Bashneft’s IFRS net income decreased by 0.1 percent in the first half of the year

UFA, 30 August 2016. /Bashinform News Agency, Olesya Seregina/. The Bashneft Group of Companies including PJSOC Bashneft and its subsidiaries, in the first half of the year received net income in the amount of 29.267 billion rubles according to IFRS - 0.1 percent less than in January-June 2015. It is reported by the press service of the oil company.

The Group’s revenue from sales decreased by 7.6% to 273,127 million rubles.

In the first half of the year the EBITDA remained flat and totaled 61,950 million rubles. The adjusted EBITDA increased by 17.7% to 33,161 million rubles.

These results were supported primarily by a 10.9% year-on-year increase in oil production - to 10,580 thousand tons and growth of crude oil sales by 28.5% - to 5,493 thousand tons, the company reports.

Capital expenditure added 38.4% year on year and reached 38,145 million rubles. It was mainly due to an increase in investment in the development of the Sorovskoye field, the Trebs and Titov fields and mature fields in Bashkortostan.

The adjusted net debt reduced by 15.0% and totaled 104,938 million rubles.

PJSOC Bashneft is a vertically integrated oil company operating in more than 20 regions of Russia and abroad. At the end of 2015 it ranked sixth among Russian oil companies for oil extraction (19.9 million tonnes) and the fourth — for primary processing (19.1 million tons). As of January 1, 2016 proved oil reserves amounted to 2.32 billion barrels. The company is provided with proven oil reserves for 16.3 years.

The controlling shareholder of Bashneft is the Russian Federation represented by the Federal Property Management Agency (50.08 percent of the authorized capital). The Republic of Bashkortostan owns a blocking stake (25 percent plus one share).