Afren shares up on production announcement

The FTSE 250 oil company Afren has seen its share price edge higher in morning trading following the announcement that it expects to hits production target of 50,000 barrels of oil per day by the end of 2011.

The company, which has significant operations in west and east Africa, as well as in the Kurdistan region of Iraq saw revenues rise from $265.7m in the first nine months of 2010 to $312.2m at the some point this year.

Profits before tax rose to $113m compared to $75.3m in 2010.

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Commenting on today's results Afren's chief executive Osman Shahenshah said: "The company remains in a strong position financially, with significant cash resources available and a profitable and growing production base underpinning an internally funded forward work programme."

At 11.20am shares were trading up 0.93% at 87.25p. Over the last 12 months however Afren has lost 31% of its value.

BS