Australia’s Woodside today reported a full-year profit of $1,507 million, underpinned by continued strong performance from the North West Shelf (NWS) Project and higher revenues.
Key Points
– Revenue of $4,802 million up 14.5% (2010: $4,193 million) underpinned by strong performance from the NWS Project and higher commodity prices.
– Reported net profit after tax of $1,507 million (2010: $1,575 million), down 4.3%, largely due to nonrecurring costs.
– Underlying net profit after tax $1,655 million, up 16.7% (2010: $1,418 million) due to strong revenues.
– Operating cash flow of $2,242 million, up 6.6% (2010: $2,104 million).
– A fully franked final dividend of US 55 cents per share (cps) was declared (2010: US 55 cps). The 2011 dividend total of US 110 cps fully franked (2010: US 105 cps) represents a record US cps annual dividend.
– 2011 full-year production of 64.6 million barrels of oil equivalent (MMboe) was above mid-year guidance due to lower than expected Q4 cyclone activity and better than forecast facility reliability. Although 11.1% lower than last year’s production, less than one-third of this change was due to natural field decline from Woodside operated fields with the remainder due to higher than normal cyclone activity in Q1 2011 as well as divestments, contract expiry, project redevelopment shut-ins and higher maintenance throughout 2011.
– 2012 production outlook of 73 to 81 MMboe includes 56 to 60 MMboe from the foundation business (ex- Pluto) and an additional 17 to 21 MMboe from the Pluto LNG Project.
– Contingent resources up 17.8% to 2,136.5 MMboe (2010: 1,813.8 MMboe) primarily due to positive revisions in the Browse fields. Three year organic reserves replacement ratio remains above 100%.
– Robust balance sheet to fund growth with $2.2 billion in cash and undrawn debt facilities. Debt and gearing remain at conservative levels near the completion of a major development campaign.
– Pluto LNG Project nearing completion with no material change anticipated to previously advised first cargo target date.
– Browse LNG milestones met, amendments to retention lease requirements submitted to Joint Authority.
Woodside CEO Peter Coleman said the financial result highlighted the ongoing strength of the company’s base business and its focus on operational excellence was continuing to deliver outstanding results.
“ The strong increase in underlying profit demonstrates our ability to continue to maximise value from our premium asset base. In addition, the successful execution of our funding plan for the Pluto LNG Project amidst the global financial downturn, illustrates our effective capital management and sound financial discipline.
“ With more than $2 billion in cash and undrawn facilities and strong cash flows, which will be further boosted when Pluto comes online, we are well placed to fund our LNG growth plans and consider other opportunities which will bring value to shareholders .”
[mappress]
LNG World News Staff, February 22, 2012