Information  X 
Enter a valid email address

Parkmead profit doubles on higher gas production and lower costs

By BFN News | 07:55 AM | Thursday 29 March, 2018

Parkmead, the UK and Netherlands-focused independent energy group, doubled its gross profit in the six months to 31 December 2017 to £1.4 million. This was driven by increased gas production in the Netherlands and a cost reduction programme in the UK. Revenues were flat at £2.7 million. The group's gas portfolio in the Netherlands generates positive cash flows and Parkmead's four separate gas fields have an average operating cost of just US$10 per barrel of oil equivalent. Technical work undertaken across the wider Parkmead portfolio has allowed the company to release non-core acreage, such as licence P. 1566, considerably reducing licence costs. Administrative expenses were £0.3 million, down from £2.4 million a year ago. Parkmead's total assets at 31 December 2017 were £75.8m (2016: £84.0m). Available-for-sale financial assets were £4.1m (2016: £4.0m). Cash and cash equivalents at year end were £24.4m (2016: £26.7m). The group's net asset value was £65.2m (2016: £70.1m). Parkmead's executive chairman, Tom Cross, said: "We are delighted to have significantly increased production at the Diever West gas field, which builds Parkmead's cash flow. New reservoir modelling indicates that Diever West could be more than double the size originally expected. "We are also pleased with the major progress made with the Greater Perth Area project. By increasing our stake in the Perth and Dolphin oil fields, Parkmead's oil and gas reserves grow by some 67%." Story provided by

a d v e r t i s e m e n t