DNO Falls on 1Q Results

DNO International has announced first quarter 2013 net profit of NOK 169 million on operating revenue of NOK 581 million, but the company's shares fell by more than 1 percent.

During the quarter, operational cash flow of NOK 547 million exceeded capital spending of NOK 368 million and contributed to an increase in the Company's free cash balance to NOK 1,750 million.

Production stood at 29,061 barrels of oil equivalent per day (boepd) on a company working interest basis compared to 42,116 boepd a year earlier.

The 2013 first quarter figure reflected lower deliveries at the Tawke field in the Kurdistan region of Iraq, partially offset by increased production at Block 8 offshore Oman. Oman contributed 46 percent of total group production during the quarter.

Bijan Mossavar-Rahmani (pictured), DNO International's Executive Chairman, said:

"We continue to be self funding as we build up our oil and gas reserves with the drill-bit and increase production capacity in line with plans."

He added that the Company has five drilling rigs actively engaged across its portfolio.

The Company's proved and probable company working interest reserves continue to grow steadily, reaching 520 million barrels of oil equivalent (MMboe) at the end of 2012, up from 149 MMboe at the end of 2009, representing a compound annual growth rate of 52 percent.

(Sources: DNO, Yahoo!)

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