An operating profit of $11.2 million is the first after years of exploration and follows from the half-year profit reported for the six months to 31 December 2002. This exceeds the forecast profit of $8 million.

The company's growth is a result of the first full year of production from its 50% owned and operated Gocerler gas field in western Turkey. The field began delivery of sales gas in January 2002 and gradually increased its production throughout the 2003 financial year, generating revenue of $15.5 million.

By 30 June 2003, sales averaged 12.5 million cubic feet per day (mmcfd) which has expanded to 18.3mmcfd following a recent plant upgrade at the end of August.

However, exploration write-offs of $4.3 million including $3 million in relation to Amity's Bonaparte Basin permits and $0.6 million for the Yesiltepe-1 well in Turkey contributed to a reduced net profit of $300,000. The Bonaparte permits have been written down as Amity continues to narrow its focus onto its more commercially prospective interests.

The upside is that future production for the company is set to rise with Adatepe and Cayirdere, the two new commercial discoveries, planned to come on line during the current year and bring additional sales revenue to the Thrace Joint Venture.

In Australia the company is preparing to test the Whicher Range gas field with 'air drilling' technology designed to eliminate formation damage caused by conventional drilling.

This year has been a major turning point for Amity, consolidating itself into a proven international exploration and production company and joining the ranks of the S&P/ASX 200.