Wentworth Resources Update and Q4 2016 Financial Statements and MD&A

Wentworth Resources Update and Q4 2016 Financial Statements and MD&A

http://www.wentworthresources.com. wentworth-logoWentworth shall be issuing its audited 2016 Annual Consolidated Financial Statements and MD&A following publication of the results of an annual independent evaluation of the gas reserves at 31 December 2016 within the Mnazi Bay Concession in Tanzania, carried out by RPS Energy Canada Ltd. (“RPS”), Calgary, Canada which is expected during March 2017. OPERATIONAL AND FINANCIAL UPDATE Mnazi Bay field production has averaged 44 MMscf/d year-to-date 2017, in line with guidance of 40 – 50 MMscf/d for 2017. In addition, increasing gas demand from industrial customers, including Goodwill Ceramics and Dangote Cement, is expected in 2017. Kinyerezi-I Expansion and Kinyerezi-II gas-fired power generation facilities are under construction and on schedule for completion and commission starting in 2018; anticipated additional demand from power sector of 70 – 80 MMscf/d once these new facilities are fully operational. All capital and operating expenditures incurred during 2016 expected to be fully settled during Q1 2017; minimal capital expenditure planned during 2017. Production facilities now fully invested with capacity of up to 130 MMscf/d and current well deliverability expected to support substantial increase in demand. Work underway to secure industry partners for the appraisal programme of the Tembo gas discovery in Mozambique; appraisal activities expected to commence once industry partners are secured. Amended the timing of principal payments on the existing $20.0 million credit facility to better align with the current production profile and without further leveraging the Company at this time. Secured access to a new $2.5 million overdraft facility for working capital purposes. Q4 2016 HIGHLIGHTS

    Financial
Gas sales revenue of $2.73 million for the quarter, compared to $3.10 million in Q4 2015. Net loss of $0.42 million during Q4 2016 compared to a profit after tax of $32.81 million in Q4 2015,which includes a non-cash deferred tax recovery of $34.34 million. Capital expenditures of $0.67 million compared to $0.73 million during Q4 2015. Cash and cash equivalents on hand of $0.98 million compared with $2.75 million on hand at December 31, 2015. Working capital was $4.96 million compared to $11.98 million at December 31, 2015. Reduced outstanding debt to $20.67 million following a $1.0 million principal payment during Q4 2016 (2015 – $26.0 million). Source / More: Wentworth Resources oilandgasOil and Gas News Undiluted !!! “The squeaky wheel gets the oil” Oil and Gas News Undiluted !!! “The squeaky wheel gets the oil” Follow us: @OilAndGasPress on Twitter | OilAndGasPress on Facebook]]>

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