Maurel et Prom’s income increased in 2019 as a result of increased production, while the sales price fell marginally.
Income from production was reported at $519 million, up 25%. Gabon production averaged 19,828 barrels per day for Maurel’s 80% stake, an increase of 22% from the previous year. Output rose as pipeline constraints were resolved.
The French company also completed its acquisition of stakes in two Angolan licences, Block 3/05 and 3/05A, which provided 4,484 bpd from August, or 1,879 bpd over the year.
Gas production in Tanzania’s Mnazi Bay was 33.8 million cubic feet (957,000 cubic metres) per day of gas to Maurel’s 48.06% stake. Sales fell by 15% from 2018 in Tanzania because of reduced gas demand in the first half of 2019, owing to competition from hydropower.
“The marked increase in our production in 2019 is of course a positive signal; it demonstrates the commitment and dedication of our teams and it is set to continue in 2020 and 2021,” said Maurel’s CEO Olivier de Langavant. “Our efforts are currently focused on increasing the value of our assets through our ongoing quest for efficiency and the optimisation of operations and processes, as well as delivering on our exploration programme.”
A more detailed strategic vision will be provided in April 2020, he said.
While production increased, the average sales price slipped by 2% to $67.2 per barrel, from $68.8 per barrel.
Drilling is under way at the Kama-1 exploration well, on Gabon’s Kari permit. Results are expected soon and will be followed by the drilling of another exploration well on the Nyanga-Mayombé licence.
As of the end of the year, Maurel’s 2P reserves were 191.9 million barrels of oil equivalent. This was dominated by Gabon, where reserves were 138.6mn barrels, while Angola contributed 14.8mn barrels.