Australian Origin Energy Reports 28% Drop in 1H Underlying Profit
Australian Origin Energy has reported a 28% drop in underlying profit for 1H 2017 to A$184mn (US$142mn) driven by a lower contribution from Australia Pacific LNG owing to low oil prices.
This comes after the company February 15 said it would recognise an impairment charge of approximately A$1.9bn in its 1H 2017 results after revision to values at its Australia Pacific LNG joint venture and its investments in the Browse Basin.
Origin stated that its intention to divest its conventional upstream business via initial public offering announced in December 2016 is on track. “During the period, Origin announced an intention to sell via IPO its conventional upstream assets and we are on track to complete this transaction in 2017,” Origin CEO Frank Calabria said.
The company has lifted its underlying earnings guidance from A$2.45bn to A$2.65bn for the full year.