Thai PTTEP's Q2 Profit Slides

Thai state-owned PTTEP announced on July 30 a net profit of $134mn for the three months to June 30 (Q2), down 69% yr/yr owing to lower realised oil and gas price.

During Q2 PTTEP’s average selling price decreased to $34.97/barrels of oil equivalent from $48.26/boe in the year ago period. For the quarter, the company’s total revenue was $1.1bn, down from $1.6bn.

PTTEP reported net profit of $409mn in the six months to June 30, down 51% from the previous year. The company generated total revenue of $2.8bn, down 7% yr/yr.

CEO Phongsthorn Thavisin said that the volatility of the global oil price and the outbreak of Covid-19 continued to have an impact on domestic energy demand. PTTEP, as a result, has revised target sales volume for the year to 355,000 boe/day, approximately 9% lower from the target previously guided at the beginning of the year.

Earlier this year, the company said it would reduce its 2020 capital expenditure by 15-20% from $4.61bn due to low oil prices but would still invest in projects in Mozambique and Malaysia.