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Oil and gas company Diversified Gas & Oil reported record annual production and confirmed that its 2020 results were in line with market expectations.
For the 12 months ended 31 December 2020, net production increased 18% to 100 million barrels of oil equivalent per day, or boepd.
Full-year cash operating expense was 15% lower at $5.58 per boe year-on-year and total cash expenses was 10% lower at $6.93 per boe.
Looking ahead, Diversified Gas & Oil said the improved pricing outlook 'provides a constructive backdrop as the company consistently layers in additional hedge protection in future years.'
'The company enters 2021 with significant downside protection, including approximately 90% of its natural gas production hedged at a weighted average floor price of $2.66/MMBtu,' it added.
The company also entered into an agreement to cancel 2,377,143 warrants held by Mirabaud Securities for an aggregate principal amount of approximately £1.0 million.
Following this purchase, 1,122,634 warrants remained outstanding.
The company will issue its full-year 2020 results on 8 March 2021.