Premier Oil hit by sharp fall in profits
Your support helps us to tell the story
From reproductive rights to climate change to Big Tech, The Independent is on the ground when the story is developing. Whether it's investigating the financials of Elon Musk's pro-Trump PAC or producing our latest documentary, 'The A Word', which shines a light on the American women fighting for reproductive rights, we know how important it is to parse out the facts from the messaging.
At such a critical moment in US history, we need reporters on the ground. Your donation allows us to keep sending journalists to speak to both sides of the story.
The Independent is trusted by Americans across the entire political spectrum. And unlike many other quality news outlets, we choose not to lock Americans out of our reporting and analysis with paywalls. We believe quality journalism should be available to everyone, paid for by those who can afford it.
Your support makes all the difference.FALLING OUTPUT in the UK and Indonesia and a 28 per cent fall in oil prices resulted in a sharp fall in profits at Premier Oil, the exploration and production company with operations in the UK, Pakistan and South-east Asia.
Turnover in the six months to the end of June was down by 30 per cent at pounds 61.7m and operating profits more than halved to pounds 20.1m. After taking out interest charges and exchange rate losses, profit before tax fell from pounds 38.3m to pounds 13.3m.
On the credit side, discoveries in Indonesia and Pakistan have added 130 million barrels of oil equivalent to anticipated oil reserves, an increase of 39 per cent.
Premier's shares have halved in value since May. They fell a further 1.5p to 26.75p yesterday after the chief executive, Charles Jamieson, said the company was not in current takeover talks.
Oil shares, including Enterprise Oil, Lasmo and Tullow Oil, were undermined by new forecasts from Fergus McLeod at BT Alex.Brown, who cut his average crude price forecast for this year to $14.50 a barrel, from $20 to $16 for 1999 and from $20 to $18 for 2000. Mr Mcleod had been bullish on prices.
Join our commenting forum
Join thought-provoking conversations, follow other Independent readers and see their replies
Comments