Predator Oil & Gas (AIM:PRD ) told investors on Tuesday that its posted pre-tax losses for the year ended 31 December 2019 of £1.28m, compared to losses of £0.80m for FY 2018.

The Jersey-based oil and gas group’s cash balance at period end of 2019 stood at £0.110 million compared to £0.973 million in 2018.

Chief executive, Paul Griffiths, said emphasis over the coming months would be placed on injecting CO2 into wells in Trinidad to increase potential oil flow rates.

The group said that it is currently “well-capitalised to withstand the COVID-19 emergency” and to pursue its business growth potential.

Griffiths said he is confident that the group’s CO2 EOR strategy at the Inniss-Trinity field has “the potential to generate positive cash flow at very low oil prices.”

He said this was possible due to the favourable commercial terms the group has negotiated as well as its attention to cost-cutting.

Shares in Predator Oil & Gas were trading flat at 2.15p during Tuesday morning.

Meanwhile, the company said it remains "drill-ready" at Guercif, onshore Morocco, and is awaiting the lifting of Covid-19 restrictions to further progress its drilling programme.

The group said it was currently working to find a low cost, fast-track solution “for early monetisation” of a successful gas discovery.

Predator, which owns 75% of the permits and operates Guercif in a joint venture with the Office National des Hydrocarbures et des Mines (ONHYM), acting on behalf of the state, entered into a rig option agreement with Star Valley Drilling in December 2019.

“This robust position through the COVID-19 emergency could never have been achieved without the addition of the Guercif opportunity,” said Griffiths.

He added that this was the investment case for the company’s recent £1.5 million placing.

“The investment case remains absolutely solid and is the reason why we continue to remain "drill-ready" in Morocco,” he said.

He added, “The Company is very well positioned and looking forward to continuing to develop and monetise its potential over the next 12 months." 

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