BW Energy Fourth Quarter and Full Year Results 2021
EBITDA for the fourth quarter of 2021 was USD 58.8 million, up from USD 8.3 million in the third quarter of 2021, due to two liftings to the Company in the quarter compared to zero liftings in the third quarter. One lifting to BW Energy is scheduled in the first quarter of 2022.
HIGHLIGHTS
Q4 EBITDA of USD 58.8 million and net profit of USD 38.9 million
Q4 gross production of 1.13 million barrels with 0.83 million net the Company
Completed two liftings of 1.17 million barrels (net BWE) at a price of USD ~79 per barrel
Maintained a strong balance sheet with no debt and cash position of USD 150 million
Successful completion of Tortue Phase 2 with final two wells on stream in October
Currently five wells in operation, one supported by interim nitrogen gas lift
Hibiscus/Ruche development activities on track with first oil planned in late Q4 2022
Completed acquisition of semi-submersible rig for the Kudu development in Namibia
Full-year EBITDA of USD 147 million and net profit of USD 52 million
BW Energy completed two liftings in the quarter and realised an average price of USD 79 per barrel. BW Energy’s share of gross production was approximately 830,000 barrels of oil. The net sold volume, which is the basis for revenue recognition in the financial statement, was 1,170,000 barrels including 130,000 barrels of quarterly Domestic Market Obligation (DMO) deliveries with an over-lift position of 107,000 barrels at the end of the period.
Gross production from the Tortue field averaged approximately 12,250 barrels of oil per day in the fourth quarter of 2021, amounting to a total gross production of approximately 1.1 million barrels of oil for the period. The increase in production compared to the third quarter of 2021 was mainly due to the start of production from the two new Tortue Phase-2 wells in October. The Phase 2 development was completed with zero Health, Safety, Security & Environment (HSSE) incidents and USD 45 million below budget with USD 230 million invested. The previously communicated shortage of gas lifting capacity continued to impact operations during the quarter, with stable production from four of the six Tortue wells.
Fourth quarter production cost (excluding royalties) was approximately USD 27 per barrel. The overall production cost includes approximately USD 1.0 million of costs related to the continued handling of the COVID-19 pandemic in the period.
Full-year 2021 production averaged approximately 11,300 barrels of oil per day (gross), or approximately 4.1 million barrels of oil. Full-year EBITDA was USD 147.2 million.
Cash balance was USD 150 million at 31 December 2021, compared to USD 170 million at 30 September 2021. The decrease was mainly due to investments related to the Hibiscus / Ruche project activities. The payment for the second lifting, which was completed in late December, was not received by year-end.
Information Source: Read More–>
Energy, Climate, Renewable, Wind, Biomass, Sustainability, Oil Price, LPG, Solar, Commodity, Coal, Electric Power, Energy Transition, LNG, Natural Gas, Oil,
