- Karoon Energy (KAR) is releasing its FY21 results, posting a US$4.4 million (A$6.04 million) profit after becoming a producer
- The energy stock bought the Baúna oil field halfway through the financial year, with oil production since totalling 3.14 million barrels
- In terms of sales, six oil cargoes were lifted, netting KAR revenue of around US$170.8 million (A$235.52 million)
- Karoon ended FY21 with US$133.2 million (A$183.67 million) in the bank, with a production forecast of between 4.2 MMbbl and 4.6 MMbbl
- Shares in KAR have dipped 5.80 per cent to 1.38 per share at 12:22 pm AEST
Karoon Energy (KAR) is releasing its FY21 results, posting a US$4.4 million (A$6.04 million) profit after transitioning to a producer.
The energy stock bought the Baúna oil field in Brazil halfway through the financial year, taking the business from explorer to operator.
Oil production totalled 3.14 million barrels at the end the financial year — 13,317 barrels of oil per day.
In terms of sales, six oil cargoes were lifted totalling 2.9 MMbbl, with a weighted average price of US$59.00/bbl, net of selling expenses and logistics.
Those sales generated revenue of around US$170.8 million (A$235.52 million), helping KAR move from a loss in FY20 to a profit in FY21.
CEO and Managing Director Julian Fowles said it was a transformational year for Karoon Energy.
“Following the acquisition of the Baúna oil field in Brazil in November 2020, the company has now entered a new era as a material oil producer and operator,” Dr Fowles said.
“A strong emphasis on safety and reliability, coupled with operating and financial discipline, has enabled Karoon to safely deliver a strong underlying profit from our first eight months as an oil producer.”
Karoon ended FY21 with cash worth US$133.2 million (A$183.67 million) in the bank and cashflow positive.
The company expects to produce between 4.2 MMbbl and 4.6 MMbbl over FY22, with unit production costs of between US$28/bbl and US$32/bbl.
Following today’s announcement, shares in Karoon Energy dipped 3.25 per cent to trade at $1.41 each at 12:11 pm AEST.