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Bankers Petroleum reaches record production in Albania

Date: January 28^th 2010 Author: Gjergj Erebara, Tirana Category: Articles
Topic: Oil and oil derivates

The Canadian based company Bankers Petroleum managed to extract 7,230 barrels of oil per day (bopd) in the last quarter of 2009, which is the maximum production registered in the last decade in Albania.

“Fourth quarter production averaged 7,230 bopd from the Patos Marinza oil field in Albania compared to third quarter production of 6,258 bopd, an increase of 16 per cent,” the company said in a press release, announcing also an increase in its production forecast for 2010. Patos Marinza is considered the largest onshore source of oil in the continental Europe and has been operated privately through a product sharing agreement between the government and the investor.

PHOTO: www.nis.yu

“The Patos Marinza fourth quarter average oil price was 45.10 US dollars per barrel representing 61 per cent of the Brent oil price, compared to third quarter’s average oil price of 40.71 US dollars per barrel (60 per cent of Brent),” the company said.

The company expects to drill 52 horizontal and 4 vertical wells this year as part of its 2010 capital program worth 152 million US dollars. Bankers expect to fund the capital program from funds generated from operations, existing cash resources and from its unutilized 110 million dollar credit facilities.

A part of the extracted crude oil goes to the country’s only refinery ARMO, while the major part is exported to the Italian market through the seaport of Vlora.

“The Company completed two new contracts for its crude oil export arrangements with BP Oil International Ltd., UK, and Vitol S.A., Geneva, and renegotiated its current agreements with the two refineries in Italy; the average Patos Marinza crude price for 2010 is expected to represent between 61 and 63 per cent of the Brent oil price”, Bankers said through a statement.

PHOTO: www.nis.yu

In December, the company revised its plans by sharply increasing investments and production forecast. For 2010, Bankers intends to invest 152 million US dollars, an increase of 275 per cent compared to 2009.

The 2010 exit rate production guidance has also been revised to 15,000 bopd, an increase of 15 per cent compared to its previous guidance and an 88 per cent increase compared to the projected 2009 exit rate of 8,000 bopd.

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