Dana Gas posts flat profit in Q2

Dana Gas, the Middle East’s largest private natural gas company on Thursday posted a flat second-quarter profit.

The UAE-based firm reported a net profit of $7 million in the second quarter, the same as compared to the corresponding period year ago.

Revenue was down to $96 million, as compared to $116 million in the second quarter of 2015.

The reduction was due to lower oil and gas prices, partly offset by a combination of certain interest, reversals in provisions and a gain of $6 million on the buy-back of an Islamic bond, or Sukuk, Dana Gas said in its statement on Thursday.

The company also received an $8 million contribution from the Zora field in the UAE and a revenue boost from incremental production during the quarter in Egypt.

Average realised prices for condensates in the second quarter was $34 per barrel and LPG was $27 barrel of oil equivalent. This is compared to $59 bbl for condensates and $36 boe for LPG in the second quarter 2015 and $30 bbl and $29 boe respectively, in the first quarter 2016, Dana Gas said.

Group production in the second quarter this year was 66,650 barrels of oil equivalent per day, up 1% on the same period in 2015.

In Egypt, Balsam Field added incremental production of 4,000 boepd. The Zora Gas Field, which came on stream in January, contributed 3,250 boepd to the company’s production during the period, Dana Gas said.