Sydney-based Origin Energy, the holder of a 37.5 percent stake in the Australia Pacific LNG project, reported a rise in production in the last quarter, while revenue fell due to lower energy prices.
During the quarter to 31 December 2015, Origin recorded production of 54.4 PJe, an increase of 63 percent on the corresponding period in FY2015.
This result was underpinned by higher gas production from Australia Pacific LNG as Train 1 came online and a full quarter of production from the recently completed Yolla 5 and Yolla 6 wells at BassGas, Origin said in a statement on Friday.
Revenue for the three months to 31 December was $212.2 million, a 6 percent reduction on that achieved during the September quarter.
“An increase in volumes and average price realised by Australia Pacific LNG was more than offset by the decline in sales volumes at Kupe (due to scheduled maintenance) and at Otway and Cooper Basin (due to lower nominations by Origin)“, the statement said.
When compared to the corresponding period in FY2015, revenue decreased 12 per cent as a result of lower average realised commodity prices.
Origin Chief Executive Officer Integrated Gas, David Baldwin said, “Australia Pacific LNG shipped three cargos in January to customers including Sinopec in accordance with the Sinopec Sale and Purchase Agreement.
“In December 2015, Australia Pacific LNG exceeded production rates of 1,000TJ/d from its operated assets. The project is now producing at a rate, which, when combined with volumes from non-operated assets, is more than sufficient gas to fill its one operational LNG train and supply domestic contracts.”
Origin also said it is reviewing the carrying values of its assets as part of the usual processes for the preparation of its financial statements and will announce “any impact on carrying values of assets upon finalisation of the review“.
LNG World News Staff