BNK Petroleum Inc. (TSX: BKX) has filed the paperwork necessary to relinquish the Slupsk concession in the Baltic Basin of Poland, and intends to shut down all operations in Poland.
BNK’s efforts to find a joint venture partner for the Slupsk concession were extensive but unsuccessful, and the relinquishment of the concession and shut down of the company's remaining operations in Poland is consistent with BNK’s other cost reduction measures. The discontinuation of the company's operations in Poland, which cost about US$1.7 million last year, is expected to result in savings after accounting for shut-down costs.
Wolf Regener, president and CEO, commented, "In this difficult oil and gas price environment, the closing of our Polish operations considerably adds to our cost-reduction efforts. We will continue to focus on our Tishomingo Field asset in Oklahoma, which we believe has great potential and where our existing hedging provides significant additional operating cash flow through 2018 when oil prices are low. We also will continue our efforts to identify new opportunities in the US and internationally."
BNK Petroleum Inc. is an international oil and gas exploration and production company focused on finding and exploiting predominately unconventional oil and gas resource plays. Through various affiliates and subsidiaries, the company owns and operates shale oil and gas properties and concessions in the US and Spain.