Tanzania-Focused Wentworth's Loss Deepens
East Africa gas producer Wentworth Resources' loss widened in first half 2018 to $6.5mn, versus a net loss of $1.66mn in 1H2017, it said August 16.
"The first half of 2018 has seen Wentworth make material progress on Mnazi Bay production growth, receipt of revenues and long term receivables, deleveraging of our balance sheet and redomicile of the company [from Calgary] to the UK," said its CEO Eskil Jersing who was appointed June 25. The 1H2018 loss included a non-cash deferred tax expense of $8.68mn.
The company said it received record Mnazi Bay 1H2018 gas sales revenue of $10.79mn, 112% higher compared to its H1 2017 figure of $5.1mn, and exited 1H2018 with a record daily high production figure of 89mn ft3/d (gross) at the Mnazi Bay field on June 30. Mnazi Bay licensees are the field's operator Pertamina-owned Maurel & Prom with 48.06%, Wentworth 31.94% and Tanzanian state TPDC 20%
Early this month, Wentworth said average July 2018 gross production from Mnazi Bay was even higher at 90mn ft3/d thanks to ramp-up of two nearby new gas-fired power plants. Average gross (at 100% equity) daily gas production in 1H2018 increased by 115% year on year to 79.3mn ft3/d.
Security concerns in northern Mozambique
Onshore northern Mozambique, Wentworth invested almost $1mn exploring its Tembo appraisal license, for which it was granted a 12-month extension by Mozambican upstream regulator INP June 16 2018. The company cautioned that, during 1H2018, "above ground security continued to be a concern, especially in the Mocimboa da Praia and Palma regions; the Company continues to monitor the situation."
In June, the US embassy in the country issued a security alert June 8 to its nationals; Anadarko has begun some site preparation at Afungi in the region, where it is planning a large liquefaction complex.