Excluding this contribution, the company’s net profit after tax and outside equity interest increased a more modest 24% to $11.8 million, following “substantial” oil production and sales from the Cooper/Eromanga Basins, Beach said.

The results did not include revenue from first Basker oil sales, which started a month outside the period in January.

“We expect that the new Basker sales, together with existing and new Cooper Basin production, will help underpin an even stronger result for the remaining half year, as we move towards full field development of the Basker-Manta asset,” Beach managing director Reg Nelson said.

During the first half, the company increased production to 592,000 barrels of oil equivalent, compared with 479,000 barrels in the previous corresponding period.

Beach has also declared a half-cent a share dividend and a 1-for-10 bonus option.

Nelson said Beach’s medium-term outlook was robust, due to the Basker-Manta development, its entry into Queensland’s coal seam methane sector via the Tipton West gas project and a “very active” exploration drilling program.

“Tipton West gas adds commodity diversification to an already well-diversified oil production portfolio,” he said.

“The company will seek to continue to build its gas portfolio through new large target exploration in the Otway and Cooper Basins, offshore NZ’s South Island and the possible early development of gas within the BMG project area.”

The company plans to drill 18 wells in three basins over the next six months. These include four oil development wells in the Basker-Manta fields, four exploration wells in the Cooper/Eromanga Basin and one onshore exploration well in the Otway Basin.

In the Cooper Basin, Beach is planning five oil appraisal/development wells in the Kenmore field, two in the Christies field and two in the Sellicks field.

At the end of 2005, the company’s proved and probable recoverable reserves were 19.5 million barrels of oil and 49.6 BCF of gas, totalling 28.1 million barrels of oil equivalent.