PTTEP reports operating results for the first quarter of 2024
PTTEP announced its first-quarter performance for 2024, highlighting the success of the G1/61 project in increasing production to mitigate the impact of electricity prices. The company's contribution of over THB7 billion in royalties and taxes bolsters national development efforts.
Montri Rawanchaikul, CEO of PTT Exploration and Production Public Company Limited (PTTEP), emphasized the significant achievement of increasing natural gas production from the G1/61 project, reaching 800 million cubic feet per day (MMSCFD). This increase aims to alleviate energy price impacts, with plans for additional wellhead platform installation and ongoing drilling activities to sustain production capacity and ensure energy security.
PTTEP's commitment extends to collaborating with leading educational institutions in Thailand through the "PTTEP Subsurface University Energy Connect" project.
These partnerships focus on research in geoscience and petroleum engineering, professional development in petroleum exploration and production, and the exploration of potential carbon storage sites, aligning with efforts to drive Carbon Capture and Storage (CCS) initiatives toward a low-carbon society. Notably, PTTEP has signed Memorandums of Understanding (MoUs) with esteemed institutions such as Chiang Mai University, Khon Kaen University, Chulalongkorn University, Mahidol University, Kasetsart University, the Asian Institute of Technology, the Synchrotron Light Research Institute (Public Organization), and Suranaree University of Technology.
In recognition of its achievements, PTTEP received several prestigious awards domestically and internationally in the first quarter of 2024.
These include the Global Most Innovative Knowledge Enterprise (MIKE) Award 2023 for outstanding innovation and knowledge management, presented by the Institute for Knowledge and Innovation Southeast Asia (IKI-SEA) in Hong Kong.
Additionally, PTTEP's reforestation project earned the Green World Awards 2024 in the Wildlife and Conservation category, hosted by The Green Organization in Brazil. Moreover, PTTEP was honored with the Thailand Top Company Awards 2024 in the "Exploration and Production of Natural Resources and Public Utilities" category, by Business+ magazine.
In terms of operational performance, PTTEP generated total revenues of THB78.812 billion (equivalent to USD2.209 billion) in the first quarter of 2024, representing an 8% decrease compared to the fourth quarter of 2023.
This decline is attributed to softened revenues from overseas projects, resulting in lower sales volume of 473,048 barrels of oil equivalent per day (BOED). The average selling price also slightly decreased to USD 47.24 per barrel of oil equivalent (BOE) due to a global crude price decline. Nevertheless, PTTEP reported a net profit of THB18.683 billion (equivalent to USD 524 million), maintaining a unit cost of USD 28.96 per BOE and an Earnings before Interest, Taxes, Depreciation and Amortization (EBITDA) margin of 74%.
PTTEP's reported performance translated into significant contributions to the government, with over THB7 billion paid in income tax, royalties, and other remunerations in the first quarter of 2024. These contributions play a crucial role in supporting national development across various sectors including community welfare, education, and research & development (R&D). Additionally, profit sharing from petroleum production in projects like G1/61 and G2/61 under the Production Sharing Contract (PSC) directly benefits the government's initiatives.
