Genel gives Update on Trading and Ops

FINANCIALS

• Revenue for H1 2015 is estimated at $200 million
• In H1 2015, crude oil realisations averaged c.$42/bbl, a 42% decrease on H1 2014 due to the impact of lower global oil prices
  • Pipeline export realisations for Taq Taq and Tawke are estimated at $45/bbl and $40/bbl respectively
  • Taq Taq domestic market sales (including Bazian refinery) realised c.$44/bbl
  • Tawke domestic market sales realised $36-38/bbl
• 2015 revenue guidance is unchanged at $350-400 million on a Brent oil price of $50/bbl
• In its H1 2015 accounts, Genel expects to record an exploration expense of c.$10 million in respect of its Africa and KRI operations
  

CAPEX AND BALANCE SHEET

• Capital expenditure in H1 2015 is estimated at $90 million, the majority of which was spent on the Taq Taq and Tawke development programmes
• 2015 capex guidance is reduced to $150-200 million from $200-250 million, due to the exiting of exploration commitments and capital discipline on our KRI operations. Overall activity levels and associated expenditure during 2015 will continue to depend on oil prices and the evolution of payments for KRI exports
• Successful issue of $230 million senior unsecured bonds in March 2015
• Cash balances at 30 June 2015 stood at c.$470 million, with net debt of c.$220 million. Cash balances reflect a net trade receivable with the Kurdistan Regional Government of c.$378 million at the end of the period (from c.$230 million at end 2014), in addition to a working capital draw of c.$60 million in respect of 2014 Africa exploration activity

(Source: Genel Energy)