Wintershall achieved a new record result in 2013. The company increased net income by 48 percent to $2.5 billion. Sales of the BASF subsidiary rose by 16 percent to 20.7 billion.
At 132 million barrels of oil equivalent (boe), oil and gas production remained at the previous year’s high level despite the production stop in Libya. In 2014, the company anticipates a slight increase in income from operations before special items.
“We are on course and want to continue growing while adding value,” said Rainer Seele, Chairman of the Board of Executive Directors of Wintershall, at the company’s Annual Press Conference in Kassel. The integration of the acquired shares in the Brage (32.7 percent), Gjoa (15 percent) and Vega (30 percent) fields from Statoil in Norway from August 2013 and the accelerated expansion of natural gas production in Russia increased production in these countries significantly and created the foundations for the good result in 2013. This compensated for the decreased oil production from the offshore fields in Libya, which was suspended in July 2013 because of strikes at the export terminals. One-time special income from the sale of a 15 percent share in the Edvard Grieg field in Norway as well as the reclassification of GASCADE Gastransport Gmbh due to loss of control also contributed positively to the result. The sales volumes and sales of natural gas sold in 2013 were slightly above the previous year’s level, however, income declined, mostly as a result of pressure on retail margins.
In 2013 Wintershall continued its cooperation with ADNOC, the national oil company of Abu Dhabi, in the Shuwaihat sour gas and condensate project. Together with the Austrian oil and gas company OMV and ADNOC, Wintershall, which is the operator, is preparing the first appraisal. The project takes an important step to establishing a greater presence in the Middle East region. Wintershall will also work together with Mubadala Petroleum from Abu Dhabi on potential projects in the MENA region. Off the coast of Qatar Wintershall is involved in the exploration of Block 4N in the Khuff formation, where natural gas was proven in 2013. The commercial and technical development of this new reservoir, Al Radeef, is still being examined.
Wintershall operates eight oil fields in Libya in the onshore concessions 96 and 97. Strikes at export terminals forced the company to suspend the entire crude oil and gas production in July 2013. The Al Jurf offshore oil field in Libya, in which Wintershall has an investment, was able to remain in normal operation all year. “At the moment it is unclear when the export blockade will be lifted. But we do expect to be able to resume onshore production in Libya,” Seele said.
