Strike Energy shares sink on downward revision of gas reserve
Make us a preferred source
Make us a preferred source on Google
The news: Shares in Strike Energy slumped on the ASX after the oil and gas explorer revised down the size estimate of gas reserves at its Walyering gas field in Western Australia.
The numbers: Strike shares tumbled 9.1% to 20 cents by 12:35pm AEST.
The energy company said it has produced around 7 petajoules equivalent from the Walyering gas field over the past year, generating $64 million in gross sales revenue and achieving payback in May of this year.
The context: Strike said Walyering has performed "within the original range of expectations" over the past year.
However, a downward revision to 2P reserves had been made, driven primarily by changes in the assumptions of gas in place.
2P reserves mean the size of gas resources that are "proved and probable". 1P means "proved", while 3P means "proved, probably and possible".
The source: ASX announcement
