Pan Andean sees 22% profit drop on tax provision

Irish oil-explorer Pan Andean Resources said today fiscal full-year profit fell 22 per cent because of a provision related to…

Irish oil-explorer Pan Andean Resources said today fiscal full-year profit fell 22 per cent because of a provision related to a deferred tax asset in Bolivia.

The explorer that operates in the Gulf of Mexico and Peru, said net income in the year ended March 31st fell to £467,644 from £602,399 pounds a year earlier, the company said in a statement.

Pretax profit rose 40 per cent to £1.2 million from £860,570.

Three Peruvian exploration blocks were farmed out on good terms during the period and a fourth block was won in September 2008, Pan Andean said.

Potential drilling targets were identified in the Antorcha block in Colombia, where drilling may begin early next year.

Bloomberg