(Reuters) - Canada's Bankers Petroleum Ltd BNK.TO reported a lower first-quarter profit due to higher taxes and said its output has been flat for the last few months, sending its shares down 24 percent to their lowest in nearly three years.
The company is focused on developing Patos-Marinza onshore oilfield in Albania and has a deal with state-owned Albpetrol to take over and re-activate 120-130 wells each year.
Production remained flat due to operational challenges associated with mature heavy oilfield development including interference from old well bores, sand production, and water disposal capacity, Bankers Petroleum said in a statement.
The company said its production in the second quarter till now has been 13,600 barrels of oil per day (bopd).
"The Patos-Marinza field's turnaround is still to come ... it seems the joys of owning a vintage 'vehicle' is losing its appeal," RBC Capital Markets analysts Al Stanton said.
Bankers Petroleum struggled with production shortfalls last year as well.
Net income for the first quarter fell 31 percent to $7.8 million, or 3.1 cents a share, from $11.2 million, or 4.4 cents a share last year.
Income tax expense rose to $17.6 million from $9.5 million.
Oil revenue rose 41 percent to C$102.7 million.
The company realized a 25 percent higher price for its oil at $84.96 in the first quarter. Sales volume increased 12 percent to 13,279 barrels of oil per day.
The company's shares, which have lost about a third of their value in the last six months, were down 22 percent at C$2.68 on Monday on the Toronto Stock Exchange. They touched a low of C$2.63.
Reporting by Aftab Ahmed in Bangalore; Editing by Sreejiraj Eluvangal