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Beach reports lower production in December Q

29th January 2013

By: Esmarie Iannucci

Creamer Media Senior Deputy Editor: Australasia

  

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PERTH (miningweekly.com) - ASX-listed Beach Energy has reported record production from its Cooper basin operations for the three months ending December, with the miner producing some 1.85-million barrels of oil equivalent.

The record production was attributed to the ramp-up in oil production from the Western Flank, with new flowlines to Moomba operational during the final month of the quarter.

Overall, production for the quarter was 12% lower than the previous three months, as major Santos reported a decrease in gas and gas-to-liquids production, and the shut-in of the Middleton gas and gas liquids facility also impacted operations.

However, Beach said on Tuesday that the decline in production was offset by the increased and more profitable oil production component of the mix. Total revenue for the quarter was up 2%, driven by the higher oil component in the sales mix, to reach A$173-million.

However, sales volumes for the quarter were down by 21%, to two-million barrels of oil equivalent, mainly owing to the Middleton shut-in.

Year-to-date production reached 3.95-million barrels of oil equivalent, which was a 15% increase on the previous corresponding period. Beach said on Tuesday that it expected a stronger second-half production, with the company retaining its full-year guidance of between 8.5-million and 9-million barrels of oil equivalent.

Edited by Creamer Media Reporter

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