Petroenergy 9-month profit down 27% Amy R. Remo Philippine Daily Inquirer
November 05, 2009
PETROENERGY RESOURCES CORP. posted a 27-percent drop in net income in the first nine months of the year to $1.58 million, due largely to lower crude oil prices this year.
In a regulatory filing, Petroenergy also reported that its revenues similarly fell by 32.8 percent to $2.06 million from $3.07 million a year ago.
“The decrease in oil revenues was brought by the substantial decrease in crude price to an average price of $66.53 a barrel for the third quarter of 2009 from $112.71 for the third quarter of 2008,” Petroenergy said.
Petroenergy’s revenues are derived mainly from its oil exploration and production from the oil fields in West Africa. In the Philippines, the company has interests in Service Contract 14C Linapacan; SC 47 in Mindoro and SC 51 in the Visayan Sea.
As of end-September, crude oil inventory dipped slightly by 2.17 percent to $187,000 due to lower crude oil price of $65.96 a barrel, compared to the $95.84-a-barrel price during the same period in 2008.
Despite the uncertainties resulting from the recent financial crunch, Petroenergy said it would continue to invest particularly in the country’s renewable energy sector.
“Renewable energy is the better and logical sector. Making investment in this sector attractive are the relative abundance of domestic renewable energy sources and fiscal and non-fiscal incentives provided by the recently enacted Renewable Energy Law,” the company added.
Petroenergy earlier said it planned to invest $100 million in two 30-megawatt wind farms—one in Aklan and the other in Pangasinan.
