UK-based Circle Oil recorded its first operating profit during the first six months of the year on the back of increased production from its North-West Gemsa permit in Egypt.

The company posted a gross profit of $4.6 million for the first half of the year, compared to a loss of $1.3 million during the same period last year.

Circle posted revenues of $21.2 million during the six months to 30 June, compared to $3.5 million booked in the first half of 2009, with $20.1 million consisting of oil sales from the company’s operations in Egypt.

It added that its share of production from its assets was between 3850 and 4150 barrels of oil equivalent per day.

Chairman Thomas Anderson said the company planned to increase production in Egypt and Morocco after commissioning a new pipeline early next year.

“We also hope to complete before the year-end a follow up 2D seismic study on the offshore Block 52 in Oman,” he added.

“We are also planning small targeted 2D seismic programs on our onshore blocks in Tunisia to give us a better geological understanding in both permits.”

(Source: upstreamonline)