Repsol posts first half net income of 1.344 billion euros

Press Release 28/07/2011 14:57

The group's operating income was 2.722 billion euros, highlighting the company’s performance, which made up for temporarily unfavourable circumstances including the partial halt in production in Argentina due to labour strikes, now resolved, and the halt in output from Libya.
Operating income at the Upstream unit was 806 million euros, 10% higher than the year-earlier period.
Especially significant is the performance of the LNG unit, where profit jumped to 168 million euros mainly on sales from Peru LNG.
The downstream unit’s operating income was 756 million euros, 18.5% lower than in the same period of 2010, due to refining margins and lower profits from the LPG business.
Repsol’s investee companies Gas Natural Fenosa and YPF saw results reduced by 7% and 28% respectively.
Adequate management and ongoing financial discipline allowed the company to achieve an excellent financial result, reducing ex-Gas Natural Fenosa debt to 1.999 billion euros resulting in a net debt/capital employed ratio of 6.2%.
Following the Petersen Group’s exercise of its purchase option over 10% of YPF and other sales, Repsol has reached an adequate shareholding in its Argentinean affiliate.
In June Repsol and Alliance Oil Company signed a memorandum of understanding to create a joint venture that will seek exploration and production opportunities in the Russian Federation.