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SYDNEY - Origin Energy, Australia's second-biggest energy retailer, said second-quarter oil and gas sales rose 18 per cent, boosted by the start of production at the BassGas project off the southeastern coast.
Sales rose to A$117.4 million ($131.6 million) in the three months ended December 31, from A$99.1 million a year earlier, Sydney-based Origin Energy said yesterday. Output jumped 14 per cent to the equivalent of 22.5 petajoules.
The delayed A$750 million Bassgas project reached maximum capacity in October and a "short" shutdown is planned this quarter to resolve operational "issues" in some units, Origin said. Quarterly production of gas from coal seams also increased.
"These increases were partially offset by continuing decline in production in the mature Cooper Basin and onshore Otway Basin" off the southern coast, Origin said.
Origin Energy shares fell as much as 11 cents, or 1.2 per cent, to A$9.25 on the exchange. First half oil and gas sales roses 15 per cent from a year earlier to A$234.6 million on production that increased 11 per cent to the equivalent of 43.8 petajoules.
Second-quarter spending on exploration and development jumped 22 per cent in Australia to A$98.6 million, and more than trebled in New Zealand to $17.1 million.
The Woodside Petroleum Ltd-operated Otway gas project, in which Origin has a stake, is running late and Perth-based Woodside is due next month to give a revised schedule for the start of production, Origin said. The project was originally due to start up last year.
In New Zealand, the Kupe gas project is on schedule to start production in the first half of 2009, it said.
- BLOOMBERG
