Circle Oil said it swung to a substantial pretax loss in 2014 after it booked impairments and write-offs related to its operations in Oman and Egypt and the fall in oil prices.

he U.K.-listed oil and gas explorer, which has interests in Morocco, Tunisia, and Egypt, reported a net loss of $54 million for the year ending Dec 31, 2014 compared with a net profit of $29 million in the same period a year earlier. This reflected a 9% drop in revenue to $85 million largely due to lower oil prices and exploration write offs of $57 million largely focused in Oman and Tunsia. It also recorded a $14 million impairment charge on its NW Gemsa permit in Egypt.

In Morocco, gross gas production was 6.46 million cubic feet per day, broadly similar to last year, although gross oil production declined to 10,026 barrels of oil per day from 10,443 barrels of oil per day due to the maturing NW Gemsa fields in Egypt.

Source: London Southwest