Serinus Energy plc (LON:SENX) has announced the release of its interim results for the three months ended 31 March 2021.
HIGHLIGHTS
Operational
· Serinus Energy plc and its subsidiaries (“Serinus”, the “Company”, or the “Group”) have continued to operate safely and effectively through the COVID-19 pandemic, with the successful implementation of operational and monitoring protocols to ensure the health and safety of our employees.
· As announced on 23 February 2021, the Company drilled and completed the M-1008 well. The well was subsequently brought on production on 28 February 2021. The well flowed on test at 4.0 MMscf/d (approximately 667 boe/d) from two perforated zones and has been tied into the Moftinu Gas Plant.
· Serinus is well advanced with construction of the access road and the wellhead and tubulars have been ordered for the Sancrai-1 well. The rig tendering process is underway and the Sancrai-1 well is expected to spud by the end of June.
· The Group has received approval from the working interest partner in the Sabria field in Tunisia to implement the first artificial lift program which is expected to be initiated later in the year.
· The Company has contracted with suppliers to undertake the compression project on the Moftinu field, which is intended to stabilize and extend existing production. Compression on the first well is targeted in the coming months in conjunction with a planned gas plant maintenance shut down.
· Production for the period averaged 2,097 boe/d, comprising:
o Romania – 1,495 boe/d.
o Tunisia – 602 boe/d.
o Production has increased in Tunisia, showing the positive effects of the workover program.
· The Group exited 31 March 2021 with a production rate of 2,178 boe/d, with a March 2021 average of 2,240 boe/d.
Financial
· The Group continued to see a strong recovery in prices, with net realised price of $40.16/boe, comprising:
o Realised oil price – $54.03/bbl.
o Realised natural gas price – $5.98/Mcf.
· The Group’s operating netback for the three months ended 31 March 2021 was $23.90/boe, comprising:
o Romania operating netback – $26.23/boe.
o Tunisia operating netback – $18.33/boe.
· Funds from operations for the three months ended 31 March 2021 were $2.4 million.
· Capital expenditures of $3.5 million, comprising:
o Romania – $3.0 million, related to the drilling, completion and tie- in of the M-1008 well and preparation for Sancrai-1.
o Tunisia – $0.5 million, related to workovers in Sabria and Chouech.
· EBITDA for the three months ended 31 March 2021 was $2.6 million.
· Cash balance as at 31 March 2021 was $5.3 million.
