News listings
50% off advertising

energy-pedia general news

Mongolia flagMongolia

Central & SE Asia / Australasia >>> Mongolia

Mongolia: Petro Matad announces interim results for the six months ended 30 June 2021

15 Sep 2021

Photo - see caption

Petro Matad, the AIM quoted Mongolian oil company, has announced its unaudited interim results for the six months ended 30 June 2021.

Financial Summary

The Group posted a loss of USD 1.02 million for the 6-month period ended 30 June 2021, which compares to a loss of USD 2.35 million for the same period in 2020. The Company's cash balance at 30 June 2021 was USD 0.40 million (USD 0.38 million in cash and USD 0.02 million in financial assets), which compares to a cash balance of USD 2.08 million (USD 2.07 million in cash and USD 0.01 million in financial assets) on 30 June 2020.

In mid-July the Company successfully raised approx. USD 10 million (net) from strategic placements, which will primarily be used to fund a development work programme designed to bring oil production on stream during the second half of 2022. Funds from the strategic placements will be invested in safe, high yield term deposits until work programme activities ramp up. Petro Matad plans to generate revenue from early production as soon as possible and is working to secure the necessary contracts that will allow this production to get to market.

The Company continues to manage its costs closely and will maintain a small, focused workforce retaining all of the operational capabilities and experience gained from many years of successful operations in Mongolia.

Operational Highlights during 2021

  • The Block XX Exploitation Licence for the development of the Heron oil discovery was granted on 5 July 2021 for a period of 25 years which is extendable up to a further 10 years.
  • The retained Exploitation Area totals 218 km2 which contains not only the entirety of the Heron structure but includes the entire extension into Block XX of the proven and producing Toson-Uul Basin and a number of defined prospects and leads defined therein. As a consequence, the area offers substantial follow-up potential on appraisal and near field exploration opportunities with high chance of success and low drilling costs.
  • Mongolia has adopted a Covid-19 mitigation strategy that ensures high vaccination rates are achieved and are combined with social distancing guidelines and other mitigation efforts. Strategic businesses (of which Petro Matad is one) continue to operate effectively and we believe this will continue to be the case moving forward.
  • Procurement processes for the 2022 operational programme are well underway. These are being conducted in cooperation with industry regulator the Mineral Resources and Petroleum Authority of Mongolia. The Company plans to be in a position to award key contracts well in advance of the start of the development drilling season in Q2 2022 and so enable operations to commence immediately thereafter.
  • The Company is also tendering for the acquisition of a 3D seismic survey to complete the 3D coverage across the entire Exploitation Area. The c.200km2 survey may be recorded this winter or next, depending on crew availability, ongoing cross border Covid-19 restrictions and pricing. The locations chosen for drilling in 2022 are within the footprint of the existing high quality 3D seismic over the northern portion of the Exploitation Area, so the exact timing on the new 3D survey is not critical.

Mike Buck, CEO of Petro Matad, said:

'With the Exploitation Licence successfully secured, we are focused on completing all financial and logistical arrangements to ensure an active operational programme in 2022 with the goal of getting the Heron discovery on stream.

'As we enter the winter months in Mongolia, work will continue at pace to secure all the necessary services and contracts for our production to get to market. I am pleased with the progress we have made in the first half of 2021 and look forward to updating our shareholders further in the coming months.' 

Original article link

Source: Petro Matad

Bookmark and Share

A global information service for upstream oil and gas opportunities - divestitures, farmins and farmouts and licensing rounds.

Subscriber Only Deals

Current Deals

Current Upstream Deals: 350

Completed Deals

Completed Upstream Deals: 6179

Company Profiles

Current Company Profiles: 2797

Corporate Activity

Current Corporate Activity articles: 3772

Companies Looking

Current number of articles: 448

Company Sales

Current Company Sales articles:1496


Current Geostudies articles: 819

How to subscribe

energy-pedia Jobs

RSS Feed Widget
See all jobs...

energy-pedia Databank

The energy-pedia databank contains links to information on the world financial and energy markets, including share prices, oil and gas prices and the global stock exchanges. Read more...

energy-pedia Glossary

A list of commonly used terms in the oil and gas industry. Read more...


Subscribe to the FREE
energy-pedia Daily Newsletter

Rose & Assocs 149
SLR Consulting logo
KL Publishing
Union Jack Oil 149
Government of South Australia
About energy-pedia

energy-pedia news is a FREE news service written and edited by E and P professionals for E and P professionals.

We don't just report the news, we give you the technical background as well, with additional information derived from our unique energy-pedia opportunities service.
Contact us

energy365 Ltd

238 High Street
London Colney
St Albans

Tel: +44(0)1727 822675