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    Canada’s Birchcliff Energy slides in Q2

Summary

Like most of its peers, Montney producer was hit by weaker commodity prices.

by: Dale Lunan

Posted in:

Natural Gas & LNG News, Americas, Corporate, Financials, News By Country, Canada

Canada’s Birchcliff Energy slides in Q2

Canadian producer Birchcliff Energy said August 10 its net income in the second quarter fell to C$42.8mn (US$31.9mn) from C$213.8mn a year ago, repeating a litany shared by most of its peers.

Cash flow from operating activities declined to C$62.4mn from C$273.7mn, while free funds flow dropped to C$4.9mn from C$201.3mn, reflecting reduced adjusted funds flow caused primarily by a 69% drop in the company’s average realised natural gas price, offset by reduced capital expenditures.

Natural gas production averaged 379.8mn ft3/day in Q2 2023, up from 366.3mn ft3/day a year ago, but Birchcliff’s average realised price on natural gas sales plunged to C$2.67/’000 ft3 from C$8.61/’000 ft3.