SOCO’s chief executive said its “tenacity” during the downturn had paid off in the form of shareholder dividends.
The firm increased its return to shareholders to $21million via a final dividend of 5 pence per share for 2016. Its half year-end cash and liquid investments balance stand at $132million with no debt. Its operating costs are just less than $13 a barrel.
Chief executive Ed Story said: “Underpinned by financial strength that has endured low oil prices and harsh macro-economics, whilst delivering sustained cash returns to shareholders, our tenacity was rewarded on many fronts in the first half of 2017.
“The $42.7m payable associated with the 2005 sale of our Mongolia assets was recovered in full, whilst in Vietnam, the TGT Full Field Development Plan was formally approved, additional water-handling construction commenced and development infill drilling was completed on time and within budget. In Congo (Brazzaville), favourable terms on the Lidongo Permit were achieved, with potential for three further permits to be agreed. We remain confident that, as we focus on strategically reshaping the business and growing our portfolio, we will continue to deliver substantive value to shareholders.”
SOCO’s 2017 production guidance range is maintained at 8,000 to 9,000 BOEPD, reflecting planned shut-ins later in the year.
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