The Latin America focused oil and gas firm Geopark Holdings has reduced its production forecast for the full year in response to disappointing drill results in Columbia and Chile.
In the six months to the end of June revenues nearly tripled, from $41.8m in 2011 to $122.7m this year. Oil revenues from Chilean and Argentinean operations increased by 179% to $68.9m. Colombian operations added a further $36.7m.
Total oil and gas production increased 87% to 11,930 barrels of oil equivalent per day (boepd) compared to 6,369 boepd in the prior year.
Subscribe to MoneyWeek
Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE
Sign up to Money Morning
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
However, that's where the good news ends because total production for 2012 is now expected to average around 11-12,000 boepd, significantly less than the forecast released in April.
Geopark blames "issues integrating new acquisitions, tie-in delays and flow rates from discoveries in Colombia being below initial expectations, as well as lower than expected results from drilling activities in Chile."
The Chief Executive, James Park, admitted "drilling results in Chile did not match our historical track record".
The shares were down 11% at 10:11.
-
Parental contributions to kids' university living costs could reach £14,000 a yearParents helping kids with university living costs face contributions of up to £14,000 per year, according to a report from HEPI and TechnologyOne.
-
Rightmove: property asking prices hit record highNews Rising demand for top of the ladder home is boosting asking prices, Rightmove research shows. Is now a good time to sell a property?
