Italian-focused exploration firm Mediterranean Oil and Gas says it has lost almost EU2million from the recent shutdown of the Guendalina-3 well in Italy.
The Eni-operated well stopped production last month, with no sign of an immediate restart, due to low pressure at the manifold.
Field partner Mediterranean Oil and Gas said it expected a EU1.8million impairment from the shutdown at the field, with overall losses from its operations due to problems in Italy EU3million, compared to a EU2.3million profit last year.
The field, around 16 miles off the Italian coast in the Adriatic Sea, is thought to contain up to 22billion cubic feet of gas.
Overall the company posted a half-year loss of EU3.4million, compaired to a profit of EU1.7million over the same period last year. It holds EU14.1million in cash or equivalents.
Elsewhere the company completed a 75% farmout of its Malta interest to Genel energy, and bought into neighbouring blocks from Cairn Energy. It remains in a legal battle with Italian authorities over the Ombrina Mare oil find south of Sicily.
“The company remains well positioned to actively pursue exploration and growth opportunities,” said chief executive William Higgs.
“Completion of the divestment of non-core assets onshore Italy in the period has enabled the team to concentrate on adding new opportunities for growth.”
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