TIRANA, Aug. 15 – Bankers Petroleum Ltd swung to an operating profit for the second quarter based on increased revenues and expects to meet its production targets for 2007 despite shortfalls in Albania, where it has a significant investment.
“Our ability to increase exports, capturing the discount relative to our domestic sales and higher international oil prices, have substantially contributed to increasing our net to over $16 per barrel in the quarter,” company president Richard Wadsworth said in a statement.
Net operating income grew to $1.4 million USD in the second quarter following a loss of $0.7 million USD earlier as oil and gas revenues surged 74 percent to $12.9 million USD boosted by higher production and average oil sales prices.
Average production increased 49 percent to 4,746 bopd in second quarter 2006 and production for June was about 5,000 bopd.
In Albania, the pace of production growth was below forecasts due to severe weather and constraints on the water disposal system, leading Bankers to cut its production target to between 4,900 and 5,100 barrels of oil per day (bopd) from 5,200 to 5,500 bopd for 2007.
The Canadian oil and gas exploration company still expects to meet its 2007 production target of between 6,000 and 6,500 bopd, as it is accelerating oil well takeovers to increase production by the year end.
Production growth in Albania from primary techniques continues to progress towards the company’s long-term goal of 10,000 to 15,000 bopd by 2010.
Bankers Petroleum said about 60 pct of its crude oil was exported during the second quarter at an average price of $36.15 USD per barrel. In the preceding quarter, exports had made up 39 pct of sales at an average price of $28.67 USD per barrel.
The company plans to keep its exports at or above 50 percent during the rest of the year to capture the significant difference between domestic and export prices.
Its average oil price for the quarter was $32.89 USD per barrel, up from $25.64 USD per barrel a year ago.
