Teeling to assess African options

By Geoff Percival

Clontarf Energy, the John Teeling-chaired exploration company, is actively looking at options to boost its African asset base and aid ongoing negotiations there.

The Dublin-based company, which is listed on London’s AIM market, reported pre-tax losses of just under £2.8m (€3.2m) for 2017, up from a loss of £199,628. 

The higher losses sent Clontarf’s share price tumbling by over 30% and were driven by a writeoff of assets in Peru, where it exited after its senior partner pulled out after failing to obtain necessary exploration permits.

That leaves Clontarf with assets in Ghana where it is still awaiting new acreage ratification following a long-running land dispute. 

It also has interests in Equatorial Guinea, where it awaits production permits on a recently awarded prospect.

In Clontarf’s results presentation, Mr Teeling talked of “unrealistic fiscal and permitting terms” and political uncertainty “bedevilling” junior explorers, adding “we like our strategy of selecting good geology, with politics being a secondary concern, but we are considering other directions.”

On that note, Clontarf is in talks which could lead to a number of outcomes, including adding to senior management to bring further expertise, joint-ventures to increase its asset portfolio and/ or outside investment in the company. 

Clontarf will also seek a development partner for its Equatorial Guinea assets, once it agrees a production service contract.

Meanwhile, another of Mr Teeling’s firms, Connemara Mining is set to receive drilling results from its Mine River gold project in Wicklow and Wexford in the next fortnight. 

Earlier this year, the company said it would consider raising more money or bringing in a development partner for the project based on drilling results.