Nostrum Ebitda Stays Firm
Kazakhstan-focused Nostrum Oil & Gas maintained solid pre-tax earnings (Ebitda) in the first half of the year, despite suffering further declines in revenues and output.
The London-listed producer recorded $110.2mn of Ebitda for the six-month period, according to financial results published on August 20, only slightly down from the $113.2mn it booked a year earlier. Its Ebitda margin meanwhile increased to 63.3% from 59.1%.
Net operating cash flow climbed to $116.8mn in the six months ending June 30, from $99.9mn a year earlier.
Nostrum published its operational results last month, showing an 8.9% drop in revenues and a 4.4% slump in production. The company has suffered numerous operational setbacks in recent years at its flagship Chinarevskoye oil and gas field, undermining its growth plans.
“Financially H1 2019 was strong with oil prices averaging $66.20/barrel and this meant we continued to generate operating cashflow in excess of our target and remain on course to end the year with over $100mn of cash,” CEO Kai-Uwe Kessel said.