Energi Mega?s revenue down by 20%

By Nova Farida

IDX-listed oil and gas firm Energi Mega Persada Tbk (EMP) said unaudited revenue last year fell by almost 20 percent to US$500 million from $624 million in the previous year due to a combination of lower output and weak price environment.

EMP Investor Relations Manager Herwin W. Hidayat said on Thursday that oil and gas production last year reached 43,000 boepd, down from 46,600 boepd in 2015.

The company?s gas selling price last year averaged at $6.2 per mmbtu, while oil price averaged at only around $38.5 per barrel. ?The oil price had not changed much. In terms of bottom line (for 2016), we can?t disclose it yet because the (financial) report has yet to be audited. But we expect a slight increase,? Herwin said.

Average oil production last year stood at 8,700 bpd. ?More than 50 percent of the oil output came from Malacca and ONWJ blocks,? Herwin said.

He added that average gas production last year was 200 mmscfd. Over 90 percent of the gas production came from three blocks, namely Kangean in East Java, Bentu in Sumatra, and ONWJ in West Java.

In a bid to maintain production level, EMP this year plans to spend $114 million in capital expenditure, focusing its production operations at the Bentu and Kangean blocks as contract in ONWJ block has recently expired. The company is still interested to have a participating interest in the block under the new production contract, and is waiting for response from the government.

Editing by Reiner Simanjuntak