Total second-quarter profit soars
PARIS: Total SA, the world’s fourth-largest oil company by market value, reported second-quarter profits in line with expectations and abandoned its offer for a stake in Russia’s Novatek.
Total made an offer in September for a quarter of the Russian gas producer’s capital but is ditching the bid. “As a result of the numerous delays which are difficult to understand ... Total has just informed the Russian antitrust authorities of its decision to withdraw its application concerning the acquisition of 25 per cent plus one share of Novatek,” Total said.
Total made a net profit adjusted for special items of 2.91 billion euros ($3.6 billion) in the quarter versus 2.19 billion a year ago. The profit growth coincided with a fall of almost four per cent in oil and gas production, Total said. Total has launched a friendly, $1.1 billion bid for Canada’s Deer Creek Energy Ltd to gain control of what is seen as one of the country’s last big available oil sands opportunities.
Statoil reaffirms output targets
OSLO: Norwegian energy group Statoil reported a 50 per cent jump in second-quarter pretax profit, driven by record oil prices, and it stood by its 2005 and 2007 production targets.
Pretax profit at the Nordic region’s biggest industrial group by revenues rose to 21.06 billion Norwegian crowns ($3.23 billion) in April-June from 14.08 billion a year earlier. “The result is the best ever from operations and the best profitability,” chief executive Helge Lund said.
Total oil and gas liftings rose to 1.142 million barrels of oil equivalents per day in the quarter from 1.058 million boed a year earlier. Statoil reiterated its 2005 target for oil and gas production of 1.175 million boed and its 2007 output target of 1.4 million boed. Output totalled 1.106 million boed in 2004.
Gazprom reports $3bn net profit
MOSCOW: Russia’s natural gas monopoly Gazprom posted a net profit of 88.45 billion roubles ($3.10 billion) for the first half of 2005 after 62.84 billion roubles in the same period last year.
Figures are based on Russian Accounting Standards which differ significantly from those used elsewhere but show a trend in a company’s operations and are often used to calculate dividends.
Gazprom said net profit fell to 41.52 billion roubles in the second quarter of 2005 from 46.93 billion roubles in the first quarter. It linked the fall to seasonally low gas sales. Gazprom has signed a deal with Vitol SA to buy 143 million cubic metres of capacity in Britain’s new gas storage facility at Humbly Grove. Gazprom has been actively trying to get direct access to end-consumers in Europe.