The annual report 2016 of Staatsolie Suriname gives insights in the operational performance and financial conditions of the company. As laid forward by the Managing Director, Mr. Elias: ” With an average oil price that fell below the cash cost in the first quarter of 2016, and the resultant negative impact this had on our cash flow and debt servicing capacity, 2016 was one of the most difficult years Staatsolie has ever confronted.”
The price of Saramacca Crude is linked to the USGC HSFO Waterborne. In early 2013, this particular product would sell at US$ 100 per barrel. In January 2016, the price plunged to US$ 16. This dramatically impacted our revenues and profit in 2016. In 2016, Staatsolie’s consolidated total gross revenues amounted to US$ 368 million. The average net sales price per barrel for 2016 was US$ 41.44, a decrease of 8% in comparison with 2015. Profit before tax including an income of US$ 8 million related to our participation in the Merian Gold Mine amounted to US$ 12.7 million, compared to US$ 28.9 million in 2015.
This decrease was primarily caused by the substantial decrease in the price of oil per barrel and reduced production as part of our austerity drive in the first half of 2016.
Consequently, contributions to the Government budget amounted to US$ 39.6 million.
We were able to refinance our outstanding US$ 600 million syndicated loan ‑ US$ 261 million is now structured across 10 years with the Government of Suriname and the remaining US$ 300 million syndicated loan remains structured over 3 years.
This restructure has freed up additional capital to invest in production. And should we show steady crude production and reach refinery targets in 1 2017, we anticipate refinancing the outstanding US$ 300 million syndicated loan on better terms.
As of 31 December 2016, proven reserves remained at 84 millions of stock tank barrels (MMSTB) compared to year‑end 2015. With 6 million MMSTB produced in 2016, the 1:1 replacement ratio was achieved due to parameter changes because of field decline in the Tambaredjo and Tambaredjo North West field, and a stable watercut in the Tambaredjo North West field.
More detailed information is available in the annual report of Staatsolie Suriname under this button:
Number of pages 72 • Language English • Country Suriname
Tags: public finance and tax, tax, compliance, economy, economie, suriname, government, financien, finance, budget, begroting, report, annual report, jaarverslag, staatsolie.