Annual Result
- NPAT $52.6 million
- NPAT attributable to shareholders: $62.7 million.
- Dividend of 4cps, fully imputed.
New Zealand Oil & Gas has recorded a net profit after tax of $52.6 million.
Net profit after tax attributable to shareholders of the group was $62.7 million.
Last year the company recorded a loss of $51.8 million.
A fully imputed dividend of 4 cents per share has been declared, to be paid on 3 November to shareholders on record at 24 October 2017.
Chairman Rodger Finlay said the company has sufficient operating earnings and imputation credits to sustain normal returns to shareholders.
Payment of the dividend requires a waiver from Zeta Energy because Zeta has issued a takeover notice. Zeta has given this waiver.
The main contributor to the net profit after tax was a gain on the sale of the company's 15 per cent interest in the Kupe gas and light oil field. Together with the disposal of the mature Tui interest, the company has successfully minimised its exposure to abandonment liabilities.
Chief executive Andrew Jefferies says New Zealand Oil & Gas has had a good year in an adverse environment for oil and gas companies.
"The company's net tangible assets have a book value of 84 cents per share, substantially above the current share price. During the year, the share price increased from 46 cents on 1 July 2016 to 62 cents on 30 June 2017. Shareholders received a 4 cents per share dividend and half the capital of the company was returned in May."
New Zealand Oil & Gas group had a cash balance of $125.1 million at 30 June 2017, up from $96.8 million a year ago. The cash balance includes $35.0 million being held for the settlement of Mitsui E&P's 4 per cent interest in Kupe.
The $52.5 million NPAT does not include any contribution from the Kupe acquisition as it has not yet completed, although it has an effective economic date of 1 January 2017. Corporate overheads were down from $16.8 million last year to $14.6 million, including oneoff expenses related to the capital return, due diligence on transactions, and employee final payments. $5.4 million of those overhead costs were recorded by Cue. The New Zealand Oil & Gas corporate head office has been moved to lower cost accommodation and its corporate staff numbers reduced to 16. Ongoing vigilance of corporate costs will be a feature of the coming year at both New Zealand Oil & Gas and Cue.
Exploration and evaluation costs were down from $21.9 million to $12.3 million and include US$2.2 million relating to the settlement of Cue Energy’s Medco dispute.
Chairman Rodger Finlay noted that while Zeta Energy has notified its intention to make a partial takeover offer, the actual offer has not been sent yet.
"The company has formed an independent response committee and a response document, called a 'target company statement', will be sent to shareholders following receipt of the Zeta offer. The Board continues to emphasise to shareholders that they should take no action on Zeta's offer until they receive the target company statement," Mr Finlay said.
"New Zealand Oil & Gas has gone through a major strategic realignment after selling our major assets.
"With strong cash reserves we are focused on acquiring assets at value in markets we understand at a scale and risk profile suitable for our size.
"Transactions in the past year have realised substantial value and we now have a better balance of investment risk, providing us with ongoing returns from an asset we know well, cash to enter new opportunities, and transformational deep water prospects.
"We continue to seek cash from our Indonesia portfolio and limit our commitments there. Following a review, lower priority assets in Sumatra are being shed, while we are looking to recover cash from our best assets there.
"We are also looking to achieve more value from our investment in Cue Energy. Cue recorded a net loss of AUD$19 million. 50.04% of the Cue loss is attributable to the shareholders of New Zealand Oil & Gas, after New Zealand Oil & Gas increased its interest in Cue from 48.11% during the year. With accumulated losses of AUD$104.8 million in the past two years the Board is determined to integrate Cue into the New Zealand Oil & Gas group, and avoid unnecessary and wasteful duplication of services."
Tag Cloud
Amadeus Basin Amended Prospectus Annual Meeting Annual Report Annual Result ASX Barque Beach Beach Energy Block Offer Bohorok BP Canterbury Capital Return Central Petroleum CEO Chairman Clipper Consents Received Consolidated Financial Statements COVID-19 Cue Cue Energy Deed of Indemnity Director Directors Dividend Equity Raise Financial Result Galleon Genesis Energy Great South Basin Half Year Results Indonesia Investor Briefing Ironbark Kaheru Kakapo Kan Tan IV Karoro Kisaran Kohatukai Kupe Leaders Address Maari Mahakam Hilir Mahato Management Management Matuku Mereenie MNK Kisaran news NZX Oi Oi-2 Palm Valley Palmerah Baru Pateke IIII Paus Biru-1 PausBiru-1 Quarterly Report scheme scholarship program Seismic Survey Share Buyback Shareholders Special Meeting Stock Exchange Takeover Taranaki Te Kiri Toroa Triangle Energy Tui Waru
Browse by Date
- June 2023
- March 2023
- February 2023
- January 2023
- December 2022
- November 2022
- October 2022
- August 2022
- June 2022
- May 2022
- April 2022
- March 2022
- February 2022
- January 2022
- December 2021
- November 2021
- October 2021
- September 2021
- August 2021
- July 2021
- June 2021
- May 2021
- April 2021
- March 2021
- February 2021
- January 2021
- December 2020
- November 2020
- October 2020
- September 2020
- August 2020
- July 2020
- June 2020
- April 2020
- March 2020
- February 2020
- December 2019
- November 2019
- October 2019
- September 2019
- August 2019
- July 2019
- June 2019
- May 2019
- April 2019
- February 2019
- January 2019
- December 2018
- November 2018
- October 2018
- September 2018
- August 2018
- July 2018
- April 2018
- February 2018
- January 2018
- December 2017
- November 2017
- October 2017
- September 2017
- August 2017
- July 2017
- May 2017
- April 2017
- March 2017
- February 2017
- January 2017
- December 2016
- November 2016
- October 2016
- September 2016
- August 2016
- July 2016
- May 2016
- April 2016
- March 2016
- February 2016
- January 2016
- December 2015
- October 2015
- August 2015
- June 2015
- May 2015
- April 2015
- March 2015
- February 2015
- January 2015
- December 2014
- November 2014
- September 2014
- August 2014
- July 2014
- June 2014
- May 2014
- April 2014
- March 2014
- February 2014
- January 2014
- December 2013
- October 2013
- September 2013
- August 2013
- July 2013
- June 2013
- May 2013
- April 2013
- March 2013
- January 2013