Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 

NZ Oil & Gas profit falls 61% as exploration costs surge

NZ Oil & Gas annual profit falls 61% as exploration costs surge

By Tina Morrison

Aug. 26 (BusinessDesk) - New Zealand Oil & Gas, which has interests in the Tui and Kupe fields, posted a 61 percent drop in annual profit, reflecting a "sharp" increase in exploration costs and some foreign exchange losses on its US dollar holdings.

Profit dropped to $10.1 million, or 2.4 cents a share, in the 12 months ended June 30, from $25.9 million, or 6.5 cents, a year earlier, the Wellington-based company said in a statement. Revenue rose 4 percent to $103.6 million.

The oil and gas explorer said its exploration and evaluation investment costs surged 77 percent to $75 million from the previous year and is expected to continue at around US$35 million a year. Earlier this year the company said it had found no significant gas or oil shows in its Matuku well near Taranaki. It continues to build its portfolio, with four new exploration permits awarded last year, two in New Zealand deep water and two in Indonesia.

NZOG said it is finalising a development plan for the Kisaran wells in onshore Sumatra, Indonesia, with a final investment decision expected before the end of 2014.

The company's net tangible assets declined 6 percent to 81 cents a share. It will pay a final dividend of 3 cents a share on Sept. 26.

The shares last traded at 78.5 cents and have declined 2.5 percent this year.

(BusinessDesk)

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Rocket Lab: Launch Expected

Rocket Lab has delayed the roll out of the launch vehicle called Electron by one day, due to weather conditions. The planned launch attempt will now take place on Tuesday, May 23, 2017. More>>

ALSO:

Budget: Irrigate (Good Times, Come On!)

Additional grant funding of $26.7 million over the next three years plus a capital boost of $63 million towards irrigation investments in Budget 2017 will deliver economic and environmental benefits through better use of water... More>>

ALSO:

Silver Fern Farms: Proposal To Close Fairton Sheepmeat Plant

Silver Fern Farms has advised its people of the proposal to permanently close the site, and has discussed potential transfer options to its other sites in the region as part of the consultation process...
More>>

ALSO:

MPI: Myrtle Rust Appears In Taranaki

The nursery in Waitara (just north of New Plymouth) reported suspected myrtle rust symptoms on young plants to the Ministry’s 0800 number yesterday (Tuesday). More>>

ALSO: