Hibiscus Petroleum improved earnings in 2QFY17

KUALA LUMPUR: Hibiscus Petroleum Bhd (Hibiscus Petroleum) returned to the black in the second quarter of financial year 2017 (2QFY17) ended December 2016 with a net profit of RM10.68 million as compared with a net loss of RM164 million recorded in 2QFY16 ended December 2015.

The company in a filing to Bursa Malaysia yesterday said 2QFY17 revenue increased substantially to RM62.82 million from RM955,000 generated in 2QFY16.

Meanwhile, Hibiscus in a statement said the group’s operation in the Anasuria Cluster has contribute RM61.8 million to revenue and RM38.1 million to earnings before interest and tax, depreciation and amoritsation (ebitda) for 2QFY17.

Operationally, the oil and gas (O&G) company observed that approximately 300,000 barrels of oil was produced from various fields within the Anasuria Cluster and were sold at a realised priced of US$41.7 per barrel contributing a revenue of RM61.8 million in 2QFY17.

It disclosed that the average production rate for the quarter ended December 2016 stood at approximately 4,400 barrels of oil equivalent (boe) per day.

The O&G company noted other significant performance indicators reported were that operating expenditure per boe was approximately US$13, underpinned by strong average facilities uptime of about 98 per cent.

Hibiscus Petroleum’s managing director, Dr Kenneth Pereira commented, “Overall, the second quarter was memorable as several milestones were achieved.

“At Anasuria, we are seeing the positive impact of our operating initiatives and in Malaysia, we have secured an asset that is subject to regulatory approval.

“On a macro-scale, the Organisation of Petroleum Exporting Countries (OPEC) and non-OPEC co-operation has resulted in a resurgence of oil prices.

“Whilst we did not immediately benefit from the oil price spike that followed the November 30, 2016 OPEC meeting, we hope to do so in the following quarters,” he said.

For the first half of financial year 2017 (1HFY17) ended December 2016, Hibiscus Petroleum observed that the group’s revenue rose to RM117.57 million as compared to RM1.2 million registered in 1HFY16.