ShaMaran Petroleum Corp. Sees Revenue Surge Amid Production Resumption
- In Q3 2024, ShaMaran Petroleum Corp. reported average gross daily oil production of 59,300 bopd, a significant increase from the previous year.
- Revenue for the same quarter reached $29.4 million, a 133% rise compared to Q3 2023, largely attributed to local oil sales and the restart of Atrush production.
- The company's strong financial performance indicates effective management and operational improvements following challenges from pipeline closures.
On November 7, 2024, ShaMaran Petroleum Corp. announced its financial results for the third quarter of 2024, revealing significant growth in revenue and production rates. During this period, the company achieved average daily oil production of 59,300 barrels of oil per day (bopd), which is a substantial increase of 114% from Q3 2023, driven by the resumption of operations in both the Atrush and Sarsang blocks. This recovery follows the closure of the Iraq-Turkey Pipeline (ITP), which had previously impacted production levels. The company's revenue reached $29.4 million in Q3 2024, marking a 133% increase from the $12.6 million reported in the same quarter the previous year. Increased cash flow from operations, which rose to $29.1 million, was due largely to local sales and enhanced production from the Atrush block, which restarted in the fourth quarter of 2023. Additionally, ShaMaran's proactive cost-cutting measures contributed to this financial improvement. Despite the initial challenges posed by the ITP shutdown, ShaMaran's management is actively working with relevant parties to resume pipeline exports. By the end of September 2024, the company’s cash holdings increased to $56.9 million while managing a gross debt of approximately $215.5 million. Overall, ShaMaran's quarterly performance reflects its resilience and operational efficiency in navigating regional challenges, positioning the company for future growth in the oil market.