Caspian Sunrise, the Central Asian oil and gas company with a focus on Kazakhstan, is pleased to announce its audited final results for the year ended 31 December 2023. The Company anticipates that the suspension of the Company's shares will be lifted.
2023 Financial highlights
- Total revenues $36.7 million (Restated 2022: $40.9 million)
- Oil sales revenues $21.6 million (2022: $39.2 million)
- Oil trading revenues $10.3 million (2022: nil)
- Oil services revenues $4.1 million. (Restated 2022: $1.6 million)
- EBITDA $18.1 million (Restated 2022; $15.7 million)
- Operating profit $15.5 million (Restated 2022: $12.9 million)
- Profit before tax $14.8 million (2022: $12.3 million)
- Profit after tax $11.1 million (Restated 2022: $10.0 million)
- Gross assets $134.9 million (2022: $117.7 million)
2023 Operational highlights
- Production volumes 665,114 barrels (bbls) (2022: 792,284 bbls)
- Commencement of oil trading
- Continuing workover programme at MJF structure
- Horizontal drilling approach at Soviet era South Yelemes wells
- Deep Well 803 spudded - the third deep well on the Yelemes Deep structure
- Two new deep wells completed at Block 8
- First commercial drilling contract signed for the Caspian Explorer
- BNG shallow structure reserves at 31 December 2023:
- P1 13.6 million barrels (mmbls); (2022 14.3 mmbls)
- P2 24.8 mmbls (2022: 25.5 mmbls)
2024 Highlights to date
- Independent shareholder approval of the acquisition of the West Shalva Contract Area
- Shallow Well 155 spudded in February 2024 and drilled to 2,400 meters now testing a 16 meter interval
- Deep Well 803 drilled to a depth of 3,420 meters now testing a 15 meter interval
- Conditional agreement to sell the MJF and South Yelemes structures for $83 million
- Reserves in the immediate vicinity of the drainage areas around Deep Wells A5, A6 & A7 independently assessed at approximately
- C1 49.0 million barrels
- C2 28.9 million barrels
- Commencement of the Caspian Explorer ENI charter
Expected future events
Q3 2024
- Licence renewal at Block 8
- Caspian Explorer charter completed
- Confirmation of C1 style reserves for the Yelemes Deep structure at BNG
- Award of licence extension for BNG's Airshagyl & Yelemes Deep structures
- Production commences from Block 8 from existing wells
- Testing new well at Block 8
- First well drilled at West Shalva
- Acquisition of a G70 rig
Q4 2024
- First mining acquisition
- Completion of the West Shalva acquisition
- Completion of the Block 8 acquisition
CHAIRMAN'S STATEMENT
Over the past few years, Caspian Sunrise has evolved from essentially one commercial asset with just a single producing structure, to now being a diversified and profitable natural resources group, with significant income flowing from a range of activities and with additional near term opportunities for further successful growth and diversification. The Group also has strong asset backing.
This transformation has been achieved in the face of some significant hurdles, including the oil price falling to $6 per barrel during the Covid-19 pandemic, assessed historic costs of $32 million to be repaid over a 10 year period, and the financial and operational impact of Russian sanctions, which for much of the past two years has ruled out international sales and significantly added to operational complexity. Notably, this transition was achieved against the backdrop of the financial constraints of a demanding work programme at our flagship BNG asset. It has also been implemented without undue dilution to shareholders.
Funding for the transition came principally from the sale of oil produced at BNG's MJF structure, from loans from our largest shareholding group and by running creditors and short term debt at higher levels than usual.
