04:39 PM EDT, 05/15/2024 (MT Newswires) -- Birchcliff Energy ( BIREF ) on Wednesday said its first-quarter loss narrowed despite weaker oil and gas prices.

The natural gas-focused Western Canadian producer said it lost C$15.04 million, or C$0.06 per share, in the period, narrowing from a loss of C$42.55 million, or C$0.16, in the year-prior quarter. Adjusted funds flow fell 26% to C$66.08 million, or C$0.25, from C$88.74 million, or C$0.33.

Revenue fell 22% to C$163.3 million from C$208.65 million, as oil and gas production rose 1.1% to 75,402 barrels of oil equivalent per day, while its average price per barrel equivalent fell 23% to C$23.80.

"Although natural gas prices are forecasted to remain challenged through the middle part of 2024, we remain bullish on the long-term outlook for natural gas and we expect prices to improve due to the anticipated increased demand from the start-up of various LNG projects in North America and gas-fired power generation," chief executive Chris Carlsen said in a release.

While maintaining its guidance on production and capital spending, Birchcliff its forecast for adjusted funds flow to C$270 million from C$340 million, while now expecting free funds flow of between C$10 million and C$30 million, down from it prior target of around C$90 million. It also said it expects to end the year with about C$475 million of debt, up from its prior target of around C$415 million.

The company's shares closed up C$0.10 to C$5.87 on the Toronto Stock Exchange.