NewMed Energy recently released its financial statements for the first quarter of 2022: In order to understand the differences between the report and the comparison last year, the volume of gas sales remained the same 2.7 BCM in both quarters, the profit is offset by discontinued operations, the company notes The hottest in the global energy market and will continue to be so for the foreseeable future. “
But it seems that the company is not educated to take advantage of the price environment to increase profits.
Revenues from the sale of natural gas and condensate in the first quarter amounted to approximately $ 247 million, compared with revenues in the first quarter of 2021, which amounted to approximately $ 216 million. About $ 184 million in the same quarter last year.
The profit excluding tax expenses for the period amounted to approximately $ 116 million, compared with approximately $ 115 million in the corresponding period last year (which includes Tamar’s operations), due to the significant increase in Levitan’s revenues, and due to the decrease in financing expenses, net. December. Net income in the first quarter amounted to approximately $ 84 million, compared with approximately $ 115 million in the corresponding period last year. Net income in the first quarter includes tax expenses due to the entry into force of the tax regulations applicable to oil and gas partnerships of $ 31 million and accounting write-offs Of Horizon Drilling in the amount of $ 11 million.
The partnership states in its financial statements that together with the rest of the partnership in the Aphrodite reservoir in Cyprus, they have decided to enter into an agreement with Assada to carry out the first production development drilling in the reservoir.
It should be noted that in view of the military confrontation between Russia and Ukraine, many European countries are seeking to diversify their natural gas sources, in order to reduce dependence on Russian natural gas, which currently accounts for about 40% of total European gas consumption. Connecting to the pipeline goes natural gas to Europe as well as increasing demand for natural gas.
In the first quarter of 2022, NewMed Energy paid a huge amount of royalties and taxes to the state treasury in the amount of NIS 630 million, which includes, among other things, capital gains from the sale of a share in the Tamar reservoir.
NewMed Energy has announced the adoption of a plan to purchase the bonds issued by Whale Bond, under which the partnership will be able to make purchases of the bonds in a cumulative amount of up to $ 100 million. The purchase plan will take effect on 24.5.2022 for two years.
The partnership also announced the board’s decision to approve a $ 50 million profit distribution, in accordance with accepted criteria. It should be noted that during the quarter, the partnership distributed profits (balance fees) to holders in the amount of $ 86 million.
Yossi Abu, CEO of NewMed Energy: “Natural gas is the hottest commodity in the global energy market and will continue to be so in the foreseeable future. The demand for each molecule is only growing – in the local, regional and global market. We are currently formulating the outline The amount of annual production from Whale and also working to maximize
The value of existing core assets to provide a response to the growing demands in the export markets and the domestic market, and are advancing in the development of additional channels of activity to bring additional value to investors “
Production from the Whale Reservoir amounted to about 2.7 BCM in this quarter, with an increase in exports to Egypt, which amounted to about 1.1 BCM in this quarter, compared with 0.8 BCM in the corresponding quarter last year.