Australia: Santos’ Net Profit Rises 51 pct

Santos Net Profit Rises

One of Australia’s leading gas producers, Santos, today reported a net profit of $753 million after tax for the year ended 31 December 2011, 51% higher than the previous year.

The 2011 headline result includes a $408 million profit after tax from asset sales, including a 15% interest in the GLNG project and Santos’ entire interest in Evans Shoal, and asset impairments of $102 million after tax.

Underlying net profit of $453 million was 20% higher than 2010 primarily due to higher oil and gas prices, partially offset by a stronger Australian dollar and a higher effective tax rate.

Santos Chief Executive Officer David Knox said 2011 was highlighted by strong project delivery and good operational and financial results.

“We delivered four new projects in the base business on plan. These projects will drive our production growth in 2012. Our LNG projects are on track for first production from PNG LNG in 2014 and GLNG in 2015,” Mr Knox said.

Santos on Wednesday announced it had discovered natural gas offshore Bangladesh saying  that Sangu-11 well penetrated a new gas reservoir in the Sangu area with approximately 20 metres of good quality gas pay.

Offshore Energy Today Staff, February 17, 2012