JOHANNESBURG (miningweekly.com) - ASX-listed Beach Energy on Wednesday noted that full year pro forma production was expected to be within the upgraded range of 25.5-million barrels of oil equivalent to 27.6-million barrels of oil equivalent, comprising Beach production of 10.6-million barrels of oil equivalent to 11-million barrels of oil equivalent.
The recently acquired Lattice Energy was expected to deliver production of 14.9-million barrels of oil equivalent to 16.6-million barrels of oil equivalent for the full year.
"Beach production guidance has been increased owing to an increase in expected wells to be drilled and connected, better than expected incremental oil production from Western Flank artificial lift installations, and strong initial production from recent well connections.
"Lattice operations are performing in line with expectations and production has tracked to budget. Full year production guidance has therefore been maintained," the company outlined in a statement.
Meanwhile, the company reported a significant increase in its net cash quarter-on-quarter, up 140%, or $322.7-million, to $552.2-million in the three months ended December 31.
The company explained that this was driven by $297-million in net proceeds generated from institutional and retail entitlement offers launched to help the $1.58-billion acquisition of Lattice Energy.
The company also reduced its capital expenditure guidance to between $405-million and $455-million, down from the previous estimate of $425-million to $535-million.