Santos posts record sales revenue in 2014
Australia’s Santos revealed company records for sales revenue in both the quarter ($1.1 billion) and the full year ($4 billion), reflecting the successful ramp-up of production from the PNG LNG project as well as higher Cooper Basin production.
Fourth quarter production of 15.1 mmboe, 15% higher than the corresponding quarter, brought full-year production to 54.1 mmboe. This was a 6 per cent increase on the previous year and within the company’s guidance range of
“Notwithstanding the fall in oil prices, Santos has delivered growth in full-year and quarterly production, and record sales revenue,” Santos Managing Director and Chief Executive Officer David Knox said.
He said that the company is now well positioned as a major player in the Asian LNG market and expects the start-up of GLNG in the second half of 2015 to bring further growth.
“Commissioning of the GLNG LNG plant is well underway, with firing of the first gas turbine generator expected in the coming weeks. GLNG is more than 90% complete and it remains on time and on budget,” Knox said.
Santos also reported that the Barossa-3 appraisal well had intersected a gross gas bearing interval of 152 metres and provides significant upside to the resource position for the Barossa gas field, offshore Northern Territory.
The Barossa-3 result strengthens Santos’ resource position in the Bonaparte Basin and means the Barossa gas field is well positioned to supply gas for either back-fill or expansion at Darwin LNG.
Sales gas, ethane and gas to LNG production of 66.3 petajoules for the quarter was 25% higher than the corresponding quarter, reflecting a full quarter of PNG LNG production from both trains and higher gas production from the Cooper Basin. Total sales gas, ethane and LNG sales revenues jumped 79% to $557 million for the quarter.
Press Release; Image: Santos