RusPetro records loss despite higher oil production levels

RUSSIAN-focused oil and gas firm RusPetro yesterday reported a pre-tax loss of $26.4m in the six months to 30 June.

RusPetro, which listed on the LSE in January, said the cost of sales and administrative expenses dragged profits down.

Revenue increased to $33.8m (£21.3m) from $11.4m last year, on the back of higher production levels of 720,026 barrels of oil, up from 270,220 barrels last year.

Net debt dropped to $227.0m in the first half, from $405.2m at the end of 2011.

The FTSE 250 company, whose operations are located in the Khanty-Mansiysk region of West Siberia, said drilling is running ahead of expectations with 16 wells completed so far this year.

The oil and gas miner reiterated its full-year outlook, adding that production is expected to accelerate through to the end of the year, with an average target of 5,600 barrels of oil per day.

The shares closed down 11.31 per cent down at 125.5p.