Origin Energy Limited today released the Quarterly Production Report for its Exploration and Production business, reporting production of 36.3 petajoules equivalent (PJe) and sales revenues of $232.3 million, for the quarter to 30 September 2011.
During the quarter, significant progress continued to be made on the Australia Pacific LNG project.
Australia Pacific LNG announced a Final Investment Decision on the first phase of its coal seam gas to liquefied natural gas project, underpinned by a sale and purchase agreement with Sinopec for the supply of 4.3 million tonnes per annum of LNG. Australia Pacific LNG also completed a Subscription Agreement facilitating the acquisition by Sinopec of a 15 per cent ownership interest in the joint venture, diluting Origin’s interest to 42.5 per cent.
Origin Executive Director, Finance and Strategy, Ms Karen Moses , said “ The Exploration and Production business achieved production consistent with the same quarter last year.
“ Sales revenues increased by 4 per cent to $232.3 million, reflecting significantly higher crude oil prices and a modest increase in average gas prices .
“ Higher production from the Otway, Perth and Cooper basins compensated for a reduced share of production from Australia Pacific LNG following dilution of Origin’s interest from 50 per cent to 42.5 per cent, as a result of completion of the Subscription Agreement with Sinopec .
“ Australia Pacific LNG continues to deliver strong production, achieving well deliverability rates ahead of expectations. At the end of the Quarter, average production from operated assets was 243 TJ/d and 58 TJ/d from non-operated assets (Australia Pacific LNG share) ,” Ms Moses said.
Compared with the June Quarter 2011, production was 2 per cent lower. This was due to decreased production in the Otway as a result of compressor maintenance, lower customer nominations and the reduced share of Australia Pacific LNG production. Sales volumes equalled the June quarter at 39 PJe, while sales revenues were 3 per cent higher reflecting higher natural gas and crude oil prices.
[mappress] Source: Origin Energy, October 31, 2011