BG Group yesterday reported record earnings for 2008, up 72% on the year before.
Chief executive Frank Chapman said: “2008 was a year of record results, extending a 12-year trend that has seen operating profits rise to £5.4billion, up 65% on the previous year.
“Our strategy and performance have delivered, as intended, sustained high earnings growth and good financial returns over more than a decade.”
He added that the group had the financial strength to realise the material value inherent in its portfolio, and “in so doing achieve a bright and positive future”.
Mr Chapman said BG had achieved strong performances in exploration and production.
Proven and probable reserves were up 64% year-on-year to more than 5.8billion barrels of oil equivalent (boe) and total exploration and production reserves and resources were now 13.1billion boe, he added.
He said: “There was transformational strategic progress in Australia and Brazil in ventures that will support BG Group’s growth over the next two decades.”
The group reported post-tax earnings of £3.07billion, up from £1.78billion the previous year. It said revenue for 2008 was £12.6billion, up 51% on 2007. BG said it had reserves and resources sufficient to support annual production growth of 6-8% until 2020. It said its capital expenditure for 2009-2012 was estimated at £16billion, including £4billion in 2009.
BG said its UK production plateau of more than 50million boe a year had been extended, with the decline anticipated in 2008 now put back to 2014.
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