Page 12 - MEOG Week 32

MEOG PrICes MEOG
Date
WTI (US$)
ICE Brent (US$)
DME Oman (US$)
OPEC Basket (US$)
6 August
53.63
58.94
58.54
59.71
7 August
51.09
56.23
56.17
57.82
8 August
52.54
57.38
57.56
--
9 August
54.50
58.53
58.30
--
12 August
54.93
--
--
--
C o m P a n I e s
Aramco reports first half 2019 net income of $46.9bn
Saudi Aramco today announced for the rst time its half-year nancial results.
e Company’s net income was $46.9 billion for the rst half 2019, compared to $53.0 billion for the same period last year. Earnings before interest and tax was $92.5 billion, compared with $101.3 billion a year earlier. Free cash ow was $38.0 billion, compared to $35.6 billion for the same period last year. Capital expenditure was $14.5 billion, compared to $16.5 billion for the same period in 2018.
Commenting on the results, Saudi Aramco President & CEo Amin H. Nasser, said: “Despite lower oil prices during the rst half of 2019, we continued to deliver solid earnings and strong free cash ow underpinned by
our consistent operational performance, cost management and scal discipline.
Disclosing our nancial results for the rst time, as part of our $12 billion debut international bond issuance, marked a signi cant milestone in Saudi Aramco’s history. We demonstrated our reliability
with near 100% delivery on our customers’ requirements for oil and re ned products, maintaining our total hydrocarbon production of 13.2 million barrels of oil equivalent per day and an average daily crude production of 10 million barrels per day.
Leveraging our strength in Upstream, we
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continued to deliver on our Downstream growth strategy, including acquisitions in both Saudi Arabia and key international markets.
ese acquisitions are expected to enhance dedicated crude placement, increase re ning and chemicals capacity, capture value from integration and diversify our operations.
We also signed an agreement to acquire a 70% equity stake in SABIC which is among the world’s top petrochemicals companies by revenues. is is a major step in accelerating growth in Downstream through re ning and petrochemicals integration, maximizing the pro tability from every molecule we produce.
We grew our trading business and scaled up innovation e orts through pioneering initiatives such as crude-to-chemicals, non-metallic materials manufacturing, and hydrogen fuels. Environmental and safety performance is at the forefront of the way
we operate. We are particularly proud of the fact that for the rst time we announce our Upstream carbon intensity, which is amongst the lowest globally. Looking ahead, we will maintain a prudent and exible balance sheet. our nancials are strong and we will continue to invest for future growth.”
saudI aramCo
Petrogas renews EPSA with Oman for Block 5
International law rm CMS has advised Mazoon Petrogas SAoC (Petrogas), with the renewal of its exploration and production sharing agreement (EPSA) for the onshore
Block 5 license in north-western oman. e Block 5 interest is owned 50 per cent by Petrogas and 50 per cent by Mazoon BVI
Limited, a subsidiary of China National Petroleum Corporation (CNPC).
Block 5 will continue to be operated by Daleel Petroleum LLC, a joint venture between Petrogas and CNPC.
e new agreement was signed in a ceremony by Mohammed Al Barwani on behalf of Petrogas and Mohammed bin Hamad al Rumhy, oman’s minister of oil and gas, on behalf of the omani government.
Established in 2002, Daleel is one of oman’s leading oil-producing companies. It operates in Block 5, home to four vital oil elds with an area of 992sq km and holds expected recoverable reserves of around 200 mmbbl. is new EPSA agreement will remain in force for 15 years. CMS partner and head of the oman o ce, Ben Ewing, led the rm’s advice to Petrogas. Ben commented, “We
are proud to have supported Petrogas on obtaining its EPSA renewal. is license will enable it to continue to expand its production activities and drive forward technological e ciencies to aid production.”
oIL reVIeW
G a s
SP14 third platform to come on-stream in September
e third production platform at Phase
P12
w w w . N E W S B A S E . c o m
Week 32 13•August•2019