It's good news all round for Egdon

Egdon Resources, a hydrocarbon explorer and producer, saw production, revenues and profit rise for the year ended 31 July.

The number of barrels of oil equivalent rose 73% from 27,056 to 46,919 year-on-year, leading to revenues of £2.38m, a 90% rise compared to the previous year (2010: £1.25m).

The firm also saw a significant rise in profits to £4m (2010: £0.24m), equivalent to earnings per share of 3.12p, compared to 0.29p the previous year.

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Chairman Philip Stephens said: "I am pleased to be able to report good progress during the year with year on year production up despite frustrations caused by delays to the start of production at the Kirkleatham and Ceres gas fields.

"We expect production for the coming period to be around 400 barrels of oil equivalent per day and are planning to participate in up to 12 wells over the next 18 months targeting 33 million barrels of oil equivalent.

"Our strategy remains the same. We aim to develop a full cycle onshore exploration and production business with the growing revenue stream from oil and gas production being reinvested to facilitate growth in the underlying asset value of the business."

Cash at the end of the period was also higher at £3.69m compared to £2m the previous year, however the directors have not recommended a dividend.

The share price rose 3.7% to 14p by 15:18.

NR