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BRIEF-Oil Search Posts FY Net Profit After Tax $312.4 Mln

Published 25/02/2020, 10:49 am
© Reuters.  BRIEF-Oil Search Posts FY Net Profit After Tax $312.4 Mln
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Feb 25 (Reuters) - Oil Search Ltd OSH.AX :

* FY NET PROFIT AFTER TAX $ 312.4 MILLION VERSUS $ 341.2 MILLION

* FY TOTAL REVENUE $1,584.8 MILLION VERSUS $1,535.8 MILLION

* 2019 FINAL UNFRANKED DIVIDEND OF 4.5 US CENTS PER SHARE WAS DECLARED

* CAPITAL EXPENDITURE FOR 2020 IS HIGHLY DEPENDENT ON WHETHER A P'NYANG GAS AGREEMENT IS SIGNED

* ON BASIS THAT FEED ENTRY OCCURS IN 2020, CAPITAL EXPENDITURE IS EXPECTED TO BE IN RANGE OF US$710 - 845 MILLION

* 2020 PRODUCTION AND OPERATING COST GUIDANCE REMAINS UNCHANGED FROM THAT PROVIDED IN 2019 Q4 REPORT

* OIL SEARCH - PROJECT PROPONENTS STRONGLY BELIEVE THAT OPTIMAL WAY OF DEVELOPING P'NYANG FIELD, PAPUA LNG PROJECT IS VIA INTEGRATED DEVELOPMENT

* AT PRESENT, NO FURTHER EXPLORATION DRILLING IS PLANNED FOR PNG IN 2020.

* OIL SEARCH - PROCESS TO DIVEST UP TO 15% OF CO'S EXISTING 51% STAKE IN PIKKA UNIT, ADJACENT EXPLORATION LEASES COMMENCED

* RECENT COVID-19 OUTBREAK HAS DAMPENED SHORT TERM DEMAND FOR LNG FROM CHINA, BUT EXPECT THIS TO BE A TEMPORARY PHENOMENON

* CO WILL RETAIN OPERATORSHIP OF ALL AREAS FOLLOWING DIVESTMENT OF PIKKA UNIT

* PLEASED WITH INITIAL LEVEL OF INTEREST IN PIKKA STAKE

* OIL SEARCH WILL RETAIN OPERATORSHIP OF ALL AREAS FOLLOWING PIKKA DIVESTMENT

* CONFIDENT IN ABILITY TO SECURE LNG OFFTAKE AGREEMENTS ONCE DISCUSSIONS RESUME WITH POTENTIAL ASIAN BUYERS

* TARGETING FINALISATION OF PIKKA STAKE SELL- DOWN EARLY IN SECOND HALF OF YEAR

* EXPECTS PRODUCTION FROM NW MORAN AREA TO BE BROUGHT BACK ON-STREAM IN SECOND HALF OF 2020

* OIL SEARCH - PRODUCTION FROM PIKKA FULL FIIELD DEVELOPMENT IS PROJECTED TO START IN 2025 AT A PLATEAU PRODUCTION RATE OF UP TO 135,000 BOPD.

* OIL SEARCH - SEES PROGRESS IN PIKKA UNIT DEVELOPMENT FEED ACTIVITIES, ACHIEVE FINAL INVESTMENT DECISION BY END OF 2020

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