REG-BG Group 3rd Quarter Results - Part 3
Released: 28/10/2009
Released: 28/10/2009
Part 3 : For preceding part double-click [nRn2b4759B]
2009 2008 2009 2009 2008
Production volumes (mmboe)
6.1 7.5 8.0 - oil 22.2 22.6
8.5 8.1 9.4 - liquids 26.5 26.6
42.0 38.4 41.1 - gas 124.3 120.2
56.6 54.0 58.5 - total 173.0 169.4
Production volumes (boed in thousands)
66 82 88 - oil 81 82
92 88 103 - liquids 97 97
457 417 452 - gas 456 439
615 587 643 - total 634 618
£41.54 £59.81 £39.57 Average realised oil price per barrel £36.75 £56.54
($68.31) ($115.26) ($59.27) ($56.02) ($111.28)
£34.94 £47.43 £31.93 Average realised liquids price per barrel £30.01 £45.74
($57.45) ($91.41) ($47.82) ($45.75) ($90.02)
30.78p 35.63p 36.23p Average realised UK gas price per produced therm 45.18p 35.99p
16.01p 23.83p 16.50p Average realised International gas price per produced 18.68p 21.25p
therm
17.90p 25.62p 20.03p Average realised gas price per produced therm 23.06p 24.12p
£2.66 £2.13 £2.23 Lifting costs per boe £2.37 £1.84
($4.37) ($4.10) ($3.34) ($3.62) ($3.63)
£4.04 £3.59 £3.62 Operating expenditure per boe £3.82 £3.19
($6.65) ($6.91) ($5.42) ($5.82) ($6.29)
526 447 632 Development expenditure (excluding acquisitions) (£m) 1 559 1 260
Gross exploration expenditure (£m)
117 134 223 - capitalised expenditure (excluding acquisitions) 642 460
51 61 62 - other expenditure 177 156
168 195 285 - gross expenditure 819 616
Exploration expenditure charge (£m)
70 54 68 - capitalised expenditure written off 251 150
51 61 62 - other expenditure 177 156
121 115 130 - exploration charge 428 306
LNG cargoes
22 20 26 - delivered to US 57 43
31 37 30 - delivered to global markets 107 135
53 57 56 - total 164 178
161.2 185.5 164.4 LNG managed volumes (Tbtu) 505.8 549.3
Supplementary information: Operating and financial data continued
BG Group's exposure to the oil price varies according to a number of factors
including the mix of production and sales. Due to the recent volatility in
hydrocarbon prices and differentials between prices, this rule of thumb has a
wider range of uncertainty than in 2008. Management estimates that, other
factors being constant and assuming a constant relationship between commodity
prices, a US$1.00 rise (or fall) in the Brent price would increase (or decrease)
pre-tax operating profit in our E&P business in 2009 by approximately £45
million to £65 million.
BG Group's exposure to the US$/UK£ exchange rate varies according to a number of
factors including commodity prices and the timing of US Dollar revenues and
costs including capital expenditure. Management estimates that in 2009, other
factors being constant, a 10 cent strengthening (or weakening) in the US Dollar
would increase (or decrease) operating profit by approximately £250 million to
£300 million.
Glossary
In BG Group's results some or all of the following definitions are used:
bcf billion cubic feet
bcfd billion cubic feet per day
boe barrels of oil equivalent
boed barrels of oil equivalent per day
bopd barrels of oil per day
CAGR compound annual growth rate
E&P Exploration and Production
EBITDA earnings before interest, tax, depreciation and amortisation
FEED front end engineering design
FPSO Floating Production Storage and Offloading system
Gearing ratio net borrowings as a percentage of total shareholders' funds
(excluding the re-measurement of commodity financial
instruments and associated deferred tax) plus net borrowings
GW gigawatt
IAS 39 International Accounting Standard 39 (Financial Instruments)
IFRS International Financial Reporting Standards
kboed thousand barrels of oil equivalent per day
LNG Liquefied Natural Gas
Managed Comprises all LNG volumes contracted for purchase and having
volumes related revenue and other
operating income recognised in the applicable period
m million
mmboe million barrels of oil equivalent
mmbtu million british thermal units
mmcfd million cubic feet per day
mmcmd million cubic metres per day
mmscfd million standard cubic feet per day
mmscm million standard cubic metres
mmscmd million standard cubic metres per day
mtpa million tonnes per annum
MW megawatt
Net borrowings/ Comprise cash, current asset investments, finance leases,
funds currency and interest rate derivative financial instruments
and short- and long-term borrowings
PSA production sharing agreement
SEC US Securities and Exchange Commission
T&D Transmission and Distribution
Tbtu trillion british thermal units
Total operating profit Group operating profit plus share of pre-tax operating results
of joint ventures and associates
UKCS United Kingdom Continental Shelf
Unit operating expenditure Production costs and royalties incurred over the period
per boe divided by the net production for the period. Production costs
and royalties (other operating costs) for the period are
disclosed under 'results of operations' in the Supplementary
information - Oil and Gas disclosures in BG Group's Annual
Report & Accounts for the period. This measure does not
include the impact of depreciation and amortisation costs and
exploration costs as they are not considered to be costs
associated with the operation of producing assets.
Unit lifting costs per boe 'Unit operating expenditure' as defined above, excluding
royalty, tariff and insurance costs incurred over the period
divided by the net production for the period.
Enquiries
Enquiries relating to BG Group's results, business and General enquiries about shareholder matters
financial position should be made to: should be made to:
Investor Relations Department Equiniti Limited
BG Group plc Aspect House
Thames Valley Park Drive Spencer Road
Reading Lancing
Berkshire West Sussex
RG6 1PT BN99 6DA
Tel: 0118 929 3025 Tel: 0871 384 2064
e-mail: invrel@bg-group.com e-mail: bg@equiniti.com
Media Enquiries:
Edel McCaffrey: 0118 929 3508
Jo Thethi: 0118 929 3110
High resolution images are available at www.vismedia.co.uk
BG Group is listed on the US over-the-counter market known
as the International OTCQX. Enquiries should be made to:
Pink OTC Markets Inc.
304 Hudson Street
2nd Floor
New York, NY 10013
USA
e-mail: info@pinksheets.com
Financial Calendar
Announcement of 2009 fourth quarter and full year results 4 February 2010
and annual strategy presentation
Announcement of 2010 first quarter results 29 April 2010
BG Group plc website: www.bg-group.com
Registered office
100 Thames Valley Park Drive, Reading RG6 1PT
Registered in England No. 3690065
This information is provided by RNS
The company news service from the London Stock Exchange
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