Lundin Petroleum: Report For The Nine Months Ended 30 September 2013
Third quarter ended 30 September 2013 (30 September 2012)
- Production of 29.4 Mboepd (36.6 Mboepd) – Reduced production due to the planned Alvheim FPSO shutdown in August and integrity issues on certain Alvheim wells.
- Revenue of MUSD 279.8 (MUSD 343.3)
- EBITDA of MUSD 222.1 (MUSD 273.6)
- Operating cash flow of MUSD 267.9 (MUSD 218.4)
- Net result of MUSD 1.7 (MUSD 44.9)
- Non-cash impairment costs in Malaysia amounted to MUSD 39.3 after tax
- Gohta oil discovery in the Barents Sea, Norway
- Heads of agreement signed with Rosneft for the sale of a 51 percent interest in the Lagansky Block, Russia
Nine months ended 30 September 2013 (30 September 2012)
- Production of 33.3 Mboepd (35.6 Mboepd)
- Revenue of MUSD 907.6 (MUSD 1,028.9)
- EBITDA of MUSD 742.3 (MUSD 854.3)
- Operating cash flow of MUSD 770.8 (MUSD 594.0)
- Net result of MUSD 49.9 (MUSD 156.6)
- Net debt of MUSD 808 (31 Dec 2012 MUSD 335)
- Oil discovery in Luno II, offshore Norway
Comments from C. Ashley Heppenstall, President and CEO
Today our net resources have grown to over one billion barrels of recoverable oil equivalent with a particular focus on Norway. I am very pleased to report that this strategy continues to deliver positive results with this year’s exploration successes at Luno II and Gohta in the Norwegian North and Barents Seas respectively.
We remain firmly on target to double our production to over 70,000 boepd by the end of 2015. My confidence in achieving this target has increased over recent weeks as a result of the excellent progress on the Edvard Grieg development project offshore Norway where we remain on schedule and within budget.
2014 will see an aggressive appraisal programme on recent exploration discoveries. Our 2014 drilling programme will include the appraisal of the Luno II, Gohta and Tembakau discoveries in Norway and Malaysia. I believe that this appraisal programme will result in all these three projects achieving commerciality and the consequent booking of reserves.
Up to the end of 2014 our exploration drilling programme includes the drilling of at least ten exploration wells in Norway and Malaysia.
We continue to generate strong cash flow, we are well funded with lots of financial flexibility, we are on track to double our production from our development project pipeline by the end of 2015, recent discoveries are being appraised and will result in further reserve increases and Johan Sverdrup is simply a once in a lifetime discovery.
