Edge sees losses narrow as it cuts costs and ups its output
CANADIAN gas and oil exploration company Edge Resources yesterday declared that its pre-tax loss had narrowed significantly in its last financial year due to higher output of oil and liquid natural gas, as well as expense cutting.
Based in Alberta and Saskatchewan, the company announced that its pre-tax loss had narrowed to $1.8m (£1.1m) for the year ending 31 March, from $6.8m a year earlier, as revenue increased 19 per cent to $10m, from $6.8m.
Total expenses fell 34 per cent to $9.5m, from $14.3m last year.
President and chief executive Brad Nichol said: “The last year has been an exceptional period for the company with oil production leading to record revenue levels as a result of a very successful drilling programme that utilised the proceeds from our over-subscribed November 2013 share offering.
“The decision taken in 2012 to focus on increasing oil exploration and production is paying dividends – and it is a direction and policy we intend to follow with increasing vigour going forward.”
Despite the results, Edge Resources shares closed down 13 per cent to 11.59p yesterday.