Loyz Posts Higher Net Attributable Profit in 4Q FY 2014

Loyz Energy Limited reported Thursday that profits staged a strong turnaround for the 3 months ended June 30 (4Q FY14) from maiden sales of crude oil from its producing concessions in Thailand.

The fast-growing Singapore-based upstream energy Group reported an operational cashflow and EBITDAX (earnings before interest, taxation, depreciation, amortisation and exploratory expenses) of $4.4 million (SGD 5.5 million) and $4.6 million (SGD 5.8 million) respectively and a net attributable profit (PATMI) of $640,000 (SGD 800,000) in 4Q FY14, ending its full year FY14 on a high note.

This performance was supported largely by the sale of 75,281 barrels of crude oil attributable to Loyz Energy at its 20 percent-owned concessions in Thailand – the Group’s first significant producing assets – which contributed revenue of $6.8 million (SGD 8.6 million) for 4Q FY14.

Adrian Lee, the Group’s managing director, said: “After the many months of hard work we have put in to ensure successful execution of our growth strategy, we are pleased to see that our perseverance and our efforts to deliver earnings have begun to bear fruit.

“We are now moving into our next growth phase. Our immediate focus is to ramp up production in Thailand and add new strategic producing assets that will augment the Group’s recurrent income stream. Barring any unforeseen circumstances, we expect our operational cashflow or EBITDAX to remain positive.”

In a move that strengthens its management team as the Group pushes ahead with its next stage of expansion, Loyz Energy has appointed an upstream energy industry veteran, Simon Lockett, as a non-executive adviser.

Vincent Lien Jown Jing, the Group's non-executive chairman added: “Loyz Energy is a relatively young player in the sector, and we are keen to learn from and tap Lockett’s extensive experience, as we steer the Group ever closer to its goal of becoming a reputable independent upstream energy company.”

Lockett recently stepped down as CEO (CEO) of Premier Oil Plc (Premier), a leading oil & gas exploration and production company listed on the London Stock Exchange. He joined Premier in 1994 and became CEO in 2005. Whilst in charge, Lockett was able to significantly boost production, which grew from 37,000 barrels of oil equivalent per day (boepd) in 2004 to 58,200 boepd in 2013. Proven and probable reserves and contingent resources have grown from 210 million barrels of oil equivalents (MMboe) to 773 MMboe, while operating cashflows have risen by 580 percent, from $205 million (GBP 119 million) in 2005 to $1.35 billion (GBP 808 million) in 2012. During this period, Premier’s share price increased by more than 140 percent, outperforming the FTSE 250 Index. Today, the company has a market capitalization of about $2.8 billion or GBP 1.7 billion (as at Aug. 22) and Premier is a component stock of the FTSE 250 Index.

Commenting on his advisory appointment, Lockett said: “It is an honor for me to be able to contribute to the growth of a young and dynamic company like Loyz Energy. I look forward to working with Loyz Energy as it charts out its next development phase.”