Business
Audited results for the year ended 31 December2020
Audited results for the year ended 31 December2020.
About this update from Block Energy Plc
[{"type":"text","content":"\n \n \n \n RNS Number : 5002A\n Block Energy PLC\n 02 June 2021\n \n \n \n \n 2 June 2021\n \n \n Block Energy plc\n \n \n (\"Block\" or the \"Company\")\n \n \n Audited results for the year ended 31 December 2020\n \n \n Block Energy plc, the development and production company focused on Georgia, is pleased to announce its audited final results for the year ended 31 December 2020.\n \n \n The Company's Annual Report will shortly be made available on the Company's website at \n \n www.blockenergy.co.uk\n \n and posted to shareholders by 4 June 2020.\n \n \n Highlights\n \n \n Equity placing\n \n \n · \n In December 2020, Block Energy Plc completed a placing of 176 million new Ordinary Shares, raising approximately £5.28 million, equivalent to $7.2 million (before expenses) with institutional investors at a placing price of 3 pence, equivalent to $0.04, per share.\n \n \n \n \n \n Acquisition and business growth\n \n \n · \n On 25 March 2020, the Company entered into a conditional sale and purchase agreement with Schlumberger B.V. (\"Schlumberger\") to acquire its subsidiary Schlumberger Rustaveli Company Limited (\"SRCL\"). The acquisition was completed on 23 November 2020. The acquired company holds the PSCs to Blocks IX and XIB in Georgia.\n \n \n · \n Cash at 31 December 2020 was $6,331,000 (31 December 2019: $6,494,000).\n \n \n \n \n \n Operations\n \n \n · \n Production of oil and gas from the two horizontal wells (WR-16aZ and WR-38Z) in its West Rustavi licence area was suspended in April 2020 to avoid selling oil at low oil prices and conserve gas resources until the Early Production Facility (\"EPF\") and gas sales pipeline were completed.\n \n \n · \n Gas sales agreement signed with Bago LLC, a prominent private gas supplier and purchaser in Georgia, for the offtake of gas produced at the Company's flagship West Rustavi field.\n \n \n · \n Construction of an EPF, with capacity for up to six wells, to exploit Block Energy's associated gas and contingent gas resources, was completed on budget in November 2020.\n \n \n · \n Following the year end, on 15 February 2021, the Company achieved its first gas sales.\n \n \n · \n 100 km2 of 3D seismic survey data acquired over and beyond the entire area of the Company's West Rustavi licence was processed and interpreted, with results exhibiting good subsurface ...