Parkmead Group cashed in on soaring gas prices during the first half of its trading year.
The North Sea energy firm announced a return to the black as revenue more than trebled during the six months to December 31 2021.
Shares in Aberdeen-based Parkmead rose more than 8% to 53p after it said pre-tax profits came in at nearly £1.3 million, compared with losses of about £1.4m a year earlier.
Revenue rocketed to more than £4.6m in the latest period, from £1.5m previously, as the company benefited from a surge in commodity prices.
Parkmead ‘well-positioned’
Entrepreneur Tom Cross, the company’s executive chairman, said: “Our team continues to carefully evaluate further potential gas, oil and renewable energy acquisitions that would enhance our existing business.
“Parkmead is well-positioned for the future. We have excellent UK and Netherlands regional expertise, strong financial discipline, and a growing portfolio of high-quality assets.”
Parkmead said it was nearing a drilling decision on its Skerryvore field in the central UK North Sea.
‘Excellent’ progress on Skerryvore
Skerryvore has been waiting for some time, with Parkmead having previously sought to commence drilling in 2015.
The licence has three main stacked prospects which together are believed to contain up to 157 million barrels of oil equivalent.
Parkmead said it, together with its joint venture partners, had made “excellent progress” over the past 12 months.
It added: “Volumetrics and economics are currently being finalised ahead of a drilling decision.”
The company also noted “important activity on several fronts” in the area.
Harbour Energy is close to a final investment decision on the adjacent Talbot discovery and Neo Energy is continuing the redevelopment of the Affleck field.
Meanwhile, Shell recently spudding the high-impact Edinburgh well.
Our team continues to carefully evaluate further potential gas, oil and renewable energy acquisitions that would enhance our existing business.”
Tom Cross, executive chairman, Parkmead Group.
Parkmead is operator on Skerryvoe, with 30%, alongside Serica Energy (20%), CalEnergy Resources (20%) and Neo Energy (30%).
Elsewhere, Parkmead said it was “assessing draft commercial offers” for a tie-back of the Greater Perth Area to the Scott field about 115 miles north-east of Aberdeen.
Studies on using Scott as a host have been taken place as far back as 2018.
In its interim results, Parkmead also noted the recent surge in oil prices and said that for every $10 increase the value of its Perth field development alone increased by about £130m.
