Results for the six months ended
Unless otherwise stated, all figures are on a Business performance basis and are in US Dollars.
Comparative figures for the income statement relate to the period ended
"The Group delivered strong free cash flow in the first half which reduced net debt. Performance at Kraken has been good with the FPSO performing well, while production at PM8/Seligi has been better than expected as a result of the acceleration of initial restoration activities following the riser detachment. Production at Magnus has been impacted by topside related well performance but our production enhancement programme has partially recovered the well potential and we expect further recovery over the remainder of the year. We remain focused on improving production across our existing portfolio.
"The
H1 2021 performance
· Group net production averaged 46,187 Boepd (2020: 66,055 Boepd)
· Kraken production of 23,690 Boepd (33,603 Boepd gross) was in line with the Group's guidance reflecting strong production and water injection efficiency and a good performance from the Floating Production, Storage and Offloading vessel ('FPSO')
· Improved production at PM8/Seligi as a result of the acceleration of initial production recovery activities following the riser detachment in late 2020
· Lower production at Magnus reflected the slower execution and an increase in scope of the well intervention programme, an unplanned third-party outage, power related failures and natural declines
· Revenue and other operating income of
· Operating costs decreased to
· Cash generated from operations of
· Strong free cash flow generation of
End June net debt reduced by
· At
· Signed a new senior secured borrowing base debt facility (the 'RBL') of
Significant business development
· Agreed to acquire
· Signed a Share Purchase agreement ('SPA') with
Guidance and outlook
· 2021 average net Group production is expected to be at the lower end of the guidance range of 46,000 Boepd and 52,000 Boepd. This reflects expected performances at Magnus, the Greater Kittiwake Area and PM8/Seligi over the course of the second half of the year. Kraken gross production is expected to be between 30,000 Boepd and 35,000 Boepd (21,150 Boepd to 24,675 Boepd net)
· Operating costs are expected to be approximately
· Combined cash capital and abandonment expenditure, excluding costs associated with the PM8/Seligi riser repair, is expected to be broadly around
·
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This information is provided by RNS, the news service of the
https://news.cision.com/enquest-plc/r/half-year-results,c3408541
https://mb.cision.com/Main/344/3408541/1463260.pdf
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