Bayfield Energy, an upstream oil and gas exploration and production company, has agreed with the Trinidad state oil company, Petrotrin, on revisions to the crude oil sales agreement governing the sale of Bayfield's share of production from the Trintes field, offshore Trinidad.
The revisions are the result of developments in crude markets which mean West Texas Intermediate crude, which is a commonly used marker for crude sales in the Caribbean market, is no longer considered by the two parties to be a fair reflection of the market value of Bayfield's crude.
The sales contract will now adopt Brent crude as the reference price and have adopted a revised sales price at a discount of 9.5%, rather than the 17.5% previously, for a period of a minimum of 12 months as of August 1st 2012.
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Bayfield Energy Chief Executive, Hywel John, said: "It is encouraging to report on the success of our initiatives to improve cash flow and manage our financial commitments to enable us to establish a sound platform from which to continue our exploration programme."
The share price rose 7.83% to 31p by 09:52.
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