Cairn India Limited (CIL), one of the 20-largest independent oil exploration and production companies in the world, today announces its second quarter results for the period ending 30 September, 2013.
Online PR News – 24-October-2013 – India – Financial:
Revenue* at ₹ 4,650 crore (US$ 749 million), up 14% QoQ and EBITDA at ₹ 3,619 crore (US$ 583 million), up 19% QoQ, respectively
Profit After Tax at ₹ 3,385 crore (US$ 545 million), up 8% QoQ, Cash EPS at ₹ 15.9 per share, up 18% QoQ
Cash flow from operations at ₹ 2,856 crore (US$ 460 million), up 17% QoQ
Gross contribution of over US$ 1 billion to the national exchequer in the quarter
Cairn India Board declared interim cash dividend of ₹ 6 per equity share of ₹ 10 face value
Current group production at 213,299 boepd, up 0.4% QoQ, on track to meet year-end target of over 225,000 boepd from all producing assets
Rajasthan block (RJ) completes four years of oil production, crossing the 180 mmboe from Thar’s oil fields
Active exploration, appraisal and development drilling programme continues
o 4 of the 6 wells drilled in 2013 exploration campaign in the Rajasthan block found hydrocarbons with one discovery that has opened up a new play type
o A Declaration of potential commerciality for the Raageshwari S-1 discovery in RJ has been submitted
o Witness three fold productivity increase post successful drilling and fraccing of the first appraisal well in the onshore block (KG-ONN-2003/1) in Krishna-Godavari Basin, significantly improving the commerciality of the Nagayalanka discovery
Partner approval / alignment in Rajasthan Block
o Approval secured for implementation of the world’s largest polymer Enhanced Oil Recovery project in Mangala Field
o Technical alignment in place for the Field Development Plans of Barmer Hill, NI and NE
Mr. Elango P, Whole time Director, Cairn India said:
“We are happy to report increased gross operated production of almost 213,300 boepd during Q2 of FY14 and remain on track for our financial year exit production rate guidance of over 225,000 boepd across all producing assets.
We are focused on enhancing the recovery efficiency from our producing fields through the use of cutting edge EOR techniques. We have also been extremely active with the drill bit as we continue to aggressively develop our world class resource base. Whilst Rajasthan remains at the heart of the Company’s operations, it is encouraging to see tangible results across our broader portfolio.
We remain excited on the regulatory front and are pleased to share that the government has recently announced its policy on the Integrated Development Plan. Looking ahead, we have a strong balance sheet, underpinned by significant cash flow generation and low operating costs, allowing us the flexibility to further develop the asset base. This, combined with a highly motivated and innovative team working on our world class portfolio, will enable us to maintain our industry leading production growth trajectory in the long term.”
Following the Annual General Meeting, Cairn India paid the final dividend of ₹ 6.5 per equity share to shareholders taking FY13 dividend to ₹ 11.5 per share culminating in the payout ratio of 21.2% (including dividend distribution tax).
The Board of Directors declared interim cash dividend of ₹ 6 per Equity share of ₹ 10 face value. The dividend is proposed to be paid on or before 12 November, 2013 to shareholders on record as on 28 October, 2013. This will entail an outflow of ₹ 1,341 crore including the dividend distribution tax of ₹ 195 crore.
Formal application for an extension of the licence term as provided in the Rajasthan and Ravva PSC submitted to the Ministry of Petroleum and Natural Gas (MoPNG); the committee constituted to look into the PSC extension is expected to submit its report shortly
Policy on the Integrated Development Plan to ensure that existing and new hydrocarbon discoveries are brought to production at the earliest has been issued by the MoPNG
Shale Gas policy issued for the nominated acreage held by the PSU oil companies; policy for the existing PSCs under draft stage
Draft uniform licencing policy released by the MoPNG to solicit comments from industry.