North Sea oil and gas exploration firm Lochard Energy said today it was putting itself up for sale.
The London-based alternative investment market and Australian stock exchange-listed firm, whose main asset is 10% in Aberdeen-based Ithaca Energy’s Athena field, added the move followed attempts to secure a farm-out on its Thunderball and Moby discoveries last year.
“Following discussions with a number of parties regarding a farm-out, the board believes that there would be a higher level of interest were they to seek a buyer for the company,” said Lochard.
Thunderball is a dry gas discovery in the central North Sea. Moby is also in the central north sea.
Lochard, which owns Zeus Petroleum, has interests in a further eight blocks in the North Sea.
The company said last September it had received an approach but the talks fell through, with Lochard saying they did not reflect “fair value”.
In a separate announcement today, Lochard said an independent reserve report on Athena – prepared by energy consultant Sproule International – showed proved plus probable and possible reserves totalling 44.7million barrels of oil equivalent (boe), including 4.47million boe net to Lochard.
It also reported a “year of decisive moments and significant progress”.
This was despite pre-tax losses of £5million for the 12 months to June 30, compared with a deficit of £5.2million a year earlier.
Revenue in the latest period totalled £1.17million, up from about £12,900 previously.