Stock Market News
Gulf Keystone turns first profit since entering Kurdistan
Gulf Keystone Petroleum has turned its first profit since launching its Kurdistan operations, recording a net profit of $14.1m, but said the outlook remained contingent on a deal being done with local authorities over crude sales.
Gulf Keystone's net profit of $14.1m was a massive swing from a loss of $17.4m in 2016. This led the Bermuda based firm to reaffirm its stance on the Shaikan oil field as it confirmed its intention to restart investments into the project to Iraq's north, subject to an agreement with the Kurdistan regional government over crude oil sales, as more funds were needed in order to reinvigorate the field's operations after output had waned.
Gulf Keystone saw gross production come in at the midway point of its guidance of 32,000 to 38,000 barrels of oil per day at 35,298 bopd for 2017, generating $172m of revenue in the process, down 11.34% from the prior year.
However, the firm highlighted that throughout the first quarter of 2018, the field had yielded a gross production of 31,588 bopd with its guidance for the full year set at 27,000 to 32,000 bopd.
"We are confident that once we are able to restart investment into Shaikan we will be able to lift production towards our near-term target of 55,000 bopd, a step towards the full field development," said chief executive Jón Ferrier.
Gulf Keystone pointed to the fact that the cash component of its reported revenue had increased 28% to $157m in 2017 and noted that its positive cash flow was driven by steady operating activities and payments from the Kurdistan Regional Government.
Gulf Keystone ended the trading year with a cash balance of $160m and had received a further $75m from the Kurdistan regional government. As of 1 April 2018, the group had $100m of debt.
As of 0930 BST, shares had gained 6.53% to 138.91p.
Gulf Keystone's net profit of $14.1m was a massive swing from a loss of $17.4m in 2016. This led the Bermuda based firm to reaffirm its stance on the Shaikan oil field as it confirmed its intention to restart investments into the project to Iraq's north, subject to an agreement with the Kurdistan regional government over crude oil sales, as more funds were needed in order to reinvigorate the field's operations after output had waned.
Gulf Keystone saw gross production come in at the midway point of its guidance of 32,000 to 38,000 barrels of oil per day at 35,298 bopd for 2017, generating $172m of revenue in the process, down 11.34% from the prior year.
However, the firm highlighted that throughout the first quarter of 2018, the field had yielded a gross production of 31,588 bopd with its guidance for the full year set at 27,000 to 32,000 bopd.
"We are confident that once we are able to restart investment into Shaikan we will be able to lift production towards our near-term target of 55,000 bopd, a step towards the full field development," said chief executive Jón Ferrier.
Gulf Keystone pointed to the fact that the cash component of its reported revenue had increased 28% to $157m in 2017 and noted that its positive cash flow was driven by steady operating activities and payments from the Kurdistan Regional Government.
Gulf Keystone ended the trading year with a cash balance of $160m and had received a further $75m from the Kurdistan regional government. As of 1 April 2018, the group had $100m of debt.
As of 0930 BST, shares had gained 6.53% to 138.91p.
Related share prices |
---|
Gulf Keystone Petroleum Ltd Com Shs (DI) (GKP) share price |
Stock News headlines are gathered from financial news sources around the web. Views and opinions on each item are from their respective authors and website. They are not opinions of LiveCharts.co.uk
Get a free widget for your website with our latest headlines.
You can now add our live prices and new headlines to your website.The news widget features quotes for Oil prices, spot Gold price and Indices plus a choice of news channel for healines.
Top Shares pages
- Share price quotes
- Share charts
- Share watch list
- Company Results Calendar
- Top Large UK Shares
- UK Market Sectors
- Stock market news
- Company news
- Share tips
- A-Z company search
More share features
POPULAR Share Prices
- Royal Mail share price
- Lloyds share price
- HSBC share price
- Barclays share price
- Prudential share price
- Santander share price
- NEXT share price
- Diageo share price
- BP share price
- Vodafone share price
- British Airways
- Centrica share price
- Tesco share price
- Taylor Wimpey Share Price
- National Grid
- GKP Share Price
- Marks and Spencer
- Rolls Royce
- Rio Tinto
- THG Share Price
- Aviva Share Price
- Boil Share price
- Easyjet Share Price
- Genedrive Share Price
- SSE Share Price
- IAG Share Price
- Boohoo share price
- HE1 share price
- AVCT share price
- BOOM share price