Husky Energy, one of Canada’s largest integrated energy companies, today said that preparations are progressing towards executing a scheduled offstation for the SeaRose FPSO in the second quarter of 2012.
The offstation is expected to last approximately 125 days and is forecast to impact production by about 12,000 bbls/day, averaged over the entire year. A 21-week dockside maintenance program scheduled for the Terra Nova FPSO in the second half of 2012 is similarly forecast to impact production by about 4,000 bbls/day averaged over the year. Both of these events were reflected in the Company’s production guidance for 2012.
“We are pleased with the progress we made to increase near-term production and our 2012 capital expenditure program is designed to build on that momentum,” said the company’s CEO Asim Ghosh.
“As we have previously indicated, production will be impacted in 2012 as a result of scheduled offstations for the SeaRose Floating Production Storage and Offloading (FPSO) vessel and for the Terra Nova FPSO. Our production growth will not be in a straight line as a result of such maintenance events and new major projects coming on stream, but overall, we remain comfortable with our target of compound annual growth of three to five percent through 2015.”
Record Net Earnings
Husky Energy Inc. recorded a 135 percent increase in net earnings and a 69 percent increase in cash flow from operations in 2011, driven by strong production growth, higher realized crude oil prices and improved upgrading and refining margins . Production for the year was at the high end of guidance at an average of 312,500 barrels of oil equivalent per day (boe/day), compared to 287,100 boe/day in 2010.
Results in the fourth quarter contributed to the momentum, with net earnings increasing 194 percent compared to the same period a year ago, as production grew 14 percent. Production in the fourth quarter averaged 318,900 boe/day.
“The positive results in the fourth quarter capped a solid year of performance for the Company,” said Ghosh . “We were able to capitalize on improved crude oil prices and refining margins by increasing production and by maintaining high operational performance in our upgrading and refining facilities .”
[mappress] Offshore Energy Today Staff, February 9, 2012;