Lundin Petroleum trumps profit forecasts

Lundin Petroleum trumps profit forecasts
Swedish oil and gas firm Lundin Petroleum has reported a profit before tax of $105.4 million for the third quarter, up from $13.5 million in the corresponding period of 2009 and over analyst expectations.

Turnover amounted to $202.3 million, in comparison with $169.1 million in the third quarter 2009.

Operating results (Ebitda – Earnings before interest, taxes, depreciation and amortization) amounted to $167.3 million ($145.2 million). According to a Reuters poll, analysts had forecast $153 million.

“We have been successful with our recent exploration activity but I am convinced there is more to come and as such we can deliver further increases in value to our shareholders over the next few years,” Lundin Petroleum Ashley Heppenstall said in a comment on the report.

Average production during the third quarter amounted to 32,100 barrels per day. The firm forecast that production for the full year will come in around 32,000-34,000 barrels per day.

Ashley Heppenstall expressed confidence that five potential development projects in Norway will double the firm’s production to 60,000 barrels per day within the next five years.

The firm completed the spin-off of its UK holdings into the new independent oil company EnQuest plc earlier in the year and will during November complete a further share distribution to shareholders involving Etrion Corporation, an

independent solar power development company.

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