Russia’s independent LNG producer Novatek said Wednesday it swung to a profit in the first quarter on the back of higher oil and gas prices.
Novatek said its net profit reached 65.2 billion roubles ($872.8 million) in the January-March period, compared to a loss of 30.7 billion roubles it logged in the year before.
Excluding effects of foreign-exchange fluctuations and disposal of interests in subsidiaries and joint ventures, net profit increased 41.6 percent to 75.8 billion roubles, according to Novatek.
Revenues also increased 32.5 percent to 244.6 billion roubles ($3.27 billion).
The LNG producer attributed the rise in profit to improved macroeconomic conditions, which resulted in an increase in the firm’s hydrocarbons sales prices, as well as an increase in natural gas and gas condensate production volumes.
Novatek reported earlier this month a rise in both gas production and sales for the first quarter of this year.
The company’s natural gas production increased by 5.6 percent year-on-year to 20.15 billion cubic metres while total production of hydrocarbons rose by 6.4 percent to 158.1 million barrels of oil equivalent.