Business
Q1 2020 Results
Q1 2020 Results.
About this update from Seplat Energy Plc
[{"type":"text","content":"\n \n \n RNS Number : 2831L\n Seplat Petroleum Development Co PLC\n 29 April 2020\n \n \n \n Seplat Petroleum Development Company Plc\n \n Unaudited results for the three months ended 31 March 2020\n \n \n \n \n \n Lagos and London, 29 April 2020: Seplat Petroleum Development Company Plc (\"Seplat\" or the \"Company\"), a leading Nigerian independent oil and gas company listed on both the Nigerian Stock Exchange and the London Stock Exchange, today announces its unaudited results for the three months ended 31 March 2020. \n \n \n Highlights\n \n \n Operational \n \n \n · \n Low unit cost of production at US$7.7/boe, with cost cutting initiatives now in force \n \n \n · \n Working interest production within guidance at 48,491 boepd \n \n \n · \n Liquids production of 33,368 bopd\n \n \n · \n Gas production of 88 MMscfd \n \n \n COVID-19 impact and mitigating actions \n \n \n · \n Business continuity plan working successfully\n \n \n · \n Oil field operations now working 28-day rotations (previously 14 days), with regular health checks \n \n \n · \n Substantial support for local communities, donations of medical and protective equipment and food\n \n \n Financial \n \n \n · \n Cash at bank US$336 million, net debt of $458m\n \n \n · \n Revenue of US$130 million, down 18.2% due to a stock build at the terminal (underlift) of $47m and lower oil prices.\n \n \n · \n Non-current asset impairment provision of US$146 million in line with IAS 36 COVID-19 impact assessment\n \n \n · \n Impairment provision reverses a profit for Q1 2020 of $39 million into a loss for the period of $107m.\n \n \n · \n Impairment provision reduces non-current assets from $2.34 billion to $2.20 billion.\n \n \n · \n Total capital expenditure of US$46 million \n \n \n · \n Cash flow from operations US$65 million\n \n \n Outlook\n \n \n · \n Expected production of 47-57 kboepd (inc. Eland 6-10kbopd) for full year, subject to market conditions \n \n \n · \n 1.5MMbbls/quarter hedged at $45/bbl from Q1 to Q3 2020\n \n \n · \n Significant cash balance available\n \n \n · \n Low cost of production enables profitability at levels below current oil price\n \n \n · \n 2020 capex revised upwards to $120 million from $100 million, with two additional gas wells and related infrastructure.\n \n \n Austin Avuru, Chief Ex...