Baron Oil plc increased its cash reserves in year of considerable progress from its assets in Timor-Leste and the UK.
FINANCES
Audited financial results for the year ended 31 December 2022 showed cash reserves of the Group had increased to £5,807,000 from a level at the preceding year end of £1,650,000.
Pre-tax losses increased slightly to £1,387,000 (2021: loss of £1,127,000).
Turnover for the year was £nil (2021: £nil) with no sales activity during the period.
Exploration and evaluation expenditure marginally fell to £213,000 (2021: £218,000) and administration expenses decreased to £1,191,000 (2021: £1,321,000).
Administration costs arising in SundaGas (Timor-Leste Sahul) Pte. Ltd. rose to £441,000 (2021: £285,000) as the company moves to a full 12-month reporting period at group level and with the Dili office in Timor-Leste is now fully operational.
There were also non-recurring support costs of £65,000 in Peru.
Proceeds of fundraising amounted to £7,131,000 gross (£6,619,000 net of costs).
FARM-OUT
Non-executive chairman John Wakefield said that Baron would now focus on drilling decisions in 2023 for a Chuditch-1 appraisal well and a Dunrobin West exploration well.
“Both assets continue to attract attention via our active farm-out campaigns and presentations at relevant industry events.
“In particular, there are a number of ongoing discussions with third parties regarding participation in the Chuditch appraisal well and future activities.
“We are grateful for the support of our investors through the two funding events which took place during the year and as a result, we have a well-funded balance sheet covering our current activities and commitments.
“Baron is highly encouraged by the developments being made.”