OREANDA-NEWS. Victoria Oil & Gas Plc, the unique African gas utility, today announces Preliminary Results for the seven-month period ended 31 December 2015

Comparative Periods

The audited financial amounts for the seven-month period ended 31 December 2015 (the “current period”, “period” or “reporting period”)are compared to the audited twelve-month period ended 31 May 2015 (“prior period”). Production statistics, which are subject to seasonal fluctuation, compare the seven-month period ended 31 December 2015 to the comparable seven month period ended 31 December 2014.

Operational Highlights

  • 8.57mmscf/d average gas production (3.95mmscf/d seven months to 31 December 2014)
  •  1,736mmscf total gas sold (846mmscf seven months to 31 December 2014)
  • Both ENEO power stations consuming gas for grid power for the whole period
  • Well design and drilling programme planning progressed for completion of one twin-well and one step-out well at Logbaba site
  • Phase 1 processing plant expansion to 25mmscf/d capacity designed with further phased expansion planned pending drilling results
  • Gas sales agreements signed with eleven new customers ahead of 13.5km, two phased expansion of the Bonaberi pipeline
  •  New seismic reprocessing project on Logbaba commenced to acquire and reinterpret historic data

Financial Highlights

  • $21.4 million revenue (prior period: $27.9 million)
  • $8.5 million adjusted EBITDA (prior period: $8.4 million)
  • $13.2 million cash balance at period end (prior period: $16.0 million)
  • $22.2 million Group liabilities (prior period: $34.2 million)
  •  $6.0 million net cash position at period end (prior period: $5.1 million)

Corporate Highlights

  • Ahmet Dik and Iain Patrick appointed to the Board of VOG as Directors
  • Change in accounting reference date to 31 December

Post Period

  • BGFIBank debt facility of $26.0 million put in place in April 2016 to support the Group’s expansion plans in 2016
  • Matanda licence assignment of 75% interest in 1,235km2 neighbouring block completed
  • Executive Director changes: Robert Palmer and Grant Manheim to retire from Board and Andrew Diamond appointed as Finance Director