Amerisur Resources share price rises as profits soar on stronger oil prices
The UK-headquartered oil and gas company saw its share price climb more than 1.5% on Tuesday morning after recording a sharp uptick in revenues and profits supported by higher production output and stronger oil prices.
Amerisur Resources saw its share price edge higher on Tuesday morning after posting a sharp increase in revenue and profits in its full-year 2018 results.
Its strong set of results were supported by higher production and increased oil prices, with the company seeing average output increase 10% to 5,356 barrels a day, while oil prices averaged $64.80 a barrel, up from around $50 levels seen in 2017.
Amerisur results: key figures
In what has been a strong 12 months of trading the company saw a significant increase in revenue growth of 28% to $108.2 million, up from $84.7 million last year.
Meanwhile, the company’s adjusted EBITDA rose by 72% to $34 million and its operating profit increased to $11 million, up from just $300,000 last year.
Amerisur invests in exploration
The growth the company has seen over the last 12 months is the result of investment in exploration, with Amerisur completing its transformational farm-out deal with Occidental Andina, which allowed the business to deliver a $93.25 million exploration and appraisal programme in the Putumayo.
The company plans to invest a further $35 million in up to 10 new exploration and development wells CPO-5 and the Putumayo targeting gross prospective resources of 145 MMBO.
‘2018 was a year of great achievement for Amerisur,’ Chairman Giles Clarke said. ‘The Board looks forward to 2019 full of confidence.’
‘Production is growing and we have a fully-funded work programme of up to ten wells across CPO-5 in the Llanos Basin and the Putumayo, targeting 145 MMBO of resources,’ he added.
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