article on bpt

Beach Petroleum announces record sales

AAP
2009-07-22
Beach Petroleum achieved record annual production and sales revenue for the 2008/09 financial year, a company report shows.

In its quarterly report released to the stock exchange on Wednesday, Beach Petroleum recorded total oil and gas production at 9.625 million barrels of oil equivalent (boe).

This is up 3.2 per cent on the 9.323 million boe recorded last financial year.

Production in the June quarter stood at 2.224 million boe, down nearly eight per cent on the corresponding period last year, and about seven per cent down on the March 2009 figures.

Annual sales revenues also were a record, at $581.4 million, up from $564.4 million in the 2007/08 financial year.

Compared to the previous quarter, sales revenue in the June quarter was down nine per cent.

"Although June quarter sales were slightly lower at $118 million, full year oil and gas sales of $581 million is a record for Beach," the company said.

The report shows that falling commodity prices have hit the company's bottom line, however.

The average realised price of each barrel of oil equivalent for the financial year was $55.18, down from $58.01 in the previous year.

The average realised oil price was $92.83 per barrel, down from $111.45 a year earlier.

The company also said it was in a "powerful position" with zero corporate debt and a strong balance sheet.

An analyst, who did not wish to be named, said the results were in line with expectations.

"They have paid down their debt and have $400 million in the door from the sale of Tipton West," the analyst said.

"They have a strong balance sheet and a diversified production base.

"Revenue is down a little on the March quarter, but we expected that, as some volumes were lower."

At 1245 AEST on Wednesday, shares in Beach Petroleum were up 1.5 cents, or 1.79 per cent, at 85.5 cents.

http://www.tradingroom.com.au/apps/view_article.ac?articleId=644079