Ithaca Energy has reported a loss after tax of $121 million as result of a $203 million post-tax impairment charge arising from lower forecast future oil and gas prices.
Ithaca Energy has chipped away at its record high debt while posting strong third quarter results.
The investment arm of Israeli gas firm Delek Group has acquired an almost 20% stake in Ithaca Energy for $66million. The deal underlines investors still see value in North Sea related businesses, despite a slump in oil prices and high operating costs in the region.
Ithaca Energy said it expects to begin production from its North Sea Greater Stella field early next year.
Ithaca Energy has sold its Norwegian exploration business for $60million. MOL Plc bought Ithaca Petroleum Norge for an initial $60million price tag. However, depending on how successful the discoveries drilled on Ithaca Norge's existing licence portfolio between 2015 and 2017 are, MOL could pay future “bonus payments” of up to $30million to Ithaca.
Independent oil and gas explorer Ithaca Energy saw its share price plummet 11% on Friday after its development partner said delay in delivering a production vessel would hit its key North Sea field.