Hardy O&G Releases Preliminary Results for '09

Hardy Oil and Gas, the oil and gas exploration and production company with interests predominantly in India, has released its Preliminary Results for the year ended December 31, 2009.

Operational Highlights

  • D3: Drilled the third consecutive gas discovery on the D3 block (Dhirubhai 44)
  • D3: Appraisal programme for Dhirubhai 39 and 41 discoveries was submitted to DGH for review
  • D3: Completed the acquisition of 1,150 km2 of 3D seismic data (3D seismic data has now been acquired across the entire block)
  • D9: Drilled the first of four exploration wells on the D9 block, which was plugged and abandoned
  • Assam: Completed the acquisition of 390 line km of 2D seismic data
  • PY-3: Hardy's net entitlement average daily production for 2009 was 276 stbd (2008: 397 stbd)
  • PY-3 field was suspended in July 2009 and re-commenced production in January 2010 at an initial stabilised rate of 3,336 stbd
  • PY-3: The PY3-PD4-RL well was suspended with a gas lift valve in position for future reactivation with artificial lift 

Financial Highlights

  • Loss before taxation of $7.9 million (2008: profit before taxation $12.4 million*)
  • Cash deficiency from operations of $4.1 million† (2008: Cash surplus $1.6 million†)
  • Capital expenditure of $13.5 million (2008: $31.6 million)
  • Equity issue in April 2009 raising net proceeds of $15.2 million
  • Cash and short-term investments at 31 December 2009 of $30.5 million (2008: $30.1 million) and no long-term debt


  • Chief Executive Sastry Karra becomes Non Executive Director and Yogeshwar Sharma succeeds Mr Karra as Chief Executive Officer effective 31 March 2010


  • Exploration
    • D3: Commencement of drilling the fourth exploration well on the D3 block expected in the first half of 2010; a further two exploration wells by the end of the year
    • D9: The re-commencement of exploration drilling in the second half of 2010
  • Appraisal
    • D3: The D3 joint venture is considering the drilling of at least one appraisal well in the second half of 2010