NOVATEK's first-quarter gross revenue rises 21.1 percent
NOVATEK, Russia's largest independent gas producer, reported financial performance for the first quarter of 2012, ended March 31st. In the reporting period, the company's total revenues grew by 21.1% to RUB 54,373 million compared to RUB 44,894 million in Q1, 2011. The growth was attributed primarily to an increase in natural gas sales volumes and average prices as a result of significantly expanding the share of natural gas sold to end-customers, the Company said on Friday.
NOVATEK posted an 13.2-percent increase in profit attributable to shareholders, to RUR 21,245 million or RUB 7.00 per share thanks to higher oil and gas sales and foreign exchange gains.
In the first quarter 2012, sales volumes of natural gas increased compared to the corresponding period in 2011 due to production growth at our three core fields resulting from the ongoing development activities at the Yurkharovskoye field as well as greater utilization of production capacity at the Khancheyskoye and East-Tarkosalinskoye fields due to increased natural gas demand in the domestic market.
In the first quarter 2012, total liquids production volumes increased by 5.5% compared to the corresponding period in 2011. However, NOVATEK's Q1, 2012 sales volumes of liquids were down 5.5% due to an increase in inventory balances of stable gas condensate volumes recognized as goods in transit or storage at the end of the reporting period, compared to the first quarter 2011.
OAO NOVATEK is Russia’s largest independent gas producer and the second-largest natural gas producer in Russia. Founded in 1994, the Company is engaged in the exploration, production, processing and marketing of natural gas and liquid hydrocarbons. The Company’s upstream activities are concentrated in the prolific Yamal-Nenets Autonomous Region, which is the world's largest natural gas producing area and accounts for approximately 84% of Russia's natural gas production and approximately 17% of the world’s gas production. NOVATEK is an open joint stock company established under the laws of the Russian Federation. The Company’s shares are listed in Russia on MICEX-RTS Stock Exchange and the London Stock Exchange (LSE) under the ticker symbol “NVTK” and on the NASDAQ PORTAL System as Rule 144A GDR under the ticker symbol “NVATY”.