Sterling Energy said its loss widened in the first quarter of 2016, as production from its Chinguetti field in Mauritania fell due to temporary flow assurance issues.
The company reported a pretax loss of $5million, compared with $815,000 the year before. Revenue dipped to $725,000 from $1.7 million the previous year.
Chinguetti product averaged 106 barrels of oil per day, compared to 382 barrels of oil per day the previous year.
The flow issues have been resolved and production has returned to normal levels, Sterling said.
Sterling also included an impairment related to the Block C-3, offshore Mauritania, when it pulled out of a joint venture in January.
Sterling Madagascan joint venture is currently seeking an extension at the Ambilobe block in order to complete a subsurface technical evaluation.
“Sterling continues to maintain a disciplined approach to new venture activities, only pursuing and executing those growth options that the company believes to have the best opportunity to ultimately deliver value for shareholders,” the company said in a statement.