President Energy PLC - Market Update
("President" or the "Company")
Oil Prices in
President is pleased to note the restrictions announced late on
These restrictions have been introduced to promote continued work and investment in the domestic hydrocarbon industry as a key building block for the economy.
The Company further notes market speculation that pressure is building from Provinces, producers and unions alike to introduce a fixed price for oil sales going forward, in similar manner to that which existed under the Presidency of
President will provide further updates when and if appropriate.
The Company continues to focus on margins and cash preservation.
President guides the market that the current field level breakeven price (after all opex and royalties) from its core assets in
Debt levels reducing
In these times there is quite understandably increased focus on debt levels. Accordingly, it is important to note that President's third party financial debt has reduced considerably recently.
Bank debt is now only
The rest of the debt is owed to significant shareholders both of whose interests importantly are closely aligned with the Company and its other shareholders. Such debts together with the bank debt are all being serviced in accordance with their terms.
Such shareholder creditors are
President reports that gas production from
All this production is and will be from existing wells without the need for further drilling.
Capex for 2020
Given recent market developments and in line with most energy companies, President's capex budget for 2020 is under review. Whilst awaiting greater visibility for domestic prices going forwards in
"In unprecedented times and volatile outlook, we continue to focus on key performance indicators, extract maximum value with the minimum of expenditure, optimise our significant asset base and manage our cash and finances in the manner of prudent good housekeeping.
"The golden thread in
"As such the recent Government initiative is well timed, appropriate and welcomed."
Boepd barrels of oil equivalent (oil and gas) per day
MMscft/d million standard cubic feet of gas per day
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finnCap (Nominated Advisor)
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Tavistock (Financial PR)
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Notes to Editors
The Company has operated interests in the Puesto Flores, Estancia Vieja, Puesto Prado and Las Bases Concessions, and Angostura exploration contract, all of which are situated in the
The Group is also actively pursuing value accretive acquisitions of high-quality production and development assets in
This announcement contains inside information for the purposes of article 7 of Regulation 596/2014
This information is provided by RNS, the news service of the
Quick facts: President Energy PLC
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