Panoro Energy has published its financial results and operational updates for Gabon and Tunisia for Q3 2020. The total revenue for the period under review is $7.59 million. The release stated that the company has discontinued its Aje operations in Nigeria due to divestment agreement, pending completion, and excluded from continuing activities.

Below are highlights from the report, as stated by Panoro:

Financial Highlights

• Gross revenue excluding hedging income from continuing operations1 of USD 16.1 million for the first nine months of 2020 derived from five international and five domestic oil liftings
• Eightfold increase in EBITDA in 3Q20 versus 2Q20, reflecting higher oil prices realised despite higher operating costs linked to workovers in Tunisia
• Operating cost of around USD 17 per barrel of oil produced for the nine months to 30 September 2020 impacted by high levels of workover activities in Tunisia
• Net income after tax for the nine months to 30 September 2020 of USD 1.2 million, principally from realised and unrealised gains on crude oil hedges of USD 8.6 million
• Capital expenditure of USD 10.2 million year to date (USD 1.2 million for the third quarter), largely completing planned spending for 2020
• Cash balances of USD 15.6 million at 30 September 2020 (30 June 2020: USD 19 million) including cash held for bank guarantee
• Receivables from crude oil sales were USD 4.7 million at 30 September 2020 (30 June 2020: USD 4.3 million)
• Debt of USD 21.9 million (30 June 2020: USD 22.8 million), with USD 3.6 million having been repaid in the nine months to 30 September 2020

Operational Highlights

• Group net production of 2,117 bopd for Q3 2020, down slightly on Q2 due to announced pump replacements during the quarter in Tunisia
• Production and lifting operations maintained and largely unaffected through the crisis
• Health and Safety systems and protocols proved resilient

Gabon

• In Gabon, quarterly production of 15,449 bopd gross on average, slightly below last quarter’s record high, with peak production levels exceeding 20,000 bopd
• At Dussafu, seismic reprocessing completed, potential for material increase in hydrocarbon volumes at Hibiscus up to three times as large
• Material cost and time savings through an alternative development plan for the Hibiscus/Ruche area using jack-up rigs in place of a wellhead platform
• $100 million gross in capital savings as compared to previous concept
• Break-even for next development phases of approximately $25 per barrel
• One crude oil lifting in the third quarter, sold at $46 per barrel with operating costs of $19.6 per barrel

Tunisia

• 5,000 bopd gross target achieved during October and current production steady at these levels
• Tunisian quarterly production of 3,261 bopd gross on average, with production being impacted by replacement of two ESPs
• Guebiba 10 side-track successful, confirmed oil in two reservoirs, on production in lower Bireno interval with highly productive Douleb to be produced in the future
• Multiple workover activities performed during quarter and continuing into Q4, all completed safely and without incident

Two liftings, one international and one domestic, totalling 104,705 bbls during the quarter

To read the full report and the comments of the CEO of Panoro, ohn Hamilton, click here