Medco?s net profit soars due to asset sale

IDX-listed energy firm PT Medco Energi Intenasional Tbk. reported Tuesday a net profit of US$280.2 million in 2008, 34 times the previous year's profit of $6.6 million, mainly due to asset sale.

The firm gained $260 million last year from the sale of its shares in drilling firm PT Apexindo Pratama Duta. During the period, the firm also received $25 million from American firm Anadarko after the latter terminated their joint venture agreement.

Sales reached $1.3 billion in 2008, a 19.3 percent increase from $1.1 billion in the previous year, the company's balance sheet say.

The price of its crude averaged $100.6 per barrel in 2008, compared to $72 in 2007, while gas average price reached $4.2 per million Million British Thermal Units (mmbtu) in 2008 compared to 3.2 mmbtu in 2007.

Aside from crude oil and gas, the firm also sells methanol, electricity and fuel.

Methanol sales reached 129,600 MT in 2008, up 13% from 114,200 MT in 2007, while the average price of the chemical was higher 7.1% to $315 per MT.

Fuel sales reached 196,800 kiloliter in 2008, higher 318.7% compared to 47,000 kiloliter in 2007.

However, Medco?s crude lifting in 2008 was down to 45 MBOPD from 50.4 MBOPD in 2007 and gas production was also down by 8% to 108.1 MMCFD.

LPG production is also down to 16,700 MT from 26,800 MT in 2007, but the average price was higher 62.3% to $714 per MT from $440 per MT. (denny)