Finance News Oil & Gas

Orcadian focuses on funding and farm-in for Pilot

Orcadian Energy plc said its main aim for 2023 was to find a partner and new investors to develop the Pilot oil field in the central North Sea.

FINANCES

In its unaudited results for H1 2022, the company added it planned to improve the technical and commercial definition of Pilot’s development as well as maximise value in its satellite discoveries and prospects.

Orcadian’s financial report showed pre-tax losses for the period fell to £489,503 (H2 2021: £864,376).

Cash and equivalents plummeted to £225,446 (H2 2021: £1,517,902)

The group has yet to generate revenue and has depended on raising finance, both debt and equity.

Orcadian added it was confident of raising further funds for its operations over the next 12 months.

Post period in February 2023, the company raised £500,000 before expenses

NEW PROSPECTS

Chief executive Steve Brown added that the company’s “absolute focus” was to elicit offers for a farm-in or new owner during Q2 and Q3.

“We are in active discussions with potential new investors as Orcadian needs additional working capital to secure the best deal for shareholders on Pilot.

“Those discussions have been buoyed by the identification of two new prospects on our licences which have been illuminated by the quantitative interpretation work done for us by TGS.

“These prospects are likely to contain a lighter oil than seen on Pilot and have a very high chance of success as well as a relatively low cost to drill.”