Falling oil prices are generally bad news for companies digging deep to try to find to find some the black stuff.
But RockRose Energy PLC (LON:RRW) thinks the recent decline could actually throw up some opportunities.
The debt-free company, which has US$121.4mln of cash in the bank, was on something of a mission last year, snapping up various producing assets, including Netherlands-based Dyas BV for £94mln.
“We continue to invest in the organic growth of our portfolio, while also actively evaluating acquisition opportunities,” said executive chairman Andrew Austin.
“The recent decline in the oil price, combined with the strength of our balance sheet and absence of any debt, potentially presents further value accretive acquisition opportunities for RockRose.”
With the additions to the portfolio, group production averaged 10,772 barrels of oil equivalent per day (boepd) and peaked at 11,200 in December.
RockRose hopes for the more of the same in 2019 and is guiding for production of between 10,000-12,000 boepd.
“2018 was a busy year for RockRose Energy,” added Austin.
“We integrated the acquisitions of Idemitsu, Egerton and Sojitz, which completed at the close of 2017, returned capital to shareholders, agreed and closed the further acquisitions of Dyas BV and our 30.4% interest in the Arran Field, agreed with the FDP on Arran and tendered for 20% of the equity in the company.”