Bahamas Petroleum advances on Govt go-ahead for drilling

Shares in AIM-listed Bahamas Petroleum soared on Monday following the news that the government of the Bahamas had decided to permit the company to undertake exploration drilling ahead of any referendum process.

Shares in AIM-listed Bahamas Petroleum soared on Monday following the news that the government of the Bahamas had decided to permit the company to undertake exploration drilling ahead of any referendum process.

The company said the government's decision provided "clarity on the timing and process of exploration".

The exploration drilling was designed to establish the commercial viability ahead of a referendum process on the future of oil development, allowing the people of The Bahamas the data from which to make an informed decision, the company said.

The initial drill location contained "significant prospectivity at multiple stratigraphic horizons", which had been further derisked based upon 3D seismic data interpretation, it added.

A statement issued by the company said: "Bahamas Petroleum Company notes and welcomes the announcement made on 10 March by the Minister for Environment and Housing which sets out the decision of the government of The Bahamas to defer any referendum on the future of oil development in The Bahamas until after the exploration drilling phase, allowing the Bahamian people the data from which to make an informed decision on the framework for energy industry activities.

"With its decision to proceed with exploratory drilling, the government has demonstrated a responsible approach both to the industry and to potential future investors. Any subsequent referendum will only be conducted once the presence and scale of petroleum reserves is established."

Bahamas Petroleum's share price was up by 36.84% to 6.50p at 08:55 on Monday.

MF

Recommended

The MoneyWeek Podcast: picking stocks is fun, but you need to do your homework
Investment strategy

The MoneyWeek Podcast: picking stocks is fun, but you need to do your homework

John Stepek talks to Steve Clapham, investor, analyst and author of The Smart Money Method, about the dangers in picking individual stocks and why you…
8 Apr 2021
BP looks set to return more money to shareholders as it beats expectations
Energy stocks

BP looks set to return more money to shareholders as it beats expectations

Oil major BP is to embark on a share buyback programme after significantly reducing its debts. Saloni Sardana looks at what it means for your portfoli…
6 Apr 2021
Deliveroo has hit the market – but it’s not getting the warmest welcome
UK stockmarkets

Deliveroo has hit the market – but it’s not getting the warmest welcome

Food delivery company Deliveroo made its debut on the stockmarket this morning. But with the share price sliding by 30% straight away, it’s not made t…
31 Mar 2021
Three stocks to buy now that will come back stronger after Covid-19
Share tips

Three stocks to buy now that will come back stronger after Covid-19

Professional investor Ed Wielechowski of Odyssean Capital, chooses three compelling stocks that should thrive in a post-pandemic world.
29 Mar 2021

Most Popular

“Joke” cryptocurrency dogecoin goes to the moon. What’s going on?
Bitcoin

“Joke” cryptocurrency dogecoin goes to the moon. What’s going on?

Dogecoin – a cryptocurrency created as a joke – has risen by more than 9,000% this year alone. Saloni Sardana looks at how something that began as an …
19 Apr 2021
The FTSE 100 has clawed back above 7,000 – how much higher can it go?
UK stockmarkets

The FTSE 100 has clawed back above 7,000 – how much higher can it go?

The FTSE 100 index has risen to over 7,000 for the first time in over a year – it now sits just above where it was in 1999. But its era of neglect cou…
19 Apr 2021
The bitcoin bubble will burst: here’s how to play it
Bitcoin

The bitcoin bubble will burst: here’s how to play it

The cryptocurrency’s price has soared far beyond its fundamentals, says Matthew Partridge. Here, he looks at how to short bitcoin.
12 Apr 2021