Santos announced record sales revenue of over $1 billion for the third quarter of 2013. The record result was driven by the company’s highest oil production in six years, strong oil prices and higher third party sales volumes.
Record quarterly sales revenue and strong progress on growth projects
Key activities during the period
Santos Managing Director and Chief Executive Officer David Knox said that record sales revenue of over $1 billion demonstrated the performance of the existing business at the same time as the company continued to progress the delivery of new projects and create opportunities for the future.
“ Excellent progress continues to be made on our two major growth projects, with PNG LNG over 90% complete and GLNG over 65% complete. Both projects remain on schedule and capital cost estimates remain unchanged .”
“ We also continue to execute our strategy of focused growth in Asia, with the acquisition of an interest in the Ande Ande Lumut oil field offshore Indonesia and interests in exploration permits in Papua New Guinea. Our development projects, Dua and Peluang, are also on track to deliver first oil and first gas respectively in the first half of 2014. ”
“Exploration in the Browse Basin and in the Cooper Basin unconventional program continues and we are seeking further success with the exploration drill-bit in the fourth quarter ,” Knox said.
2013 Guidance
2013 full-year production is expected to be at the low end of the previously stated guidance range of 52 to 55 mmboe, primarily due to:
– Deferred oil and gas production from Chim Sáo due to the shutdown of the gas export pipeline in late August. Oil production has been curtailed to minimise flaring and gas export is expected to resume in the December quarter. –
Deferred oil production from Fletcher Finucane due to issues with water separation systems on the FPSO curtailing oil production.
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LNG World News Staff, October 18, 2013; Image: Santos