It has been a busy year for oil and gas explorer Parkmead (PMG). The company acquired interests in two North Sea gas prospects, one proven North Sea gas field, one large North Sea oil field, four prospective North Sea gas basin licences and 25 exploration blocks in the Central North Sea, west of Scotland and west of the Shetlands. It also acquired its first revenue-generating production assets, purchasing onshore gas assets in the Netherlands.
Executive chairman Tom Cross - formerly of Dana Petroleum - looks to be making good on his strategy to rapidly grow the company through acquisitions and organic growth. And while none of the deals were particularly transformational on their own, they have helped build the foundations for growth in the years ahead. After luring in much of Dana’s former management team and putting together a sizeable licence position, Parkmead is getting closer to the exciting exploration and development stage where plenty of value can be created.
That said, don’t expect a big surge of high-impact drilling any time soon. "As we move into 2013, the group has planned an active seismic and drilling programme across our portfolio of assets," noted Mr Cross with the results statement - suggesting another year of slow but steady progress.
PARKMEAD GROUP (PMG) | ||||
|---|---|---|---|---|
| ORD PRICE: | 14p | MARKET VALUE: | £107m | |
| TOUCH: | 13.8-14p | 12-MONTH HIGH: | 26p | LOW: 11.8p |
| DIVIDEND YIELD: | nil | PE RATIO: | na | |
| NET ASSET VALUE: | 1.6p | NET CASH: | £4.7m | |
| Year to 30 Jun | Turnover (£m) | Pre-tax profit (£m) | Earnings per share (p) | Dividend per share (p) |
|---|---|---|---|---|
| 2008 | 1.28 | -0.37 | -0.10 | nil |
| 2009 | 0.16 | -6.33 | -1.72 | nil |
| 2010 | 2.36 | -1.41 | -0.29 | nil |
| 2011 | 3.75 | -3.45 | -0.59 | nil |
| 2012 | 2.95 | -4.92 | -0.78 | nil |
| % change | -21 | - | - | - |
