PTTEP's 2019 Profit Jumps 40%

Thai state-run PTTEP’s net profit in 2019 stood at $1.57bn, up 40% yr/yr thanks to higher sales volumes, it said January 30 in a statement.

The average sales volume last year reached a record 350,651 barrels of oil equivalent/day, up 15% over 2018. PTTEP said sales volume rose last year owing to the acquisition of new projects and the purchase of additional stakes in the Bongkot field. The company also improved its proved reserves from 677mn boe to 1.14bn boe, representing a 68% rise over 2018.

“In addition to higher petroleum sales volume, we have also increased petroleum reserves as targeted. We are capable of adding more reserves in the future if our exploration projects are proved successful. This is not only building growth for PTTEP but also elevating the country’s energy security in the long term. This year, PTTEP targets to raise the average sales volume by 11%,” said PTTEP CEO Phongsthorn Thavisin.

Meanwhile, the average selling price also slightly improved from $46.66/boe in 2018 to $47.24/boe in 2019. Total revenue last year was $6.41bn, up 17% from the year before, PTTEP said.

In 2020, PTTEP said it will focus on the smooth transitions of the newly acquired projects, especially the G1/61 (Erawan) and G2/61 (Bongkot). The preparation includes the drilling campaign planning, and the construction of production platforms and gas pipelines, as well as other related activities, it said.

For the Erawan field, PTTEP is now working with the existing concessionaire and the department of mineral fuels in order to ensure production continuity during the transition. PTTEP also plans to accelerate exploration activities in high potential areas including Malaysia and Myanmar such as the Myanmar MD-7 project and the Lang Lebah-1RDR2 exploration well in Malaysia’s block Sarawak SK410B, where it made the biggest gas discovery in the company’s history.