Ithaca Energy is busy getting its finances in order as it zeroes in on first oil from its Greater Stella project.
The firm completed its semi-annual reserves based lending facilities review. The compnay managed to maintain an excess of $125million funding headroom ahead of planned first oil from its flagship North Sea project. First hydrocarbons are expected to flow in the second quarter of next year.
Graham Forbes, chief financial officer, said: “We are pleased to have efficiently completed the RBL redetermination process and be able to re-confirm the solid funding headroom of the business. The company has taken a number of proactive measures over the year to maintain a robust financial position during this period of lower and more volatile oil prices, ensuring it has the financial flexibility to manage downside risks and pursue potential opportunities within our core Greater Stella Area.”
The firm has also levered the sale of its non-core Norwegian business to reduce its debt by an additional $66million.
The company’s debt now sits at $690million – a significant decrease on its peak of $800million in the first half of the year.
The incentive-based deal prompted a discussion on North Sea ‘contractual marriages’.
Greater Stella, with estimated net proven and probable reserves totalling more than 30million boe is in the heart of the Central Graben area of the central UK North Sea.
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