Galp core profit falls on less output

LISBON: Portugal’s Galp Energia posted a 22% fall in third quarter adjusted core profit, hit by lower oil output and a sharp drop in refining margins, but earnings still beat estimates for the period.

The energy firm reported adjusted earnings before interest, taxes, depreciation and amortisation of €820mil (US$885mil), beating the €766mil average expected by 20 analysts polled by the company.

Galp’s share of oil and gas production from projects in which it has a stake fell 10% year-on-year to 112,000 barrels of oil equivalent per day, reflecting the disposal of its 10% stake in the Area 4 project in Mozambique.

Only considering the Brazilian assets that are its current portfolio, production was down 3% year-on-year, Galp said. — Reuters