- Bass Oil (BAS) shares have dropped on the back of a somewhat challenging quarter for the company amid sullen oil sales and lower production figures
- For the quarter ended March 31, the company revealed a 24.8 per cent decrease in oil production on the previous quarter to clock in at 21,329 barrels
- Sales revenue also took a hit despite a 45 per cent increase on average oil prices, falling 9.2 per cent on the previous quarter and 37.3 per cent year on year
- Despite falls across these metrics, Bass Oil affirms it remains debt-free and is generating positive cash flows on the back of increased oil prices and low operating costs
- Bass Oil shares closed the day down 25 per cent at 0.3 cents
Bass Oil (BAS) shares have dropped on the back of a somewhat challenging quarter for the company amid sullen oil sales and lower production figures.
Bass Oil’s quarterly report for the period ended March 31 revealed net oil production was down 24.8 per cent to 21,329 barrels compared to the previous quarter and 39.9 per cent on the previous year.
Net oil sales also took a hit clocking in at 21,807 barrels for the quarter, representing a 22.6 per cent decrease on the previous quarter and a 38.9 per cent decrease on the prior year.
Sales revenue fell 9.2 per cent on the previous quarter and 37.3 per cent year on year despite average oil prices fetching a 45 per cent increase at US$56.73 (A$72.65) during the period.
The Australian-listed Indonesian oil producer has a 55 per cent operator interest in the Tangai-Sukananti licence South Sumatra Basin.
Despite falls across these metrics, Bass Oil affirms it remains debt-free and is generating positive cash flows on the back of increased oil prices and low operating costs.
As of March 31, 2021, Bass reported cash reserves were US$113,000 (roughly A$144,715), representing a 10 per cent increase on the previous quarter.
Based on current spending levels, this figure is enough to see the company through the next three quarters.
“Higher oil prices along with the successful conclusion to an Integrated Reservoir study, have given the Company the confidence to commence planning for its 2021 drilling program,” Bass Oil’s Managing Director Tino Guglielmo commented.
“The drilling program contains the firm Tangai 5 high rate development well followed by two contingent Bunian wells. Tangai 5 is expected to spud in late 2021.”
Bass Oil shares closed the day down 25 per cent at 0.3 cents.