SOCO announces Interim Management Statement to 12 November 2014

SOCO announces Interim Management Statement to 12 November 2014

SOCO International plc today announces its Interim Management Statement relating to the period from 1 July 2014 to 12 November 2014.
Operations
· Production averaged 13,598 BOEPD year to date through 31 October 2014; 2014 full year production now expected at 13,300-13,800 BOEPD due to higher-than-anticipated shut-downs for additional drilling rig moves
· TGT 2014 in-fill drilling programme is on track with four wells drilled year-to-date and another two expected by year end
· The TGT H5 development is progressing well – the Field Development Plan was approved in September and drilling of the development wells has commenced following the installation of the wellhead jacket ahead of schedule
· The Lidongo Marine 101 exploration well offshore the Republic of Congo successfully drilled and tested, with oil flow rates significantly exceeding pre-test expectations
Financial
· On 10 October 2014, SOCO made a cash return to shareholders of $121 million, or 22 pence per share, representing c.60% of free cash flow for 2013
· Net cash and liquid investments as at 12 November 2014 were approximately $177 million
· Capex for the full year 2014 is expected towards the top end of the $160-170 million guidance mainly due to the acceleration of H5 drilling activity and Marine XI testing
· The combination of cash generation from the Vietnam producing assets, even at lower oil prices, and the Company’s strong balance sheet means that SOCO can fund its exploration and development activities and continue its strategy of cash returns to shareholders
Source: SOCO International plc
Oil and Gas Press

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