Trinity maintains production as it prepares for further development

The AIM-traded firm said that was down marginally on the 3,047 barrels per day it recorded in the second quarter, and made for a year-to-date average of 2,995 barrels per day.

Its unaudited cash balances increased over the three months ended 30 September to $20.4m, from $19m at the end of June, as a result of strong operating cash generation over the period.

Operationally, Trinity reported increased automation, a low cost base and an upward trend in oil prices as underpinning the higher levels of cash generation.

As a result, the company said it was “well-placed” to accelerate investment, with its focus remaining on monetising and broadening its production portfolio while making use of partnerships to target new acreage.

Additionally, it said it was exploring ways to increase its focus on sustainability and transition fuels.

The company’s focus in the third quarter was on progressing various production-led opportunities, with the new 25-year Galeota licence and its move to a 100% working interest marking the next phase of development for the block.

Looking ahead, Trinity said that onshore it expected to finalise a drilling programme during the fourth quarter to start early in 2022.

The drilling inventory was building, supported by the 3D seismic evaluations, with 16 drill-ready candidates being developed including conventional, high-angle and horizontal infill targets.

It also expected the PS4 acquisition, which was adjacent to its core onshore producing fields WD2 and WD5/6, to complete, expanding its opportunity to make further recompletions and infill wells to increase production.

Offshore, its focus during the fourth quarter would be on working with its advisor to start the formal marketing process as part of farming down the Galeota asset development opportunity, which included the current Trintes Field production, the Echo field development and the Foxtrot and Golf appraisal areas.

That process was expected to take six to nine months.

“We continued to develop our business during the period, maintaining existing assets, laying the foundations for longer-term production growth from our existing portfolio while also pursuing new growth opportunities,” said chief executive officer Jeremy Bridglalsingh.

“The government's focus on stimulating the sector could provide significant opportunities for Trinity and we look forward to participating in the new bid rounds to be launched.”

At 1508 BST, shares in Trinity Exploration and Production were up 3.16% at 153.2p.