The Sydney-based mid-cap attributed the higher December output to the start-up of six new Mobile Bay gas fields and the acquisition of seven producing gas fields, all of which are in the Gulf of Mexico.

However, its 2007 total production was 8.1bcfe, down slightly from 8.2bcfe in 2006.

Revenue for the 12 months was $US64 million ($A73 million) which, thanks to higher gas prices, was an increase on 2006’s $US59.2 million result.

Higher gas prices also helped Petsec achieve a 168% uplift in revenue in the December quarter, compared to the September period, to $US26.8 million.

Production in 2008 is expected to increase to about 15bcfe, with a full year’s contribution from the recent acquisition and the recently developed Mobile Bay gas fields.

At the end of December, Petsec had $US27.2 million in cash, compared to $US25.5 million at September 30.

It also had $US128.5 million in debt facilities, of which $104 million was drawn to acquire the seven gas fields last year.