English

Q2 2015 Financial & operational report

Report this content

Gripen Oil & Gas AB (publ), (GOG), focussed on exploring for and producing oil and gas in Sweden, announces an operational and unaudited financial update for the second quarter ending 30thof June 2015:

FINANCIAL SUMMARY

  • The Group has no revenue to report during the quarter and first six months of 2015, result after tax for the Gripen Group’s second quarter amounted to SEK -1.0 million       (-1.2 million) with a result per share of -0,01 (-0,01).
  • Result after tax for Gripen Group’s first six months 2015 amounted to SEK -1,9 million   (-2,1) with a result per share for the period of -0,02 (-0,02).
  • Approximately SEK 1.8 million (10.1) in cash at the end of June 2015.
  • The expenditure rate of the Group has been reduced significantly during the second quarter.

OPERATIONAL SUMMARY

The oil and gas industry is facing difficult conditions as commodity prices remain at their lowest levels for many years. Gripen Oil & Gas AB (publ) has recognised the need to minimise spending and preserve capital in these difficult conditions. Our approach to managing our cash means we have reduced our exploration activity for 2015.  Despite these factors we have completed all the necessary work to execute our exploration programme when conditions improve.

The collapse in oil and gas prices presents GOG with opportunities as companies dispose of assets as a result of lack of funding and weak balance sheets. We have been actively reviewing producing opportunities in Q2. We have carried out extensive commercial and technical analysis to determine the most attractive producing assets.  In addition to this analysis we have put in place mechanisms to fund any acquisitions.

We have taken a step change at GOG by applying for 4,250km2 of offshore blocks in Lithuania. The value of our Lithuanian application was reinforced by Lukoil’s announcement in June 2015 of significant discoveries in Kaliningrad, adjacent to our application areas.

1.    Östergötland Activities

The analysis of the EWT results continues. This work will be used to design and implement a 10 well pilot development, subject to the necessary approvals.

2.    Gotland Activities

The Gotland municipality has given permission to conduct our drilling campaign on Gotland.

3.    Lithuania

GOG has submitted an application for 4 exploration and production licences offshore Lithuania. The permits cover approximately 4,250km2 in water depths from 10-120 m. The work already carried out by the Geological Survey of Lithuania has identified 20-30 prospects with potential reserves of 20-60 million barrels of oil in each prospect.

4.    New Venture Activity

We are actively screening offshore in the North Sea and onshore opportunities in Europe.

AUDITORS REVIEW

This interim report has not been subject to a special review by the Company’s auditors.

UPCOMING REPORTS
        
Q3 and 9 months interim report 2015:    November 12th 2015
Q4 and Year End report 2015:     February 18th 2016
    

CONTACT:
Stephen Crabtree
T: +46 72 526 69 88
E: info@gripenab.com
Web site: www.gripenab.com

Documents & Links