Hurricane Energy slashes expenses, losses reduced

Hurricane Energy said it has cut its post-tax loss by 56% for the six months to 30 June to £3.2m after slashing operating costs.

The UK-based oil and gas company said on Wednesday operating expenses for the period plunged by 37% to £3.1m. The reduction in expenses was primarily driven by the decrease in advisor fees that were incurred last year as part of the group's IPO.

In the last six months, the Lancaster discovery was granted oil field status which was the first step in progressing the submission of a field development plan.

Chief executive Dr Robert Trice said the company’s primary focus continues to be working towards achieving first oil on Lancaster.

“We are making excellent technical progress and discussions are ongoing with a short list of interested parties.”

Ongoing work includes further refinement of reservoir model, well planning and evaluation of available production facilities.

In July, Hurricane Energy was successful in applications for two new blocks in the West of Shetland area.

These blocks contain a new basement prospect and an extension of the group's Lincoln prospect.