News: OSH Oil Search Says FY21 Investment Expenditure Guidance Reduced By US$75 - 95 Mln

April 23 (Reuters) - Oil Search Ltd (OSH) :

• PNG LNG PRODUCTION AVERAGED 8.5 MTPA (GROSS) IN QUARTER
• TOTAL NET QUARTER PRODUCTION OF 6.9 MMBOE, DOWN 2.7% FROM Q4 2020
• Q1 OPERATING REVENUE OF US$301.5 MILLION, UP 16% FROM Q4 2020
• OIL SEARCH OPERATED FACILITY PLANNED SHUTDOWNS DEFERRED TO 2022
• PNG LNG PLANNED SHUTDOWN REMAINS SCHEDULED FOR Q2 2021
• PRODUCTION GUIDANCE FOR 2021 IS UNCHANGED
• FY21 INVESTMENT EXPENDITURE GUIDANCE REDUCED BY US$75 - 95 MILLION
• LOOKING TO CONTRIBUTE UP TO 15% INTEREST IN DIVESTMENT TARGETING A FINAL EQUITY INTEREST IN PIKKA DEVELOPMENT OF 36%
• FY21 INVESTMENT EXPENDITURE REVISED DOWN DUE TO COST SAVINGS AND EFFECTS OF TRAVEL RESTRICTIONS IN PNG
• IN ADDITION TO DIVESTMENT PROCESS, COMMENCED A PROJECT FUNDING PROGRAM WITH FINANCIAL ADVISOR FOR PIKKS
• BIOMASS INVESTMENT EXPENDITURE DECREASED DUE TO EXPECTED DEFERRAL OF FID TO 2022
• MAJOR MAINTENANCE SHUTDOWN IN OPERATED FACILITIES HAS BEEN DEFERRED FROM 2021 TO 2022 DUE TO COVID-19 RESTRICTIONS
• PURSUING POTENTIAL FUNDING OPTIONS FOR PIKKA PROJECT BASED ON CURRENT 51% OWNERSHIP
• INTENT IS TO OWN 36% OF PIKKA PROJECT LONG TERM
• FURTHER INCREASES IN CONTRACTED REALISED PRICES ARE EXPECTED IN NEXT QUARTER GIVEN LAGGED EFFECT OF PRICE SETTING

Source text https://www.oilsearch.com/__data/assets/pdf_file/0003/54570/2203055.pdf

(([email protected];))