Business
Nostra Terra Achieves Positive Cashflow for Feb 18
Nostra Terra Achieves Positive Cashflow for Feb 18.
About this update from Buccaneer Energy Plc
[{"type":"text","content":"\n \nRNS Number : 9884F Nostra Terra Oil & Gas Company PLC 27 February 2018 \n\n27 February 2018\n \nNostra Terra Oil and Gas Company plc\n(\"Nostra Terra\" or the \"Company\")\n \nNostra Terra Achieves Positive Cashflow for February\n \nNostra Terra (AIM:NTOG), the oil and gas exploration and production company with a portfolio of assets in the USA and Egypt, is pleased to announce a significant milestone in its development. During the month of February 2018, the Company was cashflow positive at the Plc level.\n \nFollowing operational improvements made at Pine Mills over the past year, increased production from the Twin Well and the improving oil price environment, Nostra Terra surpassed breakeven during February 2018 resulting in its maiden month of being cashflow positive at the corporate level (cashflow positive being revenue less field operating costs less overhead and interest expense). \n \nNostra Terra expects to remain cashflow positive in the coming months although much depends on the oil price. The Company's aim is to achieve annual profitability, though there is no guarantee of this outcome at this stage. \n \nIn addition, in January 2018, the Company announced the availability of an initial borrowing base of $1,200,000, which is available for immediate use, from its $5,000,000 Senior Lending Facility with a 4.75% interest rate, which, together with cash raised from recent warrant exercises, means that Nostra Terra is well funded to cover its future drilling campaign from existing resources/banking arrangements. The Company will continue with its strategy of developing its portfolio, to increase oil production and free cash flow generation, while actively seeking to acquire assets to add value to the business. \n \nMatt Lofgran, Chief Executive Officer of Nostra Terra, commented:\n \n\"February has been an intensely rewarding month for Nostra Terra. Not only has the Twin Well surpassed our expectations, but we've also hit the major milestone of achieving our first month of being cashflow positive as a company as a whole. \n \nSince we started our turnaround strategy in 2016 this has always been our goal. To have reached this target so early in 2018 is extremely encouraging and I would like to thank our operations team for all their efforts...