By Christian Moess Laursen
Union Jack Oil said pretax profit and revenue fell in the first half on foreign exchange movements, but that its cash balance remains solid for the next 12 months.
The London-listed energy company said Monday that pretax profit fell to 765,926 pounds ($954,880) in the period from GBP2.1 million a year prior.
Revenue also fell to GBP3.6 million from GBP4.4 million, partly due to a negative effect from foreign exchange movements as well as a lower average oil price received of $80 from $104.
Its cash balances, receivables and liquid investments stand in excess of GBP9.25 million as of Sep. 8. The company remains fully funded for all general and administrative costs, as well as operating and capital expenses, including any budgeted drilling activities for at least the next 12 months, it said.
“Union Jack remains in a strong financial position with a combination of consistent cash flows, principally from our flagship asset at Wressle [oilfield], plus significant future upside potential from our balanced project portfolio,” Chairman David Bramhill said.
Write to Christian Moess Laursen at [email protected]
Read the full article here