Oz Senex Energy Back in Black

Australian Senex Energy’s statutory net profit during the 12-months to June (FY 2019) was A$3mn (US$2mn) as against a loss of A$94mn in the previous year, it said August 20.

Sales revenue was up 34% year on year to A$94mn thanks to increased production and higher realised oil prices. Senex’s production during the year was 1.2mn barrels of oil equivalent, up 43% year on year. The company saw a near five-fold increase in Surat Basin gas production, with Roma North daily production exceeding 8 terajoules in Q4.

“During the year we achieved every milestone we set for ourselves, continuing to demonstrate the growth trajectory ahead as we deliver our Surat Basin natural gas developments at Roma North and Project Atlas,” CEO Ian Davis said. “FY20 will see around A$150mn in Surat Basin natural gas capital invested, setting the platform for a sharp rise in production, cashflow and earnings from FY21.”

Senex expects to largely complete its Surat Basin drilling campaign in FY 2020, increasing production to initial target plateau flow rate of approximately 18 petajoules/year by the end of FY 2021, Davies said.

Earlier this month, the company started drilling at Project Atlas in Queensland as part of its 110-well integrated Surat Basin natural gas drilling campaign. Following the first 10 wells in its campaign at the Roma North development, the Easternwell rig was moved to Project Atlas.