By: Ramy Sameeh
Abu Dhabi-Mubasher: Abu Dhabi National Energy (TAQA) is expected to see a decline in its capital spending to AED 1.8 billion ($490.1 million) in 2016, 42% lower than last year, according to the company’s Chief Operating Officer Edward LaFehr.
The company reduced its capital expenditure by 72% to AED 701 million in the first quarter of 2016, the COO added.
“TAQA saved more than AED 5 billion from its cash costs and capital expenditure last year”, he said, adding that “the company cut its cash costs by AED 293 million in Q1-16”.
“The company managed to maintain its production level at 153,700 barrels per day, despite the steep cuts in capital spending,” LaFehr continued.
TAQA had available liquidity of AED 12.2 billion in Q1-16, including AED 8.7 billion of unused credit facilities and AED 3.5 billion of cash.
The first phase of TAQA’s Atrush project in Iraq’s Kurdistan region is expected to commence oil production this year with a maximum gross capacity of 30,000 barrels per day, COO noted.
The company is not in talks with any entity to sell its assets in the oil and gas sectors, LaFehr confirmed.
TAQA is considering selling its overseas oil and gas assets to another Abu Dhabi state-owned entity, Reuters reported early May.
