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GALP profits slide by hundreds of millions

Whichever way you look at it, profits by Portuguese oil giant GALP are sliding by hundreds of millions.

Due to the fall in the price of oil globally as well as a dip in demand, profits to June this year fell 20%, to €247 million, the company has reported to regulating entity CMVM.

“Considering just the second trimester (April-June), profits slid by 29% to €133 million, writes Público, stressing that “in the communiqué to CMVM, the company refers that the EBITDA (profit before interest payments, taxes and depreciations) in the first six months of the year dipped 23% to €631 million.

Sales of natural gas also fell 15% compared to the same period in 2015, and this, explains GALP, was due to “a fall in the volumes sold on international markets”.

Investment, meantime, cost €630 million, “89% of which was applied to the business of exploration and fuel production”.

Activity was concentrated in Brazil (bloc BM-S-11) and Angola (bloc 32).

“At the end of the semester (i.e. by June 30), the liquid debt of the group was pegged at €1.89 billion”, concludes Público.

natasha.donn@algarveresident.com