Stockholm, 2015-08-05 07:38 CEST (GLOBE NEWSWIRE) --
Six months ended 30 June 2015 (30 June 2014)
| • | Production of 27.4 Mboepd (26.0 Mboepd)1 |
| • | Revenue of MUSD 279.1 (MUSD 460.8) |
| • | EBITDA of MUSD 192.4 (MUSD 349.3) |
| • | Operating cash flow of MUSD 347.3 (MUSD 497.0) |
| • | Net result of MUSD -171.0 (MUSD 0.8) including a net foreign exchange loss of MUSD 176.7 |
| • | Net debt of MUSD 3,496 (31 December 2014: MUSD 2,609) |
| • | The Bøyla field, Norway and the Bertam field, Malaysia commenced production in January and April 2015 respectively. |
| • | Edvard Grieg topside modules successfully installed, offshore Norway and first oil on track for the fourth quarter 2015. |
| • | The Norwegian Parliament endorsed the Plan for Development and Operations (PDO) for Johan Sverdrup Phase 1 in June 2015. Allocation of the Johan Sverdrup field increased to 22.60 percent from 22.12 percent. |
| • | Alta appraisal wells 7220/11-2 and sidetrack 7220/11-2 A in PL609 in the southern Barents Sea, Norway completed successfully. |
| • | Eight exploration licences awarded in the Norwegian 2014 APA licensing round, six as operator. |
| • | Production licence obtained for the Morskaya field in the Caspian Sea, Russia. |
| • | NOK 4.5 billion financing facility for Norwegian exploration was signed. |
Second quarter ended 30 June 2015 (30 June 2014)
| • | Production of 28.9 Mboepd (25.4 Mboepd)1 |
| • | Revenue of MUSD 157.8 (MUSD 225.4) |
| • | EBITDA of MUSD 106.5 (MUSD 171.5) |
| • | Operating cash flow of MUSD 191.6 (MUSD 241.0) |
| • | Net result of MUSD 59.9 (MUSD -2.4) |
1 Excluding production from Russian onshore assets following the sale of the assets in July 2014.
Web cast presentation
Listen to President and CEO Ashley Heppenstall and CFO Mike Nicholson comment on the report at a live webcast on Wednesday 5 August at 09.00 CET.
The presentation and slides will be available on www.lundin-petroleum.com prior to the presentation. Please dial in to listen to the presentation on the following telephone numbers: Sweden: + 46 8 519 993 55,
International: +44 203 194 0550, International Toll Free Number: +1 855 269 2605
Comments from C. Ashley Heppenstall, President and CEO
I am pleased to report that, despite the challenging market conditions in the oil and gas industry particularly relating to low oil prices, Lundin Petroleum is on track to meet our 2015 objectives of first oil from Edvard Grieg and the go ahead of the Johan Sverdrup project. Our Company is in strong health with a production base which will grow significantly, cost of operations which going forward will be below USD 10 per barrel and with strong access to liquidity to withstand the current low oil price environment.
We have made good progress with the Edvard Grieg development project and we remain on track for first production by the end of 2015. We have however revised our 2015 production guidance to 32,000 barrels of oil equivalents per day predominantly as a result of the Brynhild revised production forecast and the delay of the installation of Edvard Grieg topsides.
It was announced in July 2015 that Lundin Petroleum's working interest in Johan Sverdrup increased to 22.60 percent from 22.12 percent. We are also pleased that the project schedule remains on track for first oil in late 2019.
I announced recently that after 13 years as President and CEO of Lundin Petroleum I would be stepping down from executive duties with the Company so this will be my last Letter to Shareholders. The Company is in excellent health, has a great management team, a clear strategy and strong liquidity. I have worked for the last 20 years with Alex Schneiter, the new President and CEO, and I fully support his appointment.
Lundin Petroleum is a Swedish independent oil and gas exploration and production company with a well balanced portfolio of world-class assets primarily located in Europe and South East Asia. The Company is listed on NASDAQ Stockholm (ticker "LUPE"). Lundin Petroleum has proven and probable reserves of 187.5 million barrels of oil equivalent (MMboe).
For further information, please contact:
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Maria Hamilton Head of Corporate Communications E-mail: maria.hamilton@lundin.ch Tel: +41 22 595 10 00 Tel: +46 8 440 54 50 |
Teitur Poulsen VP Corporate Planning & Investor Relations Tel: + 41 22 595 10 00 |
This information has been made public in accordance with the Securities Market Act (SFS 2007:528) and/or the Financial Instruments Trading Act (SFS 1991:980).
Forward-Looking Statements
Certain statements made and information contained herein constitute "forward-looking information" (within the meaning of applicable securities legislation). Such statements and information (together, "forward-looking statements") relate to future events, including the Company's future performance, business prospects or opportunities. Forward-looking statements include, but are not limited to, statements with respect to estimates of reserves and/or resources, future production levels, future capital expenditures and their allocation to exploration and development activities, future drilling and other exploration and development activities. Ultimate recovery of reserves or resources are based on forecasts of future results, estimates of amounts not yet determinable and assumptions of management.
All statements other than statements of historical fact may be forward-looking statements. Statements concerning proven and probable reserves and resource estimates may also be deemed to constitute forward-looking statements and reflect conclusions that are based on certain assumptions that the reserves and resources can be economically exploited. Any statements that express or involve discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, assumptions or future events or performance (often, but not always, using words or phrases such as "seek", "anticipate", "plan", "continue", "estimate", "expect", "may", "will", "project", "predict", "potential", "targeting", "intend", "could", "might", "should", "believe" and similar expressions) are not statements of historical fact and may be "forward-looking statements". Forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause actual results or events to differ materially from those anticipated in such forward-looking statements. No assurance can be given that these expectations and assumptions will prove to be correct and such forward-looking statements should not be relied upon. These statements speak only as on the date of the information and the Company does not intend, and does not assume any obligation, to update these forward-looking statements, except as required by applicable laws. These forward-looking statements involve risks and uncertainties relating to, among other things, operational risks (including exploration and development risks), productions costs, availability of drilling equipment, reliance on key personnel, reserve estimates, health, safety and environmental issues, legal risks and regulatory changes, competition, geopolitical risk, and financial risks. These risks and uncertainties are described in more detail under the heading "Risks and Risk Management" and elsewhere in the Company's annual report. Readers are cautioned that the foregoing list of risk factors should not be construed as exhaustive. Actual results may differ materially from those expressed or implied by such forward-looking statements. Forward-looking statements are expressly qualified by this cautionary statement.
