Taqa Moves into Black with 1Q Profit of $21mn

Abu Dhabi National Energy Company (Taqa) reported 1Q profit of UAE dirham 77mn ($21mn) driven by high energy prices and lower cost. In the same quarter last year, the company posted a loss of UAE dirham 608mn. Total revenues for the quarter was UAE dirham 4.1bn, an increase of 6% on previous year, the company said May 11.

“After the completion of our two-year transformation programme, I am pleased to announce a return to profit for the first quarter. The transformative cost reduction initiatives are now sustainably embedded across the organisation,” Saeed Al Dhaheri, acting CEO, said.

Atrush Block in Iraq (Credit: Taqa)

Taqa, which owns the Dutch Bergermeer storage facility and also has oil and gas production in the North Sea, reported production volumes of 132,200 boe/d, down 14% on year impacted by the 70% reduction in oil and gas capital expenditure compared to 2014 levels, prior to the transformation programme.

The company said that Iraq project is progressing with export pipeline nearing completion. Taqa is the operator of the Atrush block, which is located 85 km northwest of Erbil. It holds a majority share in the block, alongside its partners the Kurdistan Regional Government, General Exploration Partners and Marathon. The 30,000 boe/d Atrush production facility in Kurdistan was completed in 2016 and first oil is expected in 2017.

 Shardul Sharma