OAO NOVATEK releases consolidated interim condensed financial information for the three months ended 31 March 2009 prepared in accordance with International Financial Reporting Standards (“IFRS”)., Novatek
Release Date: 2009-05-16
Total revenues decreased by 18.7% year-on-year to RR 16,981 million for the three months ended 31 March 2009 from RR 20,876 million in the corresponding period of 2008. The decrease in total revenues was largely attributable to the lower liquid hydrocarbon pricing environment in both the international and domestic markets as well as a decrease in our liquids sales volumes primarily due to higher inventory volumes in transit and storage. Oil and gas revenues were negatively impacted by benchmark crude oil price declines of more than 50% during the 2009 period compared to the same period in 2008. During the period, NOVATEK optimized natural gas and gas condensate production as well as its marketing channels to mitigate the fall in total revenues.
“The pricing environment for liquid hydrocarbons remained difficult throughout the first quarter 2009 and negatively impacted our liquids sales, despite recent signs of improvement. Nevertheless, we have demonstrated the flexibility of our operations by producing solid results in a turbulent market environment reaffirming the viability and stability of our core operations” according to the Chairman of the Management Board, Leonid Viktorovich Mikhelson.
Profit attributable to NOVATEK shareholders fell by 71.4% to RR 2,134 million, or RR 0.70 per share, as compared to the corresponding period of 2008 primarily due to lower revenues and a significant non-cash foreign exchange loss in the 2009 period.
Sales volumes of natural gas increased in the first quarter 2009 due to continued strong organic production growth at the Yurkharovskoye field resulting from the launch of the field’s phase two expansion in September 2008.
At 31 March 2009, we had 313 thousand tons of stable gas condensate in transit or storage and recognized as inventory until such time as it is delivered to the port of destination as compared to 172 thousand tons as of 31 March 2008.
| Type: | NORMAL |
| Company: | Novatek |
| Country: | Russian Federation |