StockMarketWire.com - Oil and gas producer and explorer Columbus Energy said fourth-quarter revenues were weighed down by falling production and lower oil prices.

Average production for fourth-quarter, slipped to 670 barrels of oil down from 735 in the prior quarter.

The company blamed the fall in output on a 'very challenging' fourth quarter as adverse weather conditions in Trinidad hampered operations.

Gross revenues fell to $3.23m in the quarter, from $3.85m the previous quarter, as lower oil prices and reduced average production weighed.

Average realised oil prices fell to $57.58 a barrel in the fourth quarter, from $60.90 in the third.

Despite the operational woes, year-end target of peak production of 1,000 barrels of oil per day was achieved with production peaking at 1,021 bopd in late December 2018, compared with 879 bopd in the third quarter, the company said.

The company vowed to focus on a level of production within the 1,021 bopd mark, which it said would optimise profits.

Looking ahead, the company expected to remain operationally cash flow positive despite the recent international oil price reductions, with operational profits forecast to cover all group costs in the first quarter of the year.

'All of our activities in Q4 2018 were undertaken at a time when Trinidad was witnessing the worst weather conditions in many years with record rainfall and resultant floods which impacted the lives of many, said Leo Koot, Executive Chairman of Columbus.

'These conditions severely hampered our operations on a number of occasions, in particular gaining access to our wells which needed operational support to maintain production.'

'Another key focus in the next six months will be the ongoing technical and commercial preparations for the planned drilling campaign in the South West Peninsula, which we plan to commence mid-2019.'


At 9:10am: [LON:CERP] Columbus Energy Resources Plc Ord 0.05p share price was -0.15p at 2.9p



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