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Petrolifera soars on red-hot bit



By Upstream staff 

Calgary-based Petrolifera saw revenue increase 36 times to C$106 million (US$90.1 million) in 2006 as production soared on the back of a highly successful drilling programme.

The company boosted its reserves and saw daily sales rise 17 times to 6171 barrels of oil equivalent per day as the company drilled eight successful holes in Argentina's Nuequen basin, with no failures.

The company now owns 29 oil wells in Argentina of which 23 are producing. Fourteen of these have been drilled in the last two years.

Petrolifera worked to complete field facilities and a pipeline at its Puesto Morales operation in southern Argentina. The company was able to boost its turnover by trucking production to outside facilities while developing its own infrastructure.

Net earnings for 2006 hit C$40 million, or C$1.02 per share, compared to a loss of C$400,000, or two Canadian cents per share, in 2005.

Capital expenditure for the year was C$36.4 million, up from C$6.7 million in 2005. The company plans capital expenditure of about $153 million in 2007.

Petrolifera's proved reserves increased 99% in 2006 to 13 million barrels of oil equivalent. The company also has interests in Peru and Colombia.

For the fourth quarter, Petrolifera saw net earnings of C$15 million, or 39 Canadian cents per share, compared with a loss of C$184,000, or a loss of one Canadian cent, in 2005. Revenue rose to C$45.2 million from C$1.5 million in the same period in 2005.


Tuesday, 20 March, 2007, 22:38 GMT  | last updated: Wednesday, 21 March, 2007, 00:55 GMT

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