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Zephyr Energy PLC shares slumped on Tuesday as it said 2025 was an ‘extremely active year’ for the firm. Shares in Zephyr Energy closed down 15% at 2.35 pence on Tuesday in London. The oil and gas company said production from its non-operated asset portfolio averaged 925 barrels of oil equivalent per day in the third quarter, up from 632 boepd in the previous quarter. The firm said this demonstrates the impact of the $7.3 million acquisition of accretive production assets in August, which was offset by the ‘standard decline’ of the existing non-operated portfolio. During the third quarter, Zephyr said it hedged a total of 24,000 barrels of oil at a weighted average price of $65.18 per barrel. It said it continues to actively manage its non-operated asset portfolio to generate value for shareholders. ‘Since the completion of the acquisition, the company has evaluated the incremental acreage to assess its current and future value potential. In parallel with this internal valuation process, the company received an unsolicited offer for a minority of the newly acquired acreage in the Powder River Basin, Wyoming,’ Zephyr said. The firm said it has closed a transaction to sell a minority of the acquired acreage in Wyoming for $1.1 million. It noted that it has not sold any existing production as part of the transaction. The firm said it has also sold small, operated assets in North Dakota, Wyoming and Colorado for $1.5 million. Zephyr said it has extended the initial six-month term with a US based capital provider focused on the energy sector. It added that it has completed the annual renewal of its $15.2 million revolving credit facility through to December 16, 2026. It said the fixed interest rate on the facility was reduced to 9.0% from 10% as part of the renewal. ‘2025 was an extremely active year, during which we successfully drilled, completed and tested a highly encouraging well on our Paradox acreage, and subsequently received a significant upgrade to our reserves and resource estimates. We also continued to grow our non-operated portfolio via acquisition and third-party investment, and I am pleased to see both increased production and the delivery of additional value through the divestment of non-core acreage and operations,’ said Chief Executive Colin Harrington. ‘I believe 2026 will bring the next significant phase of growth for Zephyr as we utilise our strong foundation to create value for shareholders. Interest in the western US gas and oil markets markedly increased during 2025, and the company is encouraged by its ongoing discussions regarding the acceleration of Paradox development activity.’ Copyright 2025 Alliance News Ltd. All Rights Reserved.
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