By the OGJ Online Staff
HOUSTON, Feb. 14 -- Nexen Inc., Calgary, declared net income of $30 million (Can.) for the fourth quarter and $450 million for the full year 2001 on revenue of $515 million and $2.7 billion respectively.
It said last year's results were the second best in its history.
In 2000, Nexen declared net income of $602 million on revenue of $2.8 billion. In the fourth quarter 2000, Nexen declared net income of $147 million on revenue of $773 million.
"Solid production growth, positive drilling results and a strong performance from our marketing group mitigated the impact of lower commodity prices and combined to generate near-record cash flow and earnings," said Nexen.
Overall, Nexen invested $1.4 billion in capital for the year, a 47% increase over 2000 levels.
The company concentrated on increasing reserves, production, and profitability in core areas Canada, Yemen, and the shallow waters of the US Gulf of Mexico.
Year 2001 production averaged 268,000 boe/d, up 5% over 2000. The fourth quarter averaged 273,000 boe/d, up 7% from the fourth quarter 2000.
Nexen said its exploration program was the largest in its history, yielding new discoveries at Aspen, Durango, and Gunnison fields in the Gulf of Mexico and at Guando field in Colombia. Proved reserves replaced 137% of annual production of 99 million boe.
In 2002, Nexen expects to invest $1.24 billion in oil, gas, and chemical projects. About 80% of this will be spent on development projects.
Over the next 5 years, the company expects to add 80,000-100,000 boe/d for investment of $3 billion. In part this will come from Gunnison, Durango, and Aspen in the Gulf of Mexico. In Canada, Nexen is participating in the Phase 3 expansion of the Syncrude project. In Colombia, Nexen plans to participate with Petroleos de Brasileiro SA in the development of Guando field on Boqueron block in central Colombia.