The company announced the results yesterday, saying its total 2005 E&P revenue was $753 million, slightly higher than the $740 million of the previous year.
Chairman Ajit Bansal said the increase in revenue was due to higher realised oil and gas prices, but profit was down due to increased depletion charges and an increase in the trading product costs.
“In addition to the operating transactions, corporate items such as foreign exchange differences and interest receipts provided a net benefit to the bottom line,” Bansal said.
Total capital investment in the E&P businesses during 2005 was $186 million, the bulk of which related to development work on the offshore Taranaki $1 billion Pohokura gas-condensate field development project.
Bansal said Shell NZ’s technological performance was a highlight for 2005, with its E&P businesses applying world-leading technology to local development and exploration activities.
“Our activity levels here in New Zealand are at their highest levels ever, and Shell is focused on maximising the recovery of resources from its major assets Maui, Pohokura and Kapuni,” he said.
“To this end, Pohokura first commissioned gas was delivered mid-August.”
Shell NZ owns 82.75% of the offshore Maui field, 48% of Pohokura, and 50% of the onshore Taranaki Kapuni field. Todd Energy owns 6.25% of Maui, 26% of Pohokura, and 50% of Kapuni, while Austrian firm OMV owns 10% of Maui and 26% of Pohokura.
