PXP Energy net loss widens to P96.4 M

By Myrna M. Velasco – March 26, 2019, 10:00 PM
from Manila Bulletin

The consolidated net loss of PXP Energy Corporation has widened to P96.4 million last year versus a leaner P57.1 million in 2017, the company has noted in a disclosure to the Philippine Stock Exchange.

The company said such had been “due to lower oil production, higher depletion cost and decommissioning cost.”

Further, PXP Energy has indicated that it incurred other overhead charges summing up to P11.9 million – although that had been offset by foreign exchange (forex) gain of P18.7 million.

On the scale of net loss attributable to equity holders of the parent company, PXP Energy emphasized that this stood at P78.9 million last year vis-à-vis P39.1 million in 2017.

In terms of revenues, however, the company fetched higher at P107.9 million as against P104.4 million the year before – and that had been attributed to “the 35-percent improvement in crude oil price offset by 24.3-percent decline in volume.”

PXP Energy likewise noted that its consolidated cost and expenses had climbed 40-percent to P221 million last year compared to P158.2 million in 2017.

That, it said, had been mainly driven “by higher depletion cost in Galoc and the decommissioning of Tara and Libro wells in Service Contract 14.”

While the company was still on a bleak state on its financial performance, it looks forward to finally advancing its long-stalled petroleum exploration activities in the country.

A new kind of milestone last year provided fresh expectation for the Pangilinan-led company on its oil and gas exploration ventures – as its long targeted partner China National Offshore Oil Corporation (CNOOC) is getting back into the fold via the partnership that PXP Energy had sealed October last year with Dennison Holdings of Davao businessman Dennis Uy.