PERTH (miningweekly.com) – Australian oil and gas producers had reported their worst operating result in the 2016/17 financial year.
In a new survey by the Australian Petroleum Production and Exploration Association (Appea), Australian oil and gas producers reported a combined net operating loss of A$7.6-billion for 2016/17, compared with a loss of A$4.5-billion in 2015/16.
The 2016/17 operating loss was the worst result recorded in the survey, which started in 1987/88.
Appea said this week that the results reflected low commodity prices and unprecedented spending on new projects.
Oil and gas sales revenue for the same period was A$33.7-billion, a 42% increase on the A$23.7-billion in revenue reported in 2015/16, with the increase in revenue driven by higher production as new projects came online.
Appea CEO Dr Malcolm Roberts noted that despite recording the highest loss in three decades, tax payments from oil and gas producers reached A$4.6-billion in 2016/17, up from the A$4.2-billion paid in 2015/16.
Roberts said the results highlighted the enormous investments made by the industry, and the solid returns to the community in revenue.
“Exploration, particularly offshore, remains at historically low levels. Many new projects are only commencing production, it is essential for governments and industry to work collaboratively to remove impediments that are hindering the next wave of investment in the industry,” he added.