Petrel posts loss as new tenders announced

AIM-listed oil explorer Petrel has reported a pre-tax loss of €244,638 for the year ended December 31, 2003.

The company has submitted tenders to the Iraqi Oil Ministry to develop three new oilfields. Detailed talks on the technical aspects of each tender are expected in July.

It was also announced today that Petrel’s Subba and Luhais project is aiming for production of 200,000 barrels a day, while two of the company’s other projects, Khurmala and Hamrin, are each targeted to produce in excess of 100,000 barrels of oil per day.

In his speech, Petrel chaiman John Teeling expressed little surprise at the soaring price of oil, saying: “Why is the world so surprised at high oil prices?

“If demand is strong and supply weak, prices rise. US and Chinese demand, the principal driving forces, are expected to continue to grow.

“World supply is tight. Difficulties in major producers such as Nigeria and Venezuela add to short-term pressures but the longer-term picture should be of concern to the Western world.”