previously announced farmout (also referenced below).
Operational Update
As previously announced on 7 April 2015, the Company has successfully concluded a farmout of its Block IV and V PSCs with BG Group. The farmout became unconditional on 22 June 2015 and was announced on the same date.
The main activity during the first six months of 2015 focused on completing the farmout with BG Group. In anticipation of the successful conclusion of the farmout, the Company also issued tenders for three major work programmes: Airborne Full Tensor Gradiometer (FTG) and High Resolution Aeromagnetics; 2D Seismic Acquisition Programme; and Core Hole Drilling. Contract awards for FTG and 2D seismic acquisition were announced on 7 August 2015 and 13 August 2015, respectively. The core hole drilling tender was suspended as the technical rationale for drilling the core holes is under review.
The FTG programme is nearing successful completion, after which data will be processed and tied to existing and new seismic. The 2D seismic acquisition programme will continue over a number of months, after which the raw data will be processed. The Company expects that the subsequent interpretation of the newly acquired and processed seismic, in combination with FTG and existing seismic data, will be more than sufficient to develop a number of viable drilling prospects. The Company therefore remains on track for exploration drilling in 2016.
About Petro Matad Limited
Petro Matad is the parent company of a group focussed on oil exploration, as well as future development and production, in Mongolia. The Group holds sole operatorship of three Production Sharing Contracts with the Government of Mongolia. Block XX has an area of 10,340km(2) in the far eastern part of the country. Blocks IV and V are located in central Mongolia. Block IV covers approximately 29,000km(2) and Block V approximately 21,150km(2).
Petro Matad Limited is incorporated in the Isle of Man under company number 1483V. Its registered office is at Victory House, Prospect Hill, Douglas, Isle of Man, IM1 1EQ.
Further Information
