Portugal: Oil company Galp’s production up 68.8% in Q2

Page created: Monday, 17 July 2017 15:01 GMT

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Lisbon, July 17 (Lusa) – Galp’s oil production increased 68.8% on year in the second quarter, mainly due to the 81.7% production increase at units in Brazil, the company said on Monday.


Meanwhile, the Portuguese company’s business in Angola recorded a fall of 12.8% against the second quarter of last year.


According to a statament filed with the Portuguese Securities and Exchange Commission (CMVM), “net entitlement production increased by 68.8% yoy due to the development of activities in the Brazilian pre-salt layer, where seven Floating Oil and Gas (FPSO) units have been installed.”


Galp noted “the contribution from the Cidade de Maricá FPSO (which started production in February 2016), the Saquarema City (which started production in July 2016) and P-66, which started production In May this year.”


‘Net entitlement’ production is the most relevant to the company’s accounts, as it has full impact on Galp’s results, after payment of tax in kind in the countries where the concessions are located, and totalled 88,100 barrels per day in the second quarter.


Against the first quarter, net entitlement production increased by 2.2%, with Brazilian units up 3.2% and Angolan units down 9.5%.


WorkingII increased 64.2% year on year in the second quarter to 89,900 barrels per day, of which 78,000 barrels were oil.


Galp’s sales of natural gas rose 8.3% over the second quarter of 2016, “mainly due to the recovery in sales to direct customers, which increased by 19.3%. This increase was mainly based on the electric and industrial segments,” the company said.


The average price of brent oil in the period increased by 8.9% year-on-year to US$49.6 per barrel, compared to US$45.6 in the same quarter of the previous year.