Russia’s largest oil producer Rosneft saw its second quarter profit fall but a weak rouble helped soften the hit by countering the slump in the price of oil.
Its net income was 134billion roubles ($2billion) down from 171 billion roubles for the same period last year.
Revenue dropped 8.6% to 1.31trillion roubles.
Capital spending in rubles rose almost 14% to 269billion rubles in the first half.
Chairman I I Sechin, said: “The first half of 2015 was characterised by high fluctuation of oil price and exchange rate, increased transportation tariffs and tax burden and high interest expenses due to change in interest base rate.”
Growth of gas sales volumes of 13.4% in the first six months of 2015 compared with 2014 was due to increased suppliers under new long-term contracts. The average selling price increased by 4.7% compared with the same period last year.
Rosneft increased drilling in the first half of the year as crude output fell 1.1%. Production at Yuganskneftegas – its largest asset, increased in the second quarter compared to the first three months of the year, but was still down 3.4% in the first half.
Natural gas output climbed 16% to 1.05 million barrels of oil equivalent a day, pushing total oil and gas production to an average 5.175 million barrels a day in the first half.
Net debt fell 7.9% in the second quarter to $39.9billion.
Rosneft reimbursed $1.3billion of advance payments for supplies, which it accounts for separately from debt, over the first six months of the year.
Rosneft, is around 70% owned by the Russian government. BP holds a stake of almost 20% in the producer.
Recommended for you
