Kuwait Energy Company, an independent oil and gas company, today announced strong financial and operational results for 2010.
The year end report to shareholders follows news of two new oil discoveries in Egypt that look set to furtehr enhance the company’s balance sheet in 2011.
The Company earned a net profit of $21.9 million in 2010, up 291% from 2009, and $85.6 million in operating cash flow, up 68% from 2009.
Presenting the Company’s operational milestones to shareholders, Kuwait Energy Company Deputy Chairman and Chief Executive Officer, Ms Sara Akbar, said: “There are outstanding opportunities for developing oil and gas assets in the Middle East as the region opens up to international oil companies. Our operations were not affected by unrest in the MENA region. 2011 promises to be an exciting year and we expect to deliver significant growth to our shareholders.”
Kuwait Energy Chairman and Managing Director, Dr. Manssour Aboukhamseen said, “2010 was a milestone year for the Company strategically, financially, and operationally. Kuwait Energy recorded its fifth consecutive profitable year since inception. This year’s results were supported by a continued increase in production, proceeds from partial divestments, and higher oil and gas prices. Kuwait Energy has today a robust financial position that gives value to shareholders and supports the Company’s growth strategy on the long-term.”
Highlights from the 2010 report are:
- Sales revenue: US$141.8 million, up 61% from 2009
- Total assets: US$ 740.9 million, up 9% from 2009
- Average working interest production: 13,258 boepd, up 15% from 2009
- Total exploration wells drilled: 11
- Total development wells drilled: 33
Dr. Aboukhamseen added, “We entered a key market in the Middle East, reinforced our operations in our existing markets, and kept delivering on our strategy of optimizing existing fields and discovering new fields to turn natural resources into revenue generating assets for our partners and stakeholders. This was all achieved in a completely transparent framework delivered through world-class operations and expertise.”
In Iraq, Kuwait Energy and its partners were awarded contracts for the development of Siba and Mansuriya gas fields. In Yemen, the Company signed a memorandum of understanding with the country to develop a study on the development of natural gas reserves for domestic use, though current unrest has put this project on hold.
