The Houston-headquartered company today announced that its net first quarter income had decreased by 26% from $US37.3 million ($A45.3 million) in 2006 to $27.6 million in 2007.
US first quarter 2007 production rose 19% (on the corresponding 2006 quarter) to 15.2 billion cubic feet equivalent (Bcfe) of gas.
But first quarter 2007 New Zealand production of 2.3Bcfe was a 40% fall on the corresponding 2006 quarter, and a 23% drop on production during the last 2006 quarter.
Swift said this was due to natural production declines, maintenance and no New Zealand drilling activity so far this year.
Total revenue for the first 2007 quarter increased 4%, from $US136.2 million (first 2006 quarter) to $141.1 million. Swift Energy attributed this to increased levels of domestic production, though that was offset by lower commodity prices and decreased output in New Zealand.
The company’s New Zealand McKee blend crude oil sold for an average $US64.01 per barrel compared to $64.13/bbl during the same period in 2006.
Swift had an average price of $US3.36 per thousand cubic feet for its New Zealand natural gas during the first quarter of 2007, which was a 16% increase on the $2.91 per thousand cubic feet received in the comparable 2006 period.
Its New Zealand natural gas liquids (NGL) contracts yielded an average price of $US26.96/bbl for the first quarter 2007 compared to $16.68/bbl in the first quarter of 2006 – a 62% increase.
The company said a portion of the higher New Zealand natural gas and NGL prices were a function of being denominated in New Zealand dollars, which strengthened against the greenback during the first quarter.
In March, Swift Energy said it was cutting its New Zealand capital expenditure and drilling program this year following disappointing exploration results during 2006. Last year it successfully completed three of four development wells in onshore Taranaki but was unsuccessful with five wildcat exploration wells.
Swift spent about $US57 million in New Zealand during 2006 but is only expected to spend about $35-40 million this year.
