Petroceltic in black thanks to Melrose Resources

IRISH oil firm Petroceltic yesterday hailed a “transformational year” after its takeover of Edinburgh-based Melrose Resources helped it turn a profit on its operating activities.

The Aim-quoted driller said the consolidation of Melrose into the company from 10 October increased revenues from $420,000 (£275,000) to $59.4 million thanks to its portfolio of producing assets in Egypt and Bulgaria.

Profit from operating activities before exploration costs was $4m, compared with a loss of $6.4m in 2011.

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One-off merger related costs, exploration write-offs and finance expenses pushed Petroceltic to a pre-tax loss of $6.7m.

The enlarged group confirmed it was on schedule for a premium listing on the main market of the London and Irish stock exchanges in June.

Chairman Robert Adair said: “Petroceltic has fundamentally transformed its business over the past year. The merger with Melrose has created a significant, regionally focused, full cycle, independent oil and gas company. This combination has produced a company with stable finances and excellent growth prospects.”

He said Petroceltic had the technical expertise and ambition to develop further over the next 12 months.

The group plans to drill a minimum of nine wells across North Africa, the Black Sea and the Kurdistan Region of Iraq over the next 18 months.

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