Bankers Petroleum net income shrinks by 10%

TIRANA, Nov. 20 – Canadian-based Bankers Petroleum, which operates the Patos-Marinza heavy oilfield in southwestern Albania, reported a 10 percent drop in net income in the third quarter of 2012. Oil revenue climbed 23 per cent to $115.1 million. Average sales were 15 per cent higher at 15,715 barrel of oil per day, while average price rose 7 per cent to $79.58 per barrel, compared to $74.48 per barrel a year earlier.
Bankers Petroleum shares were down Monday after reporting a 10 per cent drop in net income, despite a climb in oil revenue.
For the three months that ended September 30, net income fell to $12.3 million, or 4.8 cents per diluted share, compared to $13.7 million, or 5.4 cents per share, a year ago. Funds generated from operations, a key metric in the industry, rose 15 per cent however, to $48.3 million. This number includes a $3.9 million payment for a financial commodity contract in August, Bankers said.
During the quarter, Bankers participated in the bid evaluation process for the privatization of the Albanian national oil company Albpetrol Sh.A. Although the company was unsuccessful, the winning bid value of EUR850 million enhances Bankers oilfields’ valuation, it said.
The Albanian-focused company had cash of $40.1 million and working capital of $106.5 million at the end of the quarter. Looking ahead, Bankers said its average fourth quarter production to date from the Patos-Marinza oilfield in Albania was 16,100 barrels of oil per day, 3 per cent higher than the third quarter average.
In Albania, Bankers operates and has the full rights to develop the Patos-Marinza heavy oilfield and has a 100 per cent interest in the Ku谶a oilfield, and a 100 per cent interest in Exploration Block F.