|
||||||||
  |
||||||||
|
||||||||
|
||||||||
|
||||||||
|
||||||||
|
|
|||||||||||||||||||||||||||||||||||||||||||||
Woodside change to hit 2002 profit
SYDNEY, Australia (CNN) -- Woodside Petroleum said Wednesday that changes in its accounting approach will see its profits fall by A$700-$800 million ($390-$450 million) this year. The Australian oil and gas producer said it would change its treatment of exploration costs to the "successful efforts" approach used by most of the world's big exploration and production companies. That will result in a one-off reduction in the company's accumulated exploration and evaluation costs of up to A$800 million after tax, cutting its 2002 net profit by the same amount. Chief financial officer Doug Bailey told an investor briefing that the change was appropriate for the company's stage of development and would make it easier to compare its performance with other international oil and gas companies. He said it would have no impact on Woodside's cashflow or ability to pay dividends. Woodside reported a net profit of A$910 million (about $500 million) in 2001. North West Shelf operatorIn August this year it reported a 2002 first-half net profit of A$197.1 million after a writedown of A$92.6 million on its stake in Oil Search Ltd. Woodside is the operator and one-sixth shareholder of the North West Shelf offshore oil and gas fields, Australia's biggest energy export site. It is also a shareholder and operating partner in the Greater Sunrise gas joint venture in the Timor Sea, where it said last week that two proposed development options are not viable. (Full story) Woodside shares ended 4 percent lower Thursday, down 50 cents to A$11.92. The broader market, as measured by the S&P/ASX200, eased about 0.7 percent. Bailey said ratings agencies Standard & Poor's and Moody's Investors Service had both confirmed Woodside's credit rating would not be affected by the accounting change.
|
|
|||||||||||||||||||||||||||||||||||||||||||||
|
||||||||||||||||||||||||||||||||||||||||||||||
|
||||||||||||||||||||||||||||||||||||||||||||||
