ENP Newswire - 18 February 2014
Release date- 17022014 - Cooper Energy Limited (ASX: COE) has announced its highest ever interim profit, recording net profit after tax of $13.6 million for the 6 months to 31 December 2013, up from $4.6 million in the 2013 first half.
EBITDA of $21.2 million was 163% higher than the previous corresponding figure of $8.1 million.
The growth in earnings was primarily driven by record production from the Company's Cooper Basin and Indonesian operations and higher oil prices. Production of 0.30 million barrels was 41% higher than the 0.21 million barrels produced in the 2013 first half. The average oil price for the period of A$126.50 per barrel was 15% higher than the previous corresponding period's average of A$109.80 per barrel. Cash flow from operations of $24.2 million enabled the company to maintain its strong financial position with cash and financial assets of $65.7 million at 31 December 2013, notwithstanding increased capital expenditure.
Cooper Energy Managing Director David Maxwell said 'the real strength of our low cost and high margin Cooper Basin operations is apparent in the cash flow and the average netback of $97 per barrel after costs of production, transportation and royalties. The results affirm the strategic decision two years ago to refocus the company on Australia and low cost/low risk opportunities in Indonesia' he said.
Exploration and development highlights during the period included Hammamet West-3, offshore Tunisia which recovered oil and gas from the Abiod Formation, Worrior-8 which discovered oil in the Patchawarra formation in PEL- 93 in the Cooper Basin, and the successful 4 well development program completed in PEL-92 (Cooper Basin). An extensive seismic acquisition and processing program during the first half has delineated exploration targets for drilling in the Cooper Basin and in Indonesia.
Mr Maxwell said 'the second half will include appraisal of the Patchawarra oil discovery in the Worrior field, the current 2 well program targeting unconventional gas in the Otway Basin and further exploration in the Cooper Basin where success rates are high'. Mr Maxwell noted that exploration and development activity in the second half will also feature workovers and development wells in the prospective South Sumatra Basin in Indonesia with the objective of further increasing Indonesia oil production.
'We are expecting that our recent seismic acquisition and interpretation will lead to an interesting and busy period in the closing six months of this calendar year. We are planning further drilling in our Cooper Basin acreage and the South Sumatra Basin, Indonesia and to drill the second sidetrack appraisal at Hammamet West. We are also aiming for completion of the divestment of the Tunisian portfolio and interest in these assets has been high following the drilling of Hammamet West-3' he said. Cooper Energy has reaffirmed its guidance of production for the 12 months to 30 June 2014 will range between 0.54 and 0.58 million barrels, an increase of between 10% and 18% on FY13 levels.
Cooper Energy Limited
Tel: +61 8 8100 4900
Tel: +61 439 300 932
About Cooper Energy Limited
Since listing on the ASX in 2002, Cooper Energy has built a portfolio of near term low risk development and appraisal projects as well as high impact exploration prospects. Cooper Energy currently produces over 500,000 barrels of oil production per year from the Cooper Basin, South Australia and 160 barrels of oil per day production from its Sukananti KSO in Indonesia. Cooper Energy also has prospective exploration licenses in Australia (Cooper and Otway Basins), Tunisia and Indonesia. Cooper Energy enjoys a solid balance sheet, good production earnings, and has a clear strategy to enhance shareholder return.