Petrel expects operations to speed up

Irish explorer Petrel Resources said it expects operational activity to speed up in the coming months.

A busy summer has seen the Dublin-based company — which, yesterday, published improved first-half results — buy a 20% stake in Iraqi firm, Amira Hydrocarbons Wasit and sell an 85% stake in its interests in the Porcupine Basin to Australian exploration firm, Woodside.

Upcoming work will take in each of the AIM-listed company’s focus points of Iraq, Ireland and Ghana.

“Early 2014 will see preparations for drilling on the Spanish Point licence, offshore Ireland. While not directly affecting Petrel, it should lead to investor interest,” management said.

Petrel has bought into the under-explored Wasit province in the centre of Iraq. Canadian firm Oryx is the operator of the Wasit licence and plans to commence a seismic data acquisition programme before year’s end, before drilling an exploration well in the first half of next year.

Yesterday’s interim figures showed that Petrel made a pre-tax loss of €247,000 (€183,328) in the first six months of 2013, €10,000 less than for the same period last year. Losses per share fell from 34c to 32c, on a year-on-year basis. First half operating losses fell — year-on-year — from €267,000 to €249,000.

“The last 10 months has been a period of rapid progress and share price appreciation for Petrel Resources. We now have momentum, good partners in Ireland and Iraq, and have plans to drive forward,” chairman John Teeling said.

Petrel holds cash balances of $2.2m, and will receive over $1.3m in back costs, from Woodside, once formal exploration licences are issued.