Clontarf Energy narrows loss to £274,196 for 2014

Clontarf Energy has reported a loss of £274,196 for 2014, down significantly from a loss of £3.1 million the previous year.

The oil and gas exploration company had net current liabilities of £383,170 at the balance sheet date, down significantly from £1.3 million in 2013.

The group said £710,567 owed to directors in respect of remuneration, was included in the current liabilities.

Clontarf Energy chairman John Teeling said the 50 per cent fall in the oil price in late 2014 and early 2015 was a further blow to weakened corporate structures.

“Many exploration ventures which looked good at US$100 a barrel of oil struggle at US$60 a barrel,” he added.

Clontarf Energy raised £121,500 in July 2014 and £500,000 in October.

The primary focus of the explorer is on the Tano 2A block offshore Ghana, which Clontarf has a 60 per cent stake in. This block, where an agreement was signed in 2008 with the local oil authorities, covers 1,500 plus sq km of good exploration ground. Clontarf and partners spent US$2 million on the block.

Clontarf holds a revenue royalty of 3 per cent on any production from Block 183 northeast of Peru, up to a maximum of US$5 million on each of two discoveries.

Peru Oil & Gas Exploration Limited indicated to Clontarf that a joint venture to drill the block is being discussed with a South American oil company.

“It will be some time, if ever, before Clontarf sees a cash flow,” Mr Teeling said.