Maurel & Prom : 2017 Annual Results

Paris, 9 March 2018  No. 03-182017 Annual Results    2017: a year of consolidation and a return to profitability for theM&P Group Operating performance up sharply EBITDA up by 19% at €168m EBIT showing a profit of €58mPositive net income at €7m ...

London, 09/03/2018 (informazione.news - comunicati stampa - energia)

            

At its meeting of 8 March 2018, chaired by Aussie B. Gautama, the Board of Directors of the Maurel & Prom Group approved the financial statements for the year ended 31 December 2017.

Commenting on these results, Michel Hochard, Maurel & Prom's Chief Executive Officer, said:

In 2017 Maurel & Prom consolidated the progress it has made over the last three years in terms of workplace safety. The Group's performance during the period was as follows:

The Group is continuing its efforts to constantly improve its practices and procedures in order to reduce as much as possible the risks related to its activities. For example, particular care will be taken when drilling activities resume in 2018.

The recovery of the price of crude oil created a favourable economic environment for the oil industry in 2017, which in turn had a positive impact on the Group's financial statements at 31 December 2017. The average sale price of oil in fiscal year 2017 stood at $ 53.0/bbl versus $42.7/bbl in 2016.

This price increase took to €355 million, up by 12%, despite an 8% drop in oil production in Gabon during the period, due to the halt in development drilling dating back to 2015. Maurel & Prom's share of production stood at 23,903 bopd in 2017, versus 25,202 bopd in 2016.

Complementing oil production in Gabon was gas production in Tanzania, which stood at 23.6 MMcf/d in 2017. Demand for gas has been increasing steadily since the second half of 2017, with a year-on-year increase of 14% against production in 2016.

was up by 19% at €168 million, while increased significantly during the period to €58 million.

of €12 million (net) consisted mainly of asset impairment (drilling rigs, M'Kuranga project in Tanzania) and costs associated with Pertamina's takeover bid. Meanwhile, the Company received compensation of CAD16.2 million from the Government of Quebec following the withdrawal of the territory of Anticosti Island from any hydrocarbon or underground reservoir exploration.

of negative €74 million comprised:

. The Group also benefited from an improvement in SEPLAT's results following the recognition of deferred taxes of €221 million, signalling favourable prospects. SEPLAT's investments in equity associates amounted to €125 million, while the market value of M&P's share stood at €143 million at 31 December 2017.

After taking into account all of the above factors, stood at a positive €7 million.

The Group's for 2017 amounted to €164 million, almost double what it was in 2016. This was the result of the increase in EBITDA and improvement in the WCR, due in particular to the pace of favourable entitlements in Gabon.

At 31 December 2017, the Group had €216 million in cash.
stood at €364 million, down by almost 32% compared to 31 December 2016.

At end-2017, the Group had successfully refinanced all of its debt on favourable terms, thanks to the support of its new shareholder, the Pertamina Group, and began rescheduling its repayments.

The refinancing transaction is structured as follows:

This refinancing is a significant step forward for Maurel & Prom:

Following the refinancing, the debt repayment profile is now as follows:

          

Maurel & Prom will be focusing its efforts on the ramp-up of production in Gabon through the deployment of its development programme, which had been halted for almost three years due to falling oil prices. The drilling programme is set to begin in the first half of 2018 and will involve drilling 11 development wells and 3 side-tracks.

Drilling of the first exploration wells on the Kari and Nyanga-Mayomnbé permits will start in the second half of 2018.

www.maureletprom.fr

23 April 2018: Sales for the first quarter of 2018, released before the markets open

For more information, visit www.maureletprom.fr

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Maurel & Prom is listed for trading on Euronext Paris
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