Gasol today announced its preliminary accounts for the year ended 31 March 2011.
HIGHLIGHTS
– The Group has worked on the development of the 2010 Strategic Review into a business plan with the continuation of existing projects to monetise stranded gas reserves in the Gulf of Guinea through smaller scale LNG projects whilst also seeking incremental returns from gas-to-power projects
– Since the year-end, Gasol has entered into an exclusive agreement to negotiate the terms to acquire all of the gas in the Nigerian Offshore Licence area OML 114. This gas field has proven reserves which, early reports indicate, would support an LNG monetisation solution of an appropriate size for our strategy
– The Group negotiated a revised agreement on its gas project in Equatorial Guinea following the year-end, and as part of the revised terms Gasol, through its SONAF joint venture partnership with SONAGAS, has been appointed as an agent for the purpose of developing a market in West and Central Africa for purchasers of liquefied natural gas produced by the Equatorial Guinea LNG project
– Losses reduced to £2.38m (2010: £5.08m) and cash expenditure on operating activities reduced to £1.73m (2010: £3.84m) as the full year benefit of the recent cost cutting has taken effect
– Successfully secured £4.0m of financing in the financial year, which was used to refinance approximately £2.2m of existing debt plus interest and to provide new working capital. A further £1.0m loan facility was raised shortly after the financial year end.
Ewen Wigley, COO Gasol , commented:
“ Gasol has spent the last year building on the results of the Strategic Review and developing its business plan. The announcements regarding OML 114 and Equatorial Guinea represent important building blocks for the new business. I would like to thank our staff and partners for their continued hard work and I look forward to their support as the Company progresses its projects .”
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Source: Gasol, September 7, 2011;