Origin warns of A$1.9bn impairment
PERTH (miningweekly.com) – Oil and gas major Origin Energy has warned of a A$1.9-billion post-tax impairment charge for the 2017 financial year.
The company told shareholders that its Australia Pacific liquefied natural gas (APLNG) joint venture recognised an impairment charge on its assets, with Origin expected to reflect its 37.5% share, or some A$1-billion post tax, in its financial statement.
In addition, the company expects to impair its investment in the Browse basin by A$578-million, with a further A$170-million impairment expected from the NewCo conventional exploration assets, and a A$114-million impairment from Energia Austral.
The impairment to the APLNG assets relates to a number of assumptions, including the oil price, the US/Australian dollar exchange rate, discount rates and costs, while the impairment in the Browse basin assets was made following an assessment of the likely timing and potential commercialisation of the resource.
Origin said that, based on new information, the company has formed the view that the Caldita-Barossa fields are now the lead prospect to be developed to backfill Darwin LNG, and other commercial alternatives are unlikely in the near term.
Origin’s underlying earnings before interest, taxes, depreciation and amortisation for the full year are expected to be between $2.45-billion and A$2.61-billion, subject to market conditions.
Comments
Press Office
Announcements
What's On
Subscribe to improve your user experience...
Option 1 (equivalent of R125 a month):
Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format
Option 2 (equivalent of R375 a month):
All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors
including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.
Already a subscriber?
Forgotten your password?
Receive weekly copy of Creamer Media's Engineering News & Mining Weekly magazine (print copy for those in South Africa and e-magazine for those outside of South Africa)
➕
Recieve daily email newsletters
➕
Access to full search results
➕
Access archive of magazine back copies
➕
Access to Projects in Progress
➕
Access to ONE Research Report of your choice in PDF format
RESEARCH CHANNEL AFRICA
R4500 (equivalent of R375 a month)
SUBSCRIBEAll benefits from Option 1
➕
Access to Creamer Media's Research Channel Africa for ALL Research Reports on various industrial and mining sectors, in PDF format, including on:
Electricity
➕
Water
➕
Energy Transition
➕
Hydrogen
➕
Roads, Rail and Ports
➕
Coal
➕
Gold
➕
Platinum
➕
Battery Metals
➕
etc.
Receive all benefits from Option 1 or Option 2 delivered to numerous people at your company
➕
Multiple User names and Passwords for simultaneous log-ins
➕
Intranet integration access to all in your organisation