Galp announced net oil and gas production of 126.4 thousand barrels per day in the last quarter of 2023, representing an increase of 1% compared to the previous quarter, but a drop of 2% compared to the same period in 2022, as disclosed in the trading update of Monday, January 29.
Of the total produced, 82% corresponds to oil, while the rest is natural gas. In Brazil, production reached 117.2 thousand barrels per day (+1% compared to the same period last year and the previous quarter), while in Mozambique 9.6 thousand barrels were produced (+8% compared to the previous quarter).
Galp attributed the production performance in the last quarter of 2023 to the high availability and efficiency of the units in Brazil, as well as to the contribution of the FLNG Coral Sul project in Mozambique.
Regarding the refining margin, Galp recorded a drop of 54% year-on-year and 58% quarter-on-quarter to 6.10 dollars per barrel, reflecting the low international crack spreads of oil products and the effects of the planned outage at the Sines refinery in October and November.
As a result of this stoppage, Galp’s refining activity fell 25% year-on-year and 31% in relation to the previous quarter, with operating costs estimated at nine dollars per barrel of oil or equivalent.
In terms of sales, oil products fell by 4% year-on-year and 7% compared to the previous quarter, while natural gas sales fell by 21% compared to the last quarter of 2022, remaining stable compared to the previous quarter.
On the other hand, electricity sales showed significant growth, with an increase of 47% year-on-year and 57% compared to the previous quarter.
The trading update released today anticipates the publication of Galp’s fourth quarter results, scheduled for February 12, before the market opens.
