Aker BP Announces First Quarter 2019 Results

Source Press Release
Company Aker BP ASA 
Tags Strategy - Corporate
Date April 26, 2019

The company’s net production in the first quarter was 158.7 (158.6) thousand barrels of oil equivalents per day (“mboepd”). Net sold volume was 162.0 (167.3) mboepd. Total income amounted to USD 836 (944) million for the quarter. Petroleum revenues and production costs for the comparative period have been restated following a change in accounting principle as de­scribed in Note 1 to the interim financial statements.

Average realised liquids price was USD 63.9 (67.4) per barrel, while the realised price for natural gas averaged USD 0.24 (0.28) per standard cubic metre (“scm”). Total income was negatively affected by USD 26 million in value adjustments on the compa­ny’s oil price hedging positions.

Production costs for the oil and gas sold in the quarter amounted to USD 200 (195) million. Production cost per produced barrel oil equivalents (“boe”) amounted to USD 13.4 (12.1). Exploration expenses amounted to USD 90 (55) million. Total cash spend on exploration was USD 159 (80) million. The company participated in three explorationwells in the quarter, of which the Froskelår well was a discovery.

Depreciation was USD 183 (185) million, equivalent to USD 12.8 (13.0) per boe. Impairments amounted to USD 69 (0) million re­lated to technical goodwill, driven by changes in expected cost and production profiles for future developments in the Ula area.

Profit before taxes amounted to USD 249 (458) million. Tax ex­pense was USD 239 (290) million, representing an effective tax rate of 96 per cent. The main reason for the high effective tax rate was the impairment of technical goodwill which is not de­ductible for tax purposes. Net profit was USD 10 (169) million.

Investments in fixed assets amounted to USD 364 (257) million in first quarter. All field development projects, including Johan Sverdrup, Valhall Flank West and Ærfugl, progressed according to plans.

Net interest-bearing debt was USD 2.5 (3.0) billion at the end of the quarter, including USD 0.4 billion in lease debt recognized in the financial statement due to implementation of IFRS 16 Leases. Total available liquidity at the end of the quarter was USD 3.0 (3.5) billion.

In February, the company paid a quarterly dividend of USD 0.5207 (NOK 4.41) per share. The Board has resolved to pay a quarterly dividend of USD 187.5 million (USD 0.5207 per share) in May 2019.

Source: EvaluateEnergy® ©2019 EvaluateEnergy Ltd