Norwegian exploration and production firm DNO International said it would lower production at its prize Tawke field in the semi-autonomous Kurdish autonomous region of Iraq to 50,000 barrels of oil per day (bpd) as it confirmed rising second quarter core earnings year-on-year. The field was producing some 70,000 bpd in June.
The firm also released its results for the second quarter of 2011, with a return to profit after making a net loss in the last four quarters, including a loss in Q1 2011of NOK 65.4 million ($12.02 million).
For Q2 2011 DNO banked profit of NOK 216.1 million ($39.6 million). Sales recognized in the second quarter this year increased to NOK 732 million ($134.5 million), up from NOK 284.7 million ($52.31 million) in the same quarter 2010. EBITDA was NOK 564.9 million (4103.8 million) in this quarter, up from NOK 171.2 million ($31.4 million) in the second quarter last year.
The firm’s cash position was further strengthened to NOK 1,245 million ($228 million) at the end of the quarter, resulting from a payment for Tawke exports.
“DNO International achieved strong results so far this year. The excellent reservoir quality of the Tawke field in the Kurdistan Region of Iraq has been proved through stable high production in the first half of 2011. I am also very satisfied with our Yemen team that has maintained our planned production level and good cash flow despite the difficult situation in the country”, says Managing Director Helge Eide.
