Coro Energy losses widen on acquisition costs
Euro-Asian gas explorer Coro Energy said the first half of 2018 was "a busy and exciting time" for the firm, with senior personnel changes and corporate consolidation allowing it to achieve scale in its European business.
Coro Energy's results from its "transformational" period which saw the AIM-listed firm reboot itself through the combination of Sound Energy's Italian assets and Saffron Energy.
Coro saw production total 203m cubic feet of gas throughout the half and generated €1.1m of revenue during the period thanks to a strong Italian gas price of €6 per thousand cubic feet, on average.
The group made a pre-tax loss of €2.4m for the period, a 166% widening on the previous year, primarily driven by costs associated with its acquisition of Sound Energy and the AIM readmission process.
In addition to opening an office in London and raising €16.1m for its expansion in South East Asia, Coro appointed James Menzies as its new chief executive during the half.
Post-period end, Coro entered into its first maiden deal in South East Asia – agreeing to acquire a 42% interest in the Bulu production sharing contract in the shallow waters of the East Java Sea, Indonesia.
James Menzies, Coro's chief executive officer, commented: "With the first transaction now signed, we are continuing to build momentum, with a pipeline of accretive deals continuing to be developed."
As of 1230 BST, Coro shares had slipped 0.60% to 4.15p.