Santos sales revenue tops $3.6bn despite lower production
PERTH (miningweekly.com) – Australian oil and gas major Santos has reported a 12% increase in revenue for the full year ended December, compared with the previous financial year.
Sales revenue for the year reached a record $3.6-billion, which was achieved despite a 5% decline in sales volume, and driven by higher crude sales volumes and higher oil and gas prices.
Oil production was the highest in six years. However, total oil and gas production was down 2% on the previous financial year to 51-million barrels of oil equivalent.
Earnings before interest, tax, depreciation and amortisation also increased 7% on the previous financial year, to $1.9-billion, while net profit after tax was $516-million, in line with the previous year.
Chairperson Ken Borda said that consistent execution of the company’s strategy had positioned Santos for a step-change in earnings and cash flow as its transformational liquefied natural gas (LNG) projects were delivered.
“As the Papua New Guinea (PNG) LNG and Gladstone LNG projects commenced production, Santos and its shareholders are poised to reap the rewards,” he said on Friday.
“Our operating cash flow will more than double over the next two years as the PNG LNG and Gladstone LNG projects come on line. We are focused on rewarding shareholders as we strike a balance between higher dividends, debt repayment and ongoing investment for growth,” Borda said.
Santos MD and CEO David Knox noted that the PNG LNG and the Gladstone LNG projects remained on schedule, with their respective capital cost estimates also unchanged.
First LNG delivery from the PNG LNG project was expected in the third quarter of this year, while the Gladstone project would deliver its first LNG in 2015.
Knox on Friday maintained the production outlook for 2014, with Santos expected to deliver between 52-million and 57-million barrels of oil equivalent, with the company spending $3.5-billion on its capital projects.
Article Enquiry
Email Article
Save Article
Feedback
To advertise email advertising@creamermedia.co.za or click here
Research Reports
Projects
Latest Multimedia
Latest News
Showroom
The Beneficiation Academy is a certified training institution that follows all compliance legislation and is accredited with various Sector...
VISIT SHOWROOM
The SAIMM started as a learned society in 1894 after the invention of the cyanide process that saved the South African gold mining industry of the...
VISIT SHOWROOM
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
