Repsol announced losses of 1.2 billion euros by 2015 and cut investment of 20% in 2016 – encerrado.net cat

Repsol announces losses of 1,200 million euros by 2015 and cut investment of 20% in 2016

Madrid, Jan 27
 (Thomson Financial) .- The Board of Directors of Repsol today agreed to perform a
 extraordinary accounting provision of 2,900 million euros to adjust
 account the current context of low oil prices, accounting effect
 will lead to losses of 1,200 million euros in
 2015.

 

As reported
 Today the company to the National Securities Market Commission (CNMV), before the
 current situation in oil prices, which traded around $ 30,
 compared to $ 100 a year and a half ago, Repsol has decided
 also implement additional austerity measures, which include one
 further cut investment 20% by 2016.

 

The company
 It pointed out that the provisions made “using criteria of rigor and
 caution “may be reversed in subsequent years if accounts changes
 the oil price scenario.

 

At the same time, it has
 noted that the adjusted net income or CCS, which values ​​the inventories
 replacement cost and does not take into account the effects extraordinary character picks up,
 the feedrate data, 8% to 1,850 million above the
 forecast.

 
 
 

has also had a
 good behavior adjusted profit in the fourth quarter of 2015,
 rebounded by 20% to 450 million.

 

These results are
 area possible by the “downstream” (refining and marketing), winning 490
 million, half that in 2014, while the “upstream” (exploration and
 production) loses 270 million.

 

The Business
 exploration and production has focused on the “efficient management” of
 investments and complete the integration of Talisman, while “downstream” has
 increased sales volumes.

 

As for
 operational data, Repsol production stood at 559,000 barrels per day
 on average in the whole of last year, 58% more than in 2014. In the fourth
 quarter production data threw 695,000 bpd online
 with the provisions.

 

The refining margin
 continues its upward trend, benefited by low oil prices,
 to stand at $ 8.5 per barrel, more than double that in 2014.

 

The oil also
 Progress has been made that the results of 2015 will yield a cut over debt
 1,000 million, when in October envisaged keep in line with
 2014, while stressing that it has maintained “its ability to generate cash
 and shareholder returns. “

 

In this context,
 Council agreed to initiate additional measures to address the
 context of low oil prices, among which an additional cut
 investment of 20% to situate around 4,000 million
 2016.

 

During
 presentation of the strategic plan in October, the oil has already agreed a cut
 investment of 40% compared to the levels of 2014. This plan shuffled one
 

scenario “acid” or stressed from $ 50 a barrel until 2020.
 

also decided
 accelerate and increase the synergies derived from the integration of Talisman, up
 400 million dollars a year, compared with 220 million signed
 initially and that has materialized more than half.

 

Also
 They deepen their program efficiencies, so that the whole
 efficiencies and synergies next year will reach 1,100 million euros,
 more than half of schedule until 2018 in the strategic plan.

 

Finally, has
 opted to “deepen and accelerate” non-strategic divestitures,
 Encrypted last October at 6,200 million euros for the next five
 years.

 

In this regard,
 group noted that the divestments made so far and buying
 bonds issued by Talisman have contributed 300 million to the income statement.
 MarketWatch

Posted on Wednesday, January 27, 2016