Australian LNG player Woodside posted a US$340 million net profit after tax for the first half of 2016, a 50 percent drop compared to the $679 million profit during the same period in 2015.
The drop has been attributed to the lower benchmark oil prices falling 46 percent from the first half in 2015 to the first half in 2016, the company said in its financial report.
Production rose 9 percent reaching 45.9 mmboe as the company reduced production costs by 38 percent to $5.3/boe. In addition, Woodside has increased its production guidance to 90-95 mmboe for 2016.
Woodside CEO Peter Coleman noted the company will continue to focus on cost reduction as oil price forecasts improve into 2017.
According to the report, Pluto LNG facility reached an annualized production rate of 4.9 mtpa, 14 percent above the 4.3 mtpa average expected annual production capacity at the time of FID in 2007. Pluto LNG delivered 36 cargoes of LNG in the first half 2016.
The North West Shelf project delivered 117 cargoes of LNG in the first half of 2016 on behalf of the NWS project participants, eight of which were sold on the spot market, Woodside said.