The CEO of Aberdeen-based Faroe Petroleum said in an update the firm was “poised for a major growth phase” and it would pursue deals in its core areas on the UK and Norwegian continental shelves “while kicking off another exciting high impact exploration drilling campaign.”

Faroe’s share price has more than doubled in the past year to about 111p, giving it a stock market value of more than £400 million.

Faroe Petroleum CEO Graham Stewart said: “2016 was transformational for Faroe with the acquisition of a Norwegian portfolio of producing assets from DONG doubling group production, the material Brasse discovery in Norway, and a successful £66 million equity fund raise. 

“Production from our UK/Norwegian portfolio averaged approximately 17,400 boepd (barrels of oil equivalent per day) in 2016, and we increased our 2P reserves base by 42% to 81 mmboe.

“We ended the year with a significant cash position of £97 million and a new seven year reserve based lending facility of $250 million which is undrawn.

“We are now poised for a major growth phase as we invest across our core hub assets in 2017 and beyond, and believe that we have the asset base to reach our stated goal of 40-50,000 boepd over the next five years.

“We continue to seek to capitalise on our strong financial position to pursue consolidation opportunities in our core areas on the UK and Norwegian continental shelves, while kicking off another exciting high impact exploration drilling campaign.”