REG - Deltic Energy PLC - Final Results
17/04/2024 07:01
For best results when printing this announcement, please click on link below:
http://newsfile.refinitiv.com/getnewsfile/v1/story?guid=urn:newsml:reuters.com:20240417:nRSQ8741Ka&default-theme=true
RNS Number : 8741K Deltic Energy PLC 17 April 2024
Deltic Energy Plc / Index: AIM / Epic: DELT / Sector: Natural Resources
17 April 2024
Deltic Energy Plc ("Deltic" or "the Company")
Final Results
Deltic Energy Plc ("Deltic" or the "Company"), the AIM-quoted natural
resources investing company with a high impact exploration and appraisal
portfolio focused on the Southern North Sea ("SNS") is pleased to announce its
audited results for the year ended 31 December 2023 ("FY 2023") and that it
has released an updated corporate presentation. The corporate presentation is
available on the homepage at the Company's website: www.delticenergy.com
(http://www.delticenergy.com/) .
Highlights
· Drilling of Pensacola prospect resulted in the largest discovery in
the Southern North Sea in the last decade, at the upper end of our pre-drill
estimates
· RPS Energy Ltd ("RPS") independently assessed Pensacola on the basis
of a combined gas and oil case, estimating a gross 2C contingent resource of
72.6 mmboe (21.8 mmboe net to Deltic) and in the gas only case gross 2C
contingent resource of 50 mmboe (15 mmboe net to Deltic)
· RPS also estimated a Post tax NPV10 in the combined case of $683m
(gross) or $205m net to Deltic and $663m (gross) in the gas only case or $199m
net to Deltic
· Planning has progressed for a well to be drilled with Shell over the
Selene gas prospect followed by an appraisal well for Pensacola in the second
half of 2024
· Rig contract signed and structured such that both Selene and
Pensacola will be drilled back to back using the Valaris 123, a heavy duty
jack-up rig, expected to commence July 2024
· Success in 33(rd) UK Licensing Round
· Cash position of £5.6 million at 31 December 2023 (2022: £20.4
million) with no debt
· Net cash outflow for the year of £14.8 million (2022: inflow £10.3
million) mainly for funding Pensacola exploration drilling and other
exploration investments
· Completed a farmout of the Selene prospect to Dana Petroleum
post-period end with Deltic fully carried for the estimated cost of the
success case well
Graham Swindells, Chief Executive of Deltic Energy, commented:
"2023 was a transformational year for Deltic following the Pensacola discovery
in the Southern North Sea in February. As one of the area's biggest
discoveries in the past ten years, this was a fantastic result for the Company
and is testament to the hard work carried out in the years leading up to this
point. We continue to prepare for an appraisal well on Pensacola in Q4 this
year, which I believe will take us a step closer towards commerciality. During
2023 we also continued to progress our equally significant Selene exploration
prospect, culminating in an excellent farmout in early 2024. We are now in the
enviable position of drilling two consecutive wells in the second half of the
year, with two world class partners in Shell and Dana."
"I am delighted with the progress that Deltic made in 2023 and firmly
believe we can continue on this trajectory throughout 2024. The UK needs to
bolster its security of energy supply more than ever and I believe that Deltic
will play a key role in this."
For further information please contact the following:
Deltic Energy Plc Tel: +44 (0) 20 7887 2630
Graham Swindells / Andrew Nunn / Sarah McLeod
Allenby Capital Limited (Nominated Tel: +44 (0) 20 3328 5656
Adviser)
David Hart / Alex Brearley (Corporate Finance)
Stifel Nicolaus Europe Limited (Joint Tel: +44 (0) 20 7710 7600
Broker)
Callum Stewart / Simon Mensley / Ashton Clanfield
Canaccord Genuity Limited (Joint Broker) Tel: +44 (0) 20 7523 8000
Adam James / Ana Ercegovic
Vigo Consulting (IR Adviser) Tel: +44 (0) 20 7390 0230
Patrick d'Ancona / Finlay Thomson / Kendall Hill
Chairman's Statement
The past year has seen great advances in Deltic's programme across our assets.
The detail will be covered in the CEO and operational reports but we have made
major strides in our operations, moving assets along as planned when we set up
this exploration business.
Pensacola was awarded to us in a licence round, we worked through its
technical programme and succeeded in bringing in a world class partner, Shell,
who was brought into the licence in 2019. As promised, Pensacola was drilled
and resulted in a significant discovery. Data from drilling showed it to be at
the high end of expectations in terms of volumes of gas discovered. An
appraisal well is planned for the coming months with a contract in place for
rig operations. We await our place in the rig-line and look forward to safe
operations and good results.
Selene has followed a similar path and will also be drilled later this year,
back-to-back with Pensacola, with partners Shell and Dana who will carry us
through the Selene drilling following successful farmout processes.
Progress has been made on other assets in the Deltic conveyor belt towards
farm-out agreements to bring in partners and repeat the process in-line with
Deltic's business plan.
And right at the start of this repeating process, we have achieved success in
the UK's 33(rd) Offshore Licensing Round. Work has already begun to mature
assets identified on these licences; to present them to potential partners and
proceed towards exploration drilling.
Against this background of progress, we and others in our sector are facing
significant headwinds in the political environment in which our business
operates. Various issues have made energy a key policy area and, heading into
an election in the UK, support for our sector appears to have become divided
along party political lines. Some of this is likely pre-election rhetoric but
it has a negative effect on many of our activities and slows decisions with
regulators. At Deltic, we remain focussed on moving our assets along the
conveyor belt as quickly as possible.
We and others in the industry are engaging with policy makers across the
political spectrum to emphasise the importance of our sector and to show that
we at Deltic and colleagues across the sector are ready to play our part in
delivering the energy needed, delivering the energy transition and protecting
jobs, communities and treasury receipts.
Our message is simple: we will need oil and gas in our energy mix for decades.
A domestic supply is better for jobs, better for treasury receipts, better for
energy security and better for emissions compared with imported supplies.
Mark Lappin
Chairman
16 April 2024
Chief Executive's Statement
2023 - a transformational year
2023 was a transformational year for Deltic. The Company completed drilling of
its first exploration well on the Pensacola prospect which was at the upper
end of pre-drill estimates and resulted in the largest discovery in the
Southern North Sea in the last decade. Following the Pensacola discovery, the
Company has continued to progress planning of the next well to be drilled with
Shell over the Selene gas prospect as well as the appraisal well for Pensacola
which means we are now in the enviable position of drilling two consecutive
wells in the second half of 2024. Further success in the UK's most recent
licensing round has also enabled Deltic to further expand and enhance the
Company's asset portfolio and potential future drilling opportunities in line
with the Company's strategy, with the Company awaiting the outcome of the
third and final tranche of licence awards.
Pensacola - largest discovery in Southern North Sea in a decade
Drilling at Pensacola completed in early 2023, resulting in a major discovery.
The somewhat unexpected discovery of light oil also added an extra dimension
to the Pensacola discovery. Post discovery, the partnership undertook an
extensive process of post-well analysis which has allowed us to better
quantify the estimated volumes of gas and oil at Pensacola and support
progression to the appraisal phase.
Following completion of this work, at the end of 2023 the Joint Venture
finalised and confirmed the positive well investment decision and approved the
2024 work programme and budget that allows for drilling the Pensacola
appraisal well in late 2024.
The Company subsequently engaged RPS Energy Ltd ("RPS") to carry out an
independent assessment and valuation of Pensacola. RPS assessed Pensacola on
the basis of a combined gas and oil case and a gas only case. In the
combined case, the gross estimate of 2C contingent resource was 72.6 mmboe
(21.8 mmboe net to Deltic), towards the upper end of our pre-drill estimates
and in the gas only case the gross estimate of 2C contingent resource was 50
mmboe (15mmboe net). RPS also estimated a Post tax NPV10 in the combined case
of $683m (gross) or $205m net to Deltic and $663m (gross) in the gas only case
or $199m net to Deltic. We expect these potential development scenarios to be
further refined and optimised following appraisal and as we continue to work
with our partners at Shell and ONE-Dyas to mature the opportunity.
In the meantime, RPS's work has further validated our technical assessment of
the Pensacola discovery and confirms Pensacola's position as the largest
discovery in the SNS in a decade. It is also one of the most significant
discoveries in the North Sea in many years given its potential to lead the
development of the Zechstein geological play in the SNS.
This well has been a very positive step for the Company and encapsulates
Deltic's model given the Company applied for the licence, identified the
prospect, and attracted world class partners which in turn has led to seismic
acquisition followed by successful drilling. This moved the opportunity from a
pure exploration prospect to a valuable appraisal and development asset.
Pensacola appraisal well planning is now at an advanced stage. The geophysical
site survey was completed in March 2024, with the geotechnical survey
ongoing and planned to be completed by the end of April 2024. The rig contract
was entered into in February 2024, with the appraisal well scheduled to be
drilled in Q4 this year, immediately after the Selene well.
We look forward to working with our partners Shell and ONE-Dyas throughout the
rest of 2024 to continue moving this exciting asset through the appraisal
phase and onward towards development.
Selene - largest untested structure of its kind in the SNS
Having achieved success at our first well at Pensacola, we are increasingly
excited about the potential to add a further discovery with the imminent
drilling of our next well at Selene. Selene is another similarly sized
prospect with gross P50 Prospective Resources of 318 BCF (gross) (c.53 mmboe)
and which we believe is the largest untested known structure in the Leman
Sandstone play fairway of the SNS. Selene is an established, well understood
play, with a high (70%) geological chance of success, in close proximity to
existing infrastructure which has the ability to be brought onstream
relatively quickly following discovery.
With drilling scheduled for July 2024, the planning process for Selene is in
its final stages. The geotechnical and geophysical site surveys on the
preferred surface location of the well were successfully completed and the
results incorporated into the operational drilling plan.
The rig contract mentioned earlier has been structured such that both Selene
and Pensacola will be drilled back to back using the Valaris 123, a heavy duty
jack-up rig. This also creates the potential for operational efficiencies
associated with being part of an extended programme of wells.
Having made a major discovery at our first well at Pensacola, we are excited
about drilling this high impact prospect and having the potential to add
another discovery to Deltic's asset base. Accordingly, we look forward to
progressing through the final planning phase towards the commencement of
operations.
Farm out success - Dana Petroleum (E&P) Ltd
As part of the process to mitigate cost exposure to its upcoming wells, the
Company embarked on a process to farm out an element of equity in its Selene
and Pensacola licences while bringing in further high quality partners. In
February this year, we were pleased to announce a transaction to farm-out 25%
of Selene to Dana Petroleum (E&P) Ltd ("Dana"). In combination with the
existing Shell carry, this transaction, effective from 1 January 2024, has
resulted in Deltic retaining a 25% interest in Licence P2437 and having no
exposure to 2024 drilling and testing costs up to a gross cap of $49m which
exceeds the operator's current success case well cost estimates, with any
costs in excess of these caps being split along equity lines.
Having received consent from Shell and the standard NSTA regulatory consents,
we were pleased to announce completion of the transaction on 3 April 2024.
We are delighted to have strengthened the Selene joint venture with the
addition of an established operator like Dana, who has a long history of
successful exploration and development in the SNS. As a result of the
transaction, Deltic retains a material stake in one of the highest impact UK
exploration wells planned in 2024 while effectively eliminating our estimated
success case cost exposure to the exploration well.
This success further demonstrates Deltic's ability to attract world class
partners and our priority now is to build on the Selene farm out success with
Pensacola. We are progressing an active and ongoing process to realise value
and farm down our Pensacola discovery with the aim of bringing in another high
quality partner and reducing cost exposure to the well.
Other assets
Capricorn Joint Venture
Despite having brought Capricorn into our five contiguous licences in an
underexplored area of the SNS as recently as 2021, new ownership, management
and a change in strategy saw Capricorn deciding to focus on its Egyptian
assets, resulting in their withdrawal from each of these UK exploration
licences. While Deltic chose to retain the two most prospective licences,
being P2567 (Cadence) and P2428 (Cupertino), the relatively short time
remaining on these licences and the requirement to commit to a well meant that
both of these licences were relinquished.
Despite this, the extensive work programme undertaken has advanced our
understanding of the potential of the area and further demonstrated the
excellent prospectivity, particularly on the two most advanced licences such
that the Company will consider reapplying for these licences in any upcoming
licensing round.
Syros Licence (P2542)
A farm out process remains ongoing in relation to the Company's Syros prospect
which is located in the Central North Sea ("CNS") in close proximity to the
Montrose-Arbroath fields, currently held by Ithaca and Repsol. The Company is
in dialogue with potential counterparties with a view to securing a farm out
before the end of this year when a well commitment is required to progress to
the next phase of the licence.
Expansion of asset portfolio
2023 provided Deltic with the opportunity to further enhance its portfolio of
licences through the UK's 33(rd) Offshore Licensing Round. The Company has
achieved further success with the third and final tranche of awards still to
be announced. In particular, we are pleased to have been re-awarded the Dewar
licence which is an attractive low risk infrastructure-led exploration
opportunity in the CNS and look forward to the outcome of the remaining
awards.
These awards are a direct result of the hard work that our technical team put
into the application process and the blocks awarded have the potential to
create additional drilling opportunities in the future.
Outlook
Our sector continues to face a number of challenges in relation to the
political and fiscal environment and the Energy Profits Levy ("EPL") continues
to create a significant degree of uncertainty. While the EPL creates
instability for UK operators, the investment allowance currently in place does
however continue to enhance the attractiveness of investing in Deltic projects
which attract tax relief. Nonetheless, the existence of the EPL does nothing
for investor or industry confidence, noting that a stable, reliable fiscal
regime is essential if domestic production is to be maintained.
Although an element of uncertainty also exists over the scope and nature of
future licensing, Deltic remains committed to exploration within the UK and
believes that a regular, predictable licensing process remains critical to
maintaining domestic gas production, supporting jobs and delivering energy
security.
Despite political and fiscal challenges, Deltic has continued to deliver on
its model of taking licences from award through to drilling as we have done
with Pensacola and now Selene. The simultaneous progression of Pensacola and
Selene has meant that we are now about to commence a two well drilling
programme on Selene and Pensacola which is going to make for a very exciting
second half of the year.
I would like to take this opportunity to thank the entire Deltic team
throughout the year for their continued hard work and teamwork which has been
key to the Company's continued success.
Graham Swindells
Chief Executive Officer
16 April 2024
Operational Review
P2252 Pensacola (30% Deltic, 65% Shell, 5% ONE-Dyas)
The Pensacola discovery well, 41/05a-2, operated by Shell, reached a total
depth of 1,965m TVDSS on 28 December 2022 and, following a period of logging
and well testing, which produced both gas and light oil to surface, the
discovery was announced on 8 February 2023. This was followed by a period of
laboratory testing on samples collected during drilling and the integration of
all new data into the sub-surface model for the Pensacola prospect.
Following the completion of the post-well analysis, Deltic commissioned RPS
Energy Ltd ("RPS") to undertake an independent audit of the Pensacola
discovery and produce a Competent Person's Report ("CPR"). This resulted in
Deltic's first independently verified contingent resource estimate in relation
to two potential development scenarios - a gas only development and a combined
gas and oil development.
Contingent Resources and Valuation of the Combined Gas and Oil Development
The contingent resources (development pending) associated with the oil and gas
development scenario for Pensacola as estimated by RPS are summarised in the
table below:
Hydrocarbon Type Units Full Field Gross Resources(1,2) Deltic Net Working Interest(3)
1C 2C 3C 1C 2C 3C
Gas Bscf 113.6 313.0 616.7 34.1 93.9 185.0
Oil MMstb 4.7 19.8 50.9 1.4 5.9 15.3
Condensate MMstb 0.2 0.6 1.4 0.1 0.2 0.4
Oil Equivalent MMboe(4) 23.9 72.6 155.1 7.2 21.8 46.5
(1) Gross field contingent resources (100% basis) after economic limit test
after removal of 10% CO(2) and fuel and flare gas
(2) Chance of Development ("Pd") is the estimated probability that a known
accumulation, once discovered, will be commercially developed. At this early
stage in the project, given the understanding of the range of volumes, of oil
in particular, and the development options still being considered, RPS
consider assigning a chance of development is premature
(3) Deltic holds a 30% working interest in P2252 which is operated by Shell
(4) Conversion rate of 6,000 Scf per boe
Net Present Value ("NPV") estimates as of 1 January 2024 for the combined oil
and gas development, as calculated by RPS, based on RPS (Q4 2023) long term
forecasts for Brent Crude (for oil and condensate sales) and UK National
Balancing Point ("NBP") for sales gas, are summarised below:
Combined Oil and Gas Case ELT Date Post-Tax NPV - Net to Deltic(1)
USD$ Million (money of the day) at different Discount Rates
Discount Rate 0% 10% 12% 15%
1C 2036 (29) (114) (121) (127)
2C 2048 792 205 148 84
3C 2058 2,236 566 437 296
( )
( 1) Deltic holds a 30% working interest in P2252
Contingent Resources and Valuation of the Gas Only Development
The Contingent Resources (development pending) associated with the gas only
development scenario for Pensacola as estimated by RPS are summarised in the
table below:
Hydrocarbon Type Units Full Field Gross Resources(1) Deltic Net Working Interest(3)
1C 2C 3C 1C 2C 3C
Gas Bscf 112.4 296.8 631.7 33.7 89.0 189.5
Condensate MMstb 0.2 0.6 1.5 0.1 0.2 0.4
Oil Equivalent MMboe(2) 18.9 50.0 106.7 5.7 15.0 32.0
(1) Gross field contingent resources (100% basis) after economic limit test
after removal of 10% CO(2) and fuel and flare gas
(2) Chance of Development ("Pd") is the estimated probability that a known
accumulation, once discovered, will be commercially developed. At this early
stage in the project, given the understanding of the range of volumes, of oil
in particular, and the development options still being considered, RPS
consider assigning a chance of development is premature
(3) Deltic holds a 30% working interest in P2252 which is operated by Shell
(4) Conversion rate of 6,000 Scf per boe
NPV estimates as of 1 January 2024 for the gas only development as calculated
by RPS, based on RPS (Q4 2023) long term forecasts for Brent Crude (for oil
and condensate sales) and UK NBP for sales gas, are summarised below:
Gas Only Case ELT Date Post-Tax NPV - Net to Deltic(1)
USD$ Million (money of the day) at different Discount Rates
Discount Rate 0% 10% 12% 15%
1C 2034 124 20 8 (6)
2C 2044 599 199 158 111
3C 2058 1,664 412 323 226
( )
( 1) Deltic holds a 30% working interest in P2252
The gas only scenario recovers less hydrocarbons than the combined case
development but has a significantly lower capital and operational cost base,
resulting in higher NPV10 valuations under certain scenarios.
Post CPR Zechstein Play Update
Following completion of the CPR, the North Sea Transition Authority released
summary well information for the Crosgan Zechstein appraisal well drilled in
early 2023 by ONE-Dyas, with its joint venture partner Shell. Crosgan, located
approximately 60km to the east of Pensacola, is highly analogous to the
Pensacola discovery and the appraisal well (42/15a-4) drilled on the crest of
the Crosgan reef structure is reported to have encountered a Hauptdolomite
reservoir that was 140m thick and which flowed at a maximum rate of 26.5
MMscf/day on test.
These positive well results further support Deltic's view that a thicker,
higher quality reservoir is likely to be present across the crest of the
Pensacola structure. The information from the Crosgan offset well will be
considered in future volumetric reviews along with additional information
collected during the drilling of the Pensacola appraisal well later this year.
Next Steps on Pensacola
In parallel to the preparation of the CPR report, the Pensacola joint venture
partners began work on the planning of an appraisal well which is designed to
test the commercial productivity of the thicker, higher quality reservoir
which is predicted to be present across the top of the Pensacola structure.
The joint venture committed to this appraisal well in December 2023 and the
well is scheduled to be drilled in late 2024. Enabling works have commenced
with geophysical surveys over the proposed well location completed in Q1 2024
and geotechnical investigations planned in Q2 2024.
On 5 February 2024, Shell informed Deltic that it had contracted the Valaris
123 heavy duty jack-up drilling unit to drill both the Selene exploration well
and Pensacola appraisal well as a two well programme starting in the summer of
2024, with the Selene well to be drilled first and the rig moving to Pensacola
on completion of Selene operations.
P2437 Selene (50% Shell, 25% Deltic & 25% Dana)
Following the positive well investment decision in the summer of 2022, the
joint venture has been focussed on well design, specification of the data
acquisition programme and other enabling works including the geophysical and
geotechnical site surveys which were completed during the second half of 2023.
As set-out above, the well will be drilled with the Valaris 123 with
mobilisation expected to commence in late June/early July 2024. The well has
been designed as a low cost exploration well with very specific data
collection objectives required to support future field development decisions
in this mature Leman Sandstone play. As such, there will be no conventional
surface flow test and key reservoir information will be gathered from a
combination of drill core, wireline logs and reservoir fluid samples collected
during the planned mini-drill stem test ("mini-DST").
On 7 February 2024, the Company announced that it had farmed out a portion of
its equity position in the Selene licence to Dana, a wholly owned subsidiary
of the Korean National Oil Company ("KNOC"). As a result of this
transaction, Deltic retains a 25% interest in the Selene asset with no cost
exposure to the exploration well up to USD$40M in a dry hole scenario
or USD$49M in a success case, both on a gross basis. Recent communications
from the Licence Operator, Shell, indicate a total success case cost of the
Selene well of $47M including operational and weather-related
contingencies.
Following receipt of NSTA and partner approvals, the farm-out to Dana was
completed on 2 April 2024.
Deltic remains convinced that the Selene prospect is one of the largest
unappraised structures in the Leman Sandstone fairway of the Southern Gas
Basin and estimates that it contains gross P50 Prospective Resources of 318
BCF of gas (with a P90 to P10 range of 132 to 581 BCF) with a geological
chance of success of 70%.
P2542 Syros (100% Deltic)
Deltic has completed the Phase A work programme on licence P2542 located in
the Central North Sea, which contains the Syros prospect. This work included
the purchase of the latest 3D Evolution seismic dataset across the acreage and
the completion of a Joint Impedance and Facies Inversion ("Ji-Fi") inversion
of the seismic data, in conjunction with IKON Science. This work has
significantly de-risked the Syros prospect and Deltic considers it to be
'drill ready'.
The Syros prospect is located immediately to the west of the Montrose-Arbroath
production platforms and in close proximity to a number of fields which
produce from the same Fulmar sandstones which are expected to be present
within the Syros rotated fault block.
The Syros prospect is expected to contain a gassy light oil, similar to
producing offset fields and is estimated to contain P50 prospective resources
of 24.5mmboe (P90 to P10 Range = 13.7 to 39.7 mmboe) with a geological chance
of success of 58%.
As previously announced, a farm-out process is ongoing and Deltic has had
significant engagement with a number of operators in relation to Syros.
Management remain confident of attracting a joint venture partner.
Portfolio Management
Following changes in management and strategy at Capricorn in the first half of
2023, in July 2023 the Company was formally notified of Capricorn's intention
to withdraw from the five SNS licences it held in partnership with Deltic. As
part of ongoing rationalisation and high grading of its portfolio, Deltic also
decided to withdraw from three of the Licences (P2560, P2561 and P2562) and
these were relinquished immediately.
Deltic retained the high graded licences P2567 and P2428 with the aim of
seeking an extension of the Phase A terms in order to allow sufficient time in
which to bring in alternative partners and progress to the drilling phases of
the licences. Deltic's requests for extension on both licences were rejected
by the NSTA and, as a result, Licence P2567 expired on 30 November 2023 and
Licence P2428 expired on 31 March 2024.
33(rd) Licensing Round
The NSTA announced the launch of the UK's 33(rd) Offshore Licensing round on 7
October 2022, with 931 blocks and part blocks available for licensing. The
round closed for applications on 12 January 2023.
A first tranche of provisional awards announced on 30 October 2023 offered 27
licences focusing on production and drill ready opportunities in the Central
North Sea, Northern North Sea and West of Shetland regions.
A second tranche of provisional awards announced on 31 January 2024 offered a
further 24 licences mainly in the Central North Sea area. Deltic was
provisionally awarded two licences in the Central North Sea with the primary
area of interest being the Dewar area incorporating blocks 24/24f (part) &
22/25e (part). Deltic has previously held the acreage and matured the Dewar
prospect before being forced to relinquish the acreage. However, new seismic
data is available over the area and there have been a number of changes in the
operator community around the Dewar prospect, including a commitment from BP
to redevelop the adjacent Skua field which has reinvigorated interest in the
area.
A second provisional award over block 29/4b in the Central Graben area, which
was part of a larger multi-block application made by Deltic, with the bulk of
the application area awarded to Shell in tranche 1. Given the adjacent
blocks awarded to Shell contained the primary targets identified during the
application process, Deltic has informed the NSTA that it does not intend to
accept the provisional award over 29/4b given the relatively high costs
associated with the work programme and significant uncertainty around the
potential prospectivity on block 29/4b.
The Company awaits the third tranche of provisional awards which will include
the Southern North Area which was the primary focus of Deltic's application
assets. We will update the market as and when the third tranche awards are
announced by the NSTA.
Portfolio and Resource Summary
The Company's current licence portfolio and prospect inventory, as of the end
March 2024, is summarised below:
Southern North Sea - Contingent Resources
Licence Ref: Block ID Deltic Equity Project ID Development Scenario Net to Deltic GCoS%
Contingent Resources(2)
(mmboe(3))
1C 2C 3C
P2252(1) 41/5a, 41/10a & 42/1a 30% Pensacola Zechstein Gas Only Development 5.7 15.0 32.0 100
Combined Gas and Oil Development 7.2 21.8 46.5
(1) Operated by Shell
(2) Estimated by RPS following independent audit
(3) Conversion rate of 6,000 Scf per boe
Southern North Sea - Prospective Resources
Licence Ref: Block ID Deltic Equity Project ID Discovery (D) Net to Deltic GCoS
Prospect (P) Prospective Resource %
Lead (L) (BCF)
P90 P50 P10
Low Best High
P2558(1) 41/5b & 42/1b 30% Pensacola North - Zechstein To Be Determined
P2437(1) 48/8b 25% Sloop - Leman D 2 4 10 100
Selene - Leman P 33 80 145 7
0
Endymion - Leman L 9 12 15 2
7
Rig & Jib - Leman L 4 9 15 3
5
(1) Operated by Shell
Central North Sea
Licence Ref: Block ID Deltic Equity Project ID Discovery (D) Net to Deltic GCoS%
Prospect (P) Prospective Resource
Lead (L) (MMBOE)
P90 P50 P10
Low Best High
P2542 22/17a 100% Syros - Fulmar P 13.7 24.5 39.7 58
Andrew Nunn
Chief Operating Officer
16 April 2024
Financial Review
Overview
Following Deltic's equity fundraise of £16.0 million (gross) in September
2022 (the "2022 Fundraise"), the Company started the year with a cash balance
of £20.4 million and ended the year to 31 December 2023 with a cash balance
of £5.6 million. 2023 saw significant planned investment and use of capital
to complete the drilling of the Pensacola discovery as well as planning for
the Pensacola appraisal well and Selene exploration well both of which are
scheduled to be drilled in the second half of 2024. Over the year, the Company
invested £12.5 million (2022: £2.6 million) on completing Pensacola drilling
operations and planning for future Pensacola appraisal and Selene exploration
drilling.
Loss for the year
The Company incurred a loss for the year to 31 December 2023 of £3.0 million
(2022: £3.0 million). Administrative expenses of £3.0 million (2022: £2.7
million) were incurred during the year. Finance income of £0.4 million
(2022: £0.1 million) was earned on short term high interest-bearing deposits
on funds following the 2022 Fundraise. In the year, an impairment of £0.2
million (2022: nil) was recognised for the subsequent relinquishment of P2428
(Cupertino) which occurred at the end of March 2024. There were no further
significant impairments nor write-offs associated with the relinquishment of
Licences P2560, P2561, P2562 and P2567. Corporation tax is payable on finance
income earned, and accordingly the Company has recognised an income tax
expense in the year of £0.1 million (2022: nil).
Balance Sheet
The Company had total Capital and Reserves as at 31 December 2023 of £21.7
million (2022: £24.2 million).
The value of exploration assets increased by £7.7 million (2022: £7.6
million increase) mainly reflecting completion of Pensacola drilling
operations in February 2023 and planning for 2024 drilling.
Pensacola drilling operations commenced in November 2022 and continued through
to February 2023. The total net cost to Deltic of drilling the Pensacola well
was £12.8 million. The value of work undertaken during 2023 was £5.7 million
(2021/2022: £7.1 million). In accordance with IAS 37, in the prior year, the
Company recognised a provision with a corresponding asset of £1.3 million for
the planned plugging and abandonment of the Pensacola well in February 2023.
The Company spent £2.2 million (2022: £0.7 million) further progressing the
Company's licence portfolio, in particular the Selene and Syros Licences, and
to progress the Pensacola licence to appraisal drilling in 2024. All costs
associated with the five licences previously held jointly with Capricorn
Energy PLC were fully paid by Capricorn Energy Plc.
Property, plant and equipment of £0.2 million (2022: £0.3 million) includes
a right of use asset relating to the office lease with a net book value of
£0.1 million (2022: £0.2 million). Property, Plant and Equipment reduced by
£0.1 million to £0.2 million, mainly reflecting the depreciation charge for
the year on the office lease, fixtures and fittings and computer equipment.
The Company's cash position at 31 December 2023 was £5.6 million (2022:
£20.4 million) with the year-on-year decrease mainly arising from Pensacola
drilling and investment into 2024 drilling.
Total current liabilities, which include short-term creditors, accruals,
provisions and lease liabilities decreased to £1.6 million (2022: £6.4
million). Liabilities of £0.4 million (2022: £3.3 million) are due to the
joint venture partner for payments associated with drilling operations. Other
payables and accruals of £0.6 million (2022: £1.3 million) mainly represent
drilling value of work done but yet to be billed by the joint venture partner.
In the prior year, a provision of £1.3 million was recognised for the costs
incurred in early 2023 for the pre-planned plug and abandonment of the
Pensacola exploration well.
The Company has no debt.
Share consolidation
On 25 May 2023, the Company undertook a Share Consolidation (the
"Consolidation"). The Consolidation consisted of a consolidation of the
existing 1,861,932,000 Ordinary Shares of 0.5 pence each in the capital of the
Company ("Existing Ordinary Shares"), such that every 20 Existing Ordinary
Shares were consolidated into one new ordinary share of 10p each ("New
Ordinary Shares"). Following the Consolidation, the Company has a single class
of ordinary shares of 10p each in issue, being 93,096,600 New Ordinary Shares.
Cash flow
As at 31 December 2023, the Company held cash and cash equivalents totalling
£5.6 million (2022: £20.4 million). The Company had a net cash outflow for
the year of £14.8 million (2021: inflow £10.3 million) mainly for Pensacola
exploration drilling and other exploration investments. The cash increase in
the prior year was driven by the Fundraise proceeds of £16.0 million (gross).
A net cash outflow from operating activities of £2.6 million (2022: £2.2
million) was incurred for general and administrative costs.
Net cash of £12.1 million (2022: £2.5 million) was used in investing
activities including £12.5 million (2022: £2.6 million) on exploration and
evaluation assets, offset by interest received on short term deposits of £0.4
million (2022: £0.1 million). The total net cash paid to the Pensacola joint
venture partner during 2023 for the Pensacola exploration well and post well
cost was £12.0 million (2022: £2.1 million). A further £0.5 million (2022:
£0.5 million) was spent developing the other licences in the exploration
portfolio.
Going concern
The inherent nature of the Company means it is dependent on its existing cash
resources, farming down of assets and its ability to access additional capital
in order to progress its operational programme on an ongoing basis. Having
undertaken careful assessment, the Directors are of the view the Company will
need to access additional capital during 2024 in order to fund on-going
operations. It is anticipated these funds will primarily be sourced through
farm downs, asset disposal, issuing new equity or a combination of these
actions. The financial statements for the year to 31 December 2023 have been
prepared assuming the Company will continue as a going concern. In support of
this, the directors believe the liquid nature of the UK asset market combined
with historical shareholder support, means it is likely that adequate funds
can be accessed when required. However, the ability to access capital is not
guaranteed at the date of signing these financial statements. As a
consequence, this funding requirement represents a material uncertainty that
may cast significant doubt on the Company's ability to continue as a going
concern. The Independent Auditor's Report to the members of Deltic Energy Plc
for the year ended 31 December 2023 refers to this material uncertainty
surrounding going concern.
Sarah McLeod
Chief Financial Officer
16 April 2024
Investing Policy
In addition to the development of the North Sea gas licences the Company has
acquired to date, the Company proposes to continue to evaluate other potential
oil and gas projects in line with its investing policy, as it aims to build a
portfolio of resource assets and create value for shareholders. As disclosed
in the Company's AIM Admission Document in May 2012, the Company's
substantially implemented Investment Policy is as follows:
The proposed investments to be made by the Company may be either quoted or
unquoted; made by direct acquisition or through farm-ins; either in companies,
partnerships or joint ventures; or direct interests in oil & gas and
mining projects. It is not intended to invest or trade in physical commodities
except where such physical commodities form part of a producing asset. The
Company's equity interest in a proposed investment may range from a minority
position to 100% ownership.
The Board initially intends to focus on pursuing projects in the oil & gas
and mining sectors, where the Directors believe that a number of opportunities
exist to acquire interests in attractive projects. Particular consideration
will be given to identifying investments which are, in the opinion of the
Directors, underperforming, undeveloped and/or undervalued, and where the
Directors believe that their expertise and experience can be deployed to
facilitate growth and unlock inherent value.
The Company will conduct initial due diligence appraisals of potential
projects and, where it is believed further investigation is warranted, will
appoint appropriately qualified persons to assist with this process. The
Directors are currently assessing various opportunities which may prove
suitable although, at this stage, only preliminary due diligence has been
undertaken.
It is likely that the Company's financial resources will be invested in either
a small number of projects or one large investment which may be deemed to be a
reverse takeover under the AIM Rules. In every case, the Directors intend to
mitigate risk by undertaking the appropriate due diligence and transaction
analysis. Any transaction constituting a reverse takeover under the AIM Rules
will also require Shareholder approval.
Investments in early stage and exploration assets are expected to be mainly in
the form of equity, with debt being raised later to fund the development of
such assets. Investments in later stage projects are more likely to include an
element of debt to equity gearing. Where the Company builds a portfolio of
related assets, it is possible that there may be cross holdings between such
assets.
The Company intends to be an involved and active investor. Accordingly, where
necessary, the Company may seek participation in the management or
representation on the Board of an entity in which the Company invests with a
view to improving the performance and use of its assets in such ways as should
result in an upward re-rating of the value of those assets.
Given the timeframe the Directors believe is required to fully maximise the
value of an exploration project or early stage development asset, it is
expected that the investment will be held for the medium to long term,
although disposal of assets in the short term cannot be ruled out in
exceptional circumstances.
The Company intends to deliver Shareholder returns principally through capital
growth rather than capital distribution via dividends, although it may become
appropriate to distribute funds to Shareholders once the investment portfolio
matures and production revenues are established.
Given the nature of the Investing Policy, the Company does not intend to make
regular periodic disclosures or calculations of its net asset value.
The Directors consider that as investments are made, and new investment
opportunities arise, further funding of the Company will be required.
This strategic report contains certain forward-looking statements that are
subject to the usual risk factors and uncertainties associated with the oil
and gas exploration and production business. Whilst the Directors believe the
expectation reflected herein to be reasonable in light of the information
available up to the time of their approval of this report, the actual outcome
may be materially different owing to factors either beyond the Company's
control or otherwise within the Company's control but, for example, owing to a
change of plan or strategy. Accordingly, no reliance may be placed on the
forward-looking statements.
On behalf of the Board
Mark
Lappin
Graham Swindells
Chairman
Chief Executive Officer
16 April
2024
16 April 2024
Reporting Standard
Estimates of resources have been prepared in accordance with the PRMS as the
standard for classification and reporting.
Qualified Person's Review
Andrew Nunn, a Chartered Geologist and Chief Operating Officer of Deltic, is a
"Qualified Person" in accordance with the Guidance Note for Mining, Oil and
Gas Companies, June 2009 as updated 21 July 2019, of the London Stock
Exchange. Andrew has reviewed and approved the information contained within
this announcement.
Glossary of Technical Terms
1C: Represents the low case estimates of Contingent Resources as defined by PRMS
2C: Represents the best case estimates of Contingent Resources as defined by PRMS
3C: Represents the high case estimates of Contingent Resources as defined by PRMS
BCF or Bscf: Billion Standard Cubic Feet
Boe: Barrels of oil equivalent
Contingent Resources: Those quantities of petroleum which are estimated, on a given date, to be
potentially recoverable from known accumulations, but which are not currently
considered to be commercially recoverable, as defined by PMRS
ELT or Economic Limit Test: Economic Limit Test. The economic limit is defined as the production rate at
the time when the maximum cumulative net cash flow occurs for a project
Geological Chance of Success or GCoS: For prospective resources, means the chance or probability of discovering
hydrocarbons in sufficient quantity for them to be tested to the surface.
This, then, is the chance or probability of the prospective resource maturing
into a contingent resource. Prospective resources have both an associated
chance of discovery (geological chance of success) and a chance of development
(economic, regulatory, market and facility, corporate commitment and political
risks). The chance of commerciality is the product of these two risk
components. These estimates have been risked for chance of discovery but not
for chance of development.
MMboe or million barrels of oil equivalent: Million barrels of oil equivalent. Gas is converted at a conversion rate of
6,000 Scf per boe
MMstb: Million stock tank barrels
MMscf: Million standard cubic feet
P90 resource: Reflects a volume estimate that, assuming the accumulation is developed, there
is a 90% probability that the quantities actually recovered will equal or
exceed the estimate. This is therefore a low estimate of resource
P50 resource: Reflects a volume estimate that, assuming the accumulation is developed, there
is a 50% probability that the quantities actually recovered will equal or
exceed the estimate. This is therefore a median or best case estimate of
resource
P10 resource: Reflects a volume estimate that, assuming the accumulation is developed, there
is a 10% probability that the quantities actually recovered will equal or
exceed the estimate. This is therefore a high estimate of resource
PRMS: The June 2018 Society of Petroleum Engineers ("SPE") Petroleum Resources
Management System
Prospective Resources Are estimated volumes associated with undiscovered accumulations. These
represent quantities of petroleum which are estimated, as of a given date, to
be potentially recoverable from oil and gas deposits identified on the basis
of indirect evidence but which have not yet been drilled.
Scf: Standard cubic feet
Stb: Stock tank barrel
STOIIP: Stock tank oil initially in place
TVDSS: True Vertical Depth Sub-Sea
Income Statement
for the year ended 31 December 2023
Continuing operations Notes 2023 2022
£ £
Administrative expenses:
Write down on relinquished intangible assets 3 (184,242) (347,610)
Other administrative expenses (3,035,896) (2,745,350)
Total administrative expenses (3,220,138) (3,092,960)
Other operating income - -
Operating loss (3,220,138) (3,092,960)
Finance income 388,403 129,301
Finance costs (16,788) (25,745)
Loss before tax (2,848,523) (2,989,404)
Income tax expense (112,830) -
Loss for the year (2,961,353) (2,989,404)
Loss per share from continuing operations
expressed in pence per share:
Basic 2 (3.18)p (3.94)p
Statement of Comprehensive Income
for the year ended 31 December 2023
2023 2022
£ £
Loss for the year (2,961,353) (2,989,404)
Other comprehensive income - -
Total comprehensive expense for the year attributable to the equity holders of (2,961,353) (2,989,404)
the Company
Balance Sheet
as at 31 December 2023
Notes 2023 2022
£ £
Assets
Non-current assets
Intangible assets 3 17,463,225 9,769,477
Property, plant and equipment 4 171,627 279,545
Investments in subsidiary 1 -
Other receivables 37,422 37,422
Total non-current assets 17,672,275 10,086,444
Current assets
Trade and other receivables 112,598 181,102
Cash and cash equivalents 5,580,259 20,409,692
Total current assets 5,692,857 20,590,794
Total assets 23,365,132 30,677,238
Capital and reserves attributable to the equity holders of the Company
Shareholders' equity
Share capital 9,309,660 9,309,660
Share premium 33,145,477 33,150,786
Share-based payment reserve 1,999,834 1,535,202
Accumulated retained deficit (22,716,617) (19,802,953)
Total equity 21,738,354 24,192,695
Liabilities
Current liabilities
Trade and other payables 1,402,375 4,988,307
Current tax payable 88,775 -
Lease liabilities 124,282 90,132
Provisions - 1,281,000
Total current liabilities 1,615,432 6,359,439
Non-current liabilities
Lease liabilities 11,346 125,104
Total non-current liabilities 11,346 125,104
Total liabilities 1,626,778 6,484,543
Total equity and liabilities 23,365,132 30,677,238
Statement of Changes in Equity
for the year ended 31 December 2023
Share Share Share-based payment reserve Accumulated retained Total
capital
premium
£
deficit
equity
£
£ £
£
Balance at 1 January 2023 9,309,660 33,150,786 1,535,202 (19,802,953) 24,192,695
Comprehensive income for the year
Loss for the year - - - (2,961,353) (2,961,353)
Total comprehensive loss for the year - - - (2,961,353) (2,961,353)
Contributions by and distributions to owners
Issue of shares - 22 - - 22
Costs of share issue & consolidation - (5,331) - - (5,331)
Expired share options - - (47,689) 47,689 -
Share-based payment - - 512,321 - 512,321
Total contributions by and distributions to owners - (5,309) 464,632 47,689 507,012
Balance at 31 December 2023 9,309,660 33,145,477 1,999,834 (22,716,617) 21,738,354
Balance at 1 January 2022 7,029,824 20,296,030 1,150,700 (16,813,549) 11,663,005
Comprehensive income for the year
Loss for the year - - - (2,989,404) (2,989,404)
Total comprehensive loss for the year - - - (2,989,404) (2,989,404)
Contributions by and distributions to owners
Issue of shares 2,279,836 13,679,014 - - 15,958,850
Costs of share issue - (824,258) - - (824,258)
Share-based payment - - 384,502 - 384,502
Total contributions by and distributions to owners 2,279,836 12,854,756 384,502 - 15,519,094
Balance at 31 December 2022 9,309,660 33,150,786 1,535,202 (19,802,953) 24,192,695
Statement of Cash Flows
for the year ended 31 December 2023
2023 2022
£ £
Cash flows from operating activities
Loss before tax (2,848,523) (2,989,404)
Finance income (388,403) (129,301)
Finance costs 16,788 25,745
Depreciation 115,099 114,698
Loss on disposal of property, plant and equipment 500 -
Write down of relinquished/impairment of intangible assets 184,243 347,610
Share-based payment 512,321 384,502
(2,407,975) (2,246,150)
Decrease in other receivables 10,112 81,991
Decrease in trade and other payables (203,603) (18,228)
Tax paid (24,055) -
Net cash outflow from operating activities (2,625,521) (2,182,387)
Cash flows from investing activities
Purchase of intangible assets (12,547,872) (2,557,582)
Purchase of property, plant and equipment (1,130) (9,003)
Interest received 446,795 56,606
Net cash outflow from investing activities (12,102,207) (2,509,979)
Cash flows from financing activities
Proceeds from share issue 22 15,958,850
Expense of share issue (5,331) (824,258)
Payment of principal portion of lease liabilities (79,608) (98,994)
Lease interest paid (16,788) (25,745)
Net cash (outflow) / inflow from financing activities (101,705) 15,009,853
(Decrease) / increase in cash and cash equivalents (14,829,433) 10,317,487
Cash and cash equivalents at beginning of year 20,409,692 10,092,205
Cash and cash equivalents at end of year 5,580,259 20,409,692
Notes to the Financial Statements
for the year ended 31 December 2023
1. Accounting Policies
Basis of preparation
The financial statements have been prepared in accordance with UK adopted
International Accounting Standards ('IAS') and with those parts of the
Companies Act 2006 applicable to companies reporting under International
Accounting Standards ('IAS').
On 24 April 2023, the Company incorporated a subsidiary, Deltic Energy One
Limited, a company incorporated in England and registered at 1st Floor 150
Waterloo Road, London, SE1 8SB. This subsidiary has been dormant from the date
of incorporation. As it is not material for the purpose of giving a true and
fair view, the Company has not consolidated its subsidiary, taking advantage
of the exemption available under the Companies Act 2006 section 405, and has
therefore not prepared consolidated financial statements.
The preparation of financial statements in conformity with IAS requires
management to make judgements, estimates and assumptions that affect the
application of policies and reported amounts of assets and liabilities, income
and expenses. The estimates and associated assumptions are based on historical
experience and factors that are believed to be reasonable under the
circumstance, the result of which form the basis of making judgements about
carrying values of assets and liabilities that are not readily apparent from
other sources. Actual results may differ from this estimate. The areas
involving a higher degree of judgement or complexity, or where assumptions and
estimates are significant to the financial statements, are disclosed later in
this note.
Operating loss is stated after charging and crediting all items excluding
finance income and expenses.
The estimates and underlying assumptions are reviewed on an on-going basis.
Revisions to accounting estimates are recognised in the period in which the
estimate is revised if the revision only affects that period or in the period
of revision and future periods if the revision affects both current and future
periods.
Going concern
The Directors have completed the going concern assessment, including
considering cash flow forecasts up to mid-2025, sensitivities, and stress
tests to assess whether the Company is a going concern. The inherent nature of
the Company means it is dependent on its existing cash resources, farming down
of assets and its ability to raise additional funding in order to progress its
operational programme on an ongoing basis. Having undertaken careful
assessment, the Directors are of the view the Company will need to access
additional funds during 2024 in order to fund on-going operations. It is
anticipated these funds will primarily be sourced through farm downs, asset
disposal, issuing new equity or a combination of these actions. The financial
statements for the year to 31 December 2023 have been prepared assuming the
Company will continue as a going concern. In support of this, the directors
believe the liquid nature of the UK asset market combined with historical
shareholder support, means it is likely that adequate funds can be accessed
when required. However, the ability to access funds is not guaranteed at the
date of signing these financial statements. As a consequence, this funding
requirement represents a material uncertainty that may cast significant doubt
on the Company's ability to continue as a going concern. The Independent
Auditor's Report to the members of Deltic Energy Plc for the year ended 31
December 2023 refers to this material uncertainty surrounding going concern.
2. Loss per Share
Basic loss per share is calculated by dividing the loss attributable to
ordinary shareholders by the weighted average number of ordinary shares
outstanding during the year.
Due to the losses incurred during the year, a diluted loss per share has not
been calculated as this would serve to reduce the basic loss per share. There
were 10,067,023 (2022: 8,142,023*) share options outstanding at the end of the
year that could potentially dilute basic earnings per share in the future.
Basic and diluted loss per share
2023 2022
Loss per share from continuing operations (3.18)p (3.94)p*
The loss and weighted average number of ordinary shares used in the
calculation of loss per share are as follows:
2023 2022
£ £
Loss used in the calculation of total basic loss per share (2,961,353) (2,989,404)
Number of shares 2023 2022
Number Number
Weighted average number of ordinary shares for the purposes of basic loss per 93,096,600 75,919,756*
share
*Following the Share Consolidation on 25 May 2023, number of shares and share
options and loss per share amounts have been retroactively adjusted for all
periods presented to illustrate the effect of the 20 for 1 Share
Consolidation.
3. Intangible Assets
Exploration & evaluation assets Software
licences
£
Total
£
£
Cost
At 1 January 2022 2,203,118 39,257 2,242,375
Additions 7,913,969 - 7,913,969
Write down on relinquished assets (347,610) - (347,610)
At 31 December 2022 9,769,477 39,257 9,808,734
Additions 7,877,990 - 7,877,990
Write down on relinquished assets (21,127) - (21,127)
At 31 December 2023 17,626,340 39,257 17,665,597
Amortisation and impairment
At 1 January 2022 - 39,257 39,257
Charge for the year - - -
At 31 December 2022 - 39,257 39,257
Impairment charge 163,115 - 163,115
At 31 December 2023 163,115 39,257 202,372
Net Book Value
At 31 December 2023 17,463,225 - 17,463,225
At 31 December 2022 9,769,477 - 9,769,477
At 1 January 2022 2,203,118 - 2,203,118
The net book value of exploration and evaluation assets at 31 December 2023
and 2022 relates solely to the Company's North Sea Licences.
Additions of £7,877,990 (2022: £7,913,969) differ to the cash flows in the
Statement of Cash Flows owing to a decrease in trade and other payables of
£3,388,882 (2022: £3,052,066 increase) and a decrease in provisions of
£1,281,000 (2022: £1,281,000 increase) relating to the plug and abandonment
of the Pensacola exploration well that was completed in February 2023.
A charge of £21,127 was recognised during the year (2022: £nil) resulting
from the write down on relinquished intangible assets following the decision
to relinquish P2567 (Cadence).
An impairment charge of £163,115 was recognised during the year (2022: £nil)
resulting from the impairment of P2428 (Cupertino) following likely decision
not to renew the licence in 2024.
No impairment was recognised for the relinquishment of P2560, P2561 and P2562.
In the prior year, £347,610 (2023: nil) impairment was recognised resulting
from the write down on relinquished intangible assets following the decision
to relinquish Licence P2435 (Blackadder) and Licence P2537 (Dewar).
4. Property, Plant and Equipment
Office lease Fixtures Computer equipment Total
Leasehold improvements and fittings
£ £ £ £ £
Cost
At 1 January 2022 87,769 404,650 45,800 35,239 573,458
Additions 3,931 - - 5,072 9,003
At 31 December 2022 91,700 404,650 45,800 40,311 582,461
Additions - - - 7,680 7,680
Disposals - - (544) (4,560) (5,104)
At 31 December 2023 91,700 404,650 45,256 43,431 585,037
Depreciation
At 1 January 2022 25,927 134,883 9,758 17,650 188,218
Charge for year 18,901 80,930 6,870 7,997 114,698
At 31 December 2022 44,828 215,813 16,628 25,647 302,916
Charge for year 19,314 80,931 6,870 7,984 115,099
Disposals - - (336) (4,269) (4,605)
At 31 December 2023 64,142 296,744 23,162 29,362 413,410
Net Book Value
27,558 107,906 22,094 14,069 171,627
At 31 December 2023
At 31 December 2022 46,872 188,837 29,172 14,664 279,545
At 1 January 2022 61,842 269,767 36,042 17,589 385,240
The office lease category reflects a right of use asset relating to the office
premises occupied by the Company.
This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact
rns@lseg.com (mailto:rns@lseg.com)
or visit
www.rns.com (http://www.rns.com/)
.
RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our
Privacy Policy (https://www.lseg.com/privacy-and-cookie-policy)
. END FR IFMPTMTMBBTIRecent news on Deltic Energy
See all newsREG - Deltic Energy PLC - Provisional Award of UKCS Licences
AnnouncementREG - Deltic Energy PLC - Pensacola Update
AnnouncementREG - Deltic Energy PLC - Final Results
AnnouncementREG - Deltic Energy PLC - Completion of Selene farm-out to Dana Petroleum
AnnouncementREG - Deltic Energy PLC - Director/PDMR Dealing
Announcement