Serica Energy Share News (SQZ)

Global oil & gas explorer Serica Energy said Italian oil major ENI had joined it as an operator on a UK gas project as it unveiled lower losses.Serica said its partner JX Nippon had agreed a deal with ENI under which the Milan-listed group would operate block 22/19c, where large high-pressure, high-temperature prospects were evident."Progress towards drilling on Block 22/19c is encouraging," the group said in results for the year to December 31st.During the year, Serica also did a deal with Centrica for the drilling of a well on the former's Doyle prospect in the East Irish Sea at limited cost to Serica.Centrica is meeting the costs of Serica's retained 20% interest up to a gross well spend of £11m and has confirmed that the well will be drilled as part of the British Gas owner's forward programme with spud now likely early next year.Serica said it had funds to meet planned spending through to the end of 2015 and had an end-of-year cash balance of $26.1m with no debt.The group reduced annual losses from continuing operations to $5.1m from $16.4m.Its shares were unchanged at 10.5p by 16:02 in London.PW