STOCKHOLM, SWEDEN — (Marketwire) — 02/06/13 — Lundin Petroleum AB (TSX: LUP)(OMX: LUPE) –
Twelve months ended 31 December 2012 (31 December 2011)
Fourth quarter ended 31 December 2012 (31 December 2011)
Comments from C. Ashley Heppenstall, President and CEO
2012 was yet another successful year for our Company. We have exceeded our production forecasts once again and this, coupled with our low operating costs and cash taxes, has resulted in a record operating cash flow of more than MUSD 830 for the year.
Lundin Petroleum–s success has been due to our ability to increase our resource base. Our 2P recoverable reserves at the end of 2012 were 201.5 million barrels of oil equivalent. Whilst last year–s reserve replacement ratio was lower than in previous years, I think everyone would agree that this will change when the contingent resources from the Johan Sverdrup field in Norway are booked as reserves. There is little doubt that the Johan Sverdrup field is commercial but reserves will not be booked until the signing of a unitisation agreement and the submission of the field development plan both scheduled for the end of 2014.
In 2013 we expect our net production to average between 33,000 boepd and 38,000 boepd for the year and to exit the year at in excess of 40,000 boepd when the Brynhild field reaches plateau production.
We are very excited about our 2013 exploration programme which involves the drilling of 18 exploration wells in Norway, South East Asia, France and the Netherlands. The budget of over USD 460 million will be the largest in the Company–s history and will be predominantly focused on Norway which will account for about 75 percent of the expenditure.
(1)Estimated by PL265 operator, Statoil
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Contacts:
Lundin Petroleum AB
Teitur Poulsen
VP Corporate Planning & Investor Relations
+ 41 22 595 10 00
Lundin Petroleum AB
Maria Hamilton
Head of Corporate Communications
+46 8 440 54 50
+41 79 63 53 641