LONDON (Alliance News) - Exillon Energy PLC Thursday said it had seen a "successful" first half of 2016, reporting a rise in profit despite volatile oil prices and lower production.
The company, which has oil assets in Russia, reported a pretax profit of USD26.8 million for the six months to the end of June, up from USD15.5 million the year before, despite seeing revenue fall to USD64.1 million from USD108.7 million, although the company's netback rose to USD45.4 million from USD52.4 million.
Exillon defines netback as revenue less mineral extraction tax, export duty and Transneft charges.
The drop in revenue was primarily due to lower average oil prices in the half, as well as a result of lower sales volumes as production decreased.
Oil production fell to 2.69 million barrels from 3.01 million barrels the prior year, which Exillon said reflected the "natural production decline curve due to the natural depletion."
Shares in Exillon were up 0.7% at 102.69 pence Thursday.
By Hana Stewart-Smith; hanassmith@alliancenews.com; @HanaSSAllNews
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