EnQuest eyes more acquisitions in UK and abroad as profits rise

OIL EXPLORER EnQuest yesterday hinted at more acquisitions as it posted a rise in profits.

EnQuest, which specialises in extending the lives of old oil fields, said yesterday that it is continuing to look at further opportunities both in the UK and internationally.

Last year the FTSE 250 company laid out plans to drill in Malaysia, its first exploration region outside of the North Sea.

Pre-tax profit inched up 3.8 per cent to $405.1m (£268.2m) – from $390.1m in 2011 – on revenues five per cent lower at $889.5m.

The company’s production guidance was yesterday revised down to between 22,000 and 27,000 barrels of oil equivalent a day, as around 1,000 barrels of oil were lost due to the shutdown of the Brent pipeline in the North Sea at the start of the year.

EnQuest – which produced 22,802 barrels of oil a day last year – plans to drill 12 wells this year, with investment of $750m, slightly down on the $803m invested in its projects last year.

Its Alma/Galia project in the North Sea is on track to deliver the first oil in the fourth quarter of this year, EnQuest said, while it expects to submit a plan to develop the Kraken field in the second quarter of this year.