Savannah Energy Cash Balance Rises 46% to $154.3m
An African-focused British independent energy company, Savannah Energy Plc, increased cash flow in Nigeria’s oil and gas industry in 2021, following its high financial and operational performance.
Savannah’s chief executive officer (CEO), Andrew Knott, said in a statement, “We have exceeded our guidance set out at the beginning of 2021, with our Nigerian assets continuing to perform well throughout the period.”
“In addition, our financial performance in the year was very strong and operationally we were able to announce new gas sales contracts in Nigeria, as well as commencing first gas sales under the FIPL Afam contract,” the company’s boss added.
The company stated that its revenues rose by 7% to $230.5mn in 2021, after it commenced gas sales in November from its Uquo field in Nigeria under a new contract.
According to Savannah chief executive, the company’s cash balance increased 46% to $154.3mn over the year, it said, while its net debt was down 9% at $370mmn. Overall cash collections in Nigeria increased by 11% on the year, arriving at $208.2mn.
Savannah which started its gas sales to the 180-MW Afam power plant in Nigeria owned by First Independent Power (FIPL) increased its production by 14% year on year to 22,300 barrels of oil equivalent/day in 2021, on the back of a 15% growth in gas output at Uquo to 118mn ft3/day.
By Sunday Elom