The Scotsman

Faroe Petroleum eyeing deals after earnings more than triple

- By EMMA NEWLANDS

Oil and gas company Faroe Petroleum has deal activity in its sights after seeing its underlying earnings soar in 2017.

The Aberdeen firm’s core earnings amounted to £82.2 million from £25.8m in the previous year. It said it saw “excellent” production performanc­e and progress in high-quality developmen­t projects, also completing its first bond issue in November.

However, the independen­t firm, which focuses mainly on exploratio­n, appraisal and production opportunit­ies in Norway and the UK, also noted that average 2017 economic production hit 14,349 barrels of oil equivalent per day (boepd), down from the 17,395 seen in 2016, which reflected suspended production from Njord and Hyme last year and natural decline in other fields.

Chief executive Graham Stewart said 2017 marked a further “significan­t” period for the company, during which it continued its evolution into a full cycle exploratio­n and production business. “Opportunit­ies to accelerate further growth through potential value-accretive acquisitio­ns and disposals also continue to be a major focus for the company going forward,” he said. ● North Sea explorer Enquest saw both its top and bottom line drop last year. The group, which delivered the Kraken project in the North Sea on schedule, said revenue reached $635.2m (£453.8m), down from $849.6m, while core earnings fell to $303.6m from $477.1m.

 ??  ?? 0 ‘Significan­t’ period: chief executive Graham Stewart
0 ‘Significan­t’ period: chief executive Graham Stewart

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