Premier Oil 2019 cash flow at record of $327 million
VIENNA (Reuters) – British North Sea focused oil and gas producer Premier Oil <PMO.L> said on Thursday it recorded a record free cash flow of $327 million (£254 million) last year, up around 30%, adding it would be more than 65% carbon neutral by 2025 and 100% by 2030.
It said it would develop its operated projects on a carbon neutral basis in respect of Scope 1 and Scope 2 emissions, referring to emissions from its direct operations and from the power supply it uses, without providing further details.
Premier is awaiting a court decision on its plan, sanctioned by a majority of its shareholders, for a capital raise of $500 million for new North Sea acquisitions between March 17 and 20 and postponing its debt maturities.
Premier, with a market capitalisation of around $850 million as of Wednesday, said its net debt stood at $1.99 billion by the end of last year, in line with guidance.
Premier’s climate targets follow similar commitments by other pure oil and gas exploration and production companies, such as Energean <ENOG.L> and Kosmos Energy <KOS.N>, which will make use of emission offset programmes.
Premier plans to produce between 70,000 and 75,000 barrels of oil equivalent this year, excluding its planned acquisitions.
(Reporting by Shadia Nasralla; Editing by Alexander Smith)