Medco swings to profit
Monday, April 3 2017 - 12:15 PM WIB
Medco said in a statement late Monday that it booked a net profit of US$185 million last year, compared to a net loss of $188 million in 2015.
The company said that oil and gas production last year increased to 66 mboepd from 56 mboepd in the previous year, while unit costs declined to $8.8 per boe from $12.3 per boe. Full year EBITDA was $274 million, compared to $220 million in 2015, with PT Amman Mineral Nusa Tenggara (AMNT) results equity consolidated.
?2016 was a transformational year for the company. Despite continued business uncertainty we pursued a clear strategy to acquire quality producing assets at advantaged prices. I am confident that our improved operating margins will continue to deliver value and returns to our investors, lenders and other stakeholders. We are proud to be a competitive, financially robust national champion,? said Medco President Director Hilmi Panigoro in the statement.
Roberto Lorato, CEO said ?In 2016 we exceeded our guidance in all areas. We acquired two large strategic producing assets, pushed forward with execution of the Aceh gas development, achieved a year end production run rate of over 80 mboepd, all while adjusting our organization and cost structure and delivering excellent HSE performance. In 2017 we will build upon this and remain disciplined in pursuing our operational and financial goals,? added CEO Roberto Lorato.
Medco last year completed a number of acquisitions including an indirect 40.89 percent in AMNT, a gold and copper mining firm formerly known as PT Newmont Nusa Tenggara; a 40 percent operating interest in South Natuna Sea Block B from operator ConocoPhillips Singapore Operation Pte Ltd; a 25 percent interest in Lematang PSC in South Sumatra from Lunding Petroleum; and consolidated its Block A Aceh interest to 85 percent by acquiring 16.67 percent from Japex and 26.67 percent from KrisEnergy.
Editing by Reiner Simanjuntak