Abu Dhabi National Energy Co says loss was largely caused by post-tax impairment
Abu Dhabi National Energy Co (TAQA), the state-controlled oil explorer and power supplier, on Thursday reported a full-year loss of 18.55 billion dirhams ($5.05 billion) for 2016.
The net loss was largely fuelled by a 16.9 billion dirham post-tax impairment, related to its oil and gas assets, due to the lower commodity price environment, TAQA said in a statement.
TAQA, 75 percent-owned by the government of Abu Dhabi, recorded a net loss of 1.8 billion dirhams for the previous year. It did not provide a quarterly earnings breakdown for 2016.
Like most global oil firms, TAQA has been under pressure because of the drop in oil prices. The company has reported losses in the preceding six quarters.
TAQA has embarked on a major cost-cutting programme, which is said had generated 13.2 billion in cost savings over the past two years.
Annual revenue fell 17 percent to 16.1 billion dirhams, which TAQA said was largely due to lower commodity prices and volumes.
Oil production fell to 137,300 barrels of oil equivalent per day (boed), a decrease of 5 percent compared with 2015.
TAQA said its Iraq project - the 30,000 boed Kurdistan Atrush facility - is on track with first oil expected this year.
In October, Taqa raised $750 million, tapping its $1 billion 2021 and 2026 bonds issued in JuneFor all the latest energy and oil news from the UAE and Gulf countries, follow us on Twitter and Linkedin, like us on Facebook and subscribe to our YouTube page, which is updated daily.