Ithaca Energy posts increase in annual earnings

Ithaca Energy reported a 160 per cent rise in 2012 earnings on Tuesday as the North Sea oil and gas company benefit from strong production, increased exporter and higher prices.Net earnings came to $93.4m for the year, up from $35.9m in 2011, as cashflow from operations increased by 50% to $90.3m from $60.2m.Average realised oil prices came to $112.76 per barrel compared to $111.46 the prior year. Net proved and probable reserves grew to 51.9m barrels of oil equivalent (MMboe) at year end from 50.3 MMboe a year earlier.The Athena field in the North Sea, the company's third major development, delivered robust performance as it produced dry oil at a gross daily rate of 10,000 to 11,000 barrels of oil per day.Another milestone for the group last year was the acquisition of Valiant Petroleum, which is anticipated to be highly accretive, increasing production, reserves and cashflow from operations."These strong results together with the announced Valiant acquisition demonstrate the company's ability to execute upon its strategy for growing shareholder value though the delivery of development and acquisition led growth," Chief Executive Officer Iain McKendrick said.Ithaca estimates net export production to be in excess of 6,500 barrels of oil equivalent per day (boepd) this year.Shares rose 1.12% to 112.50p at 09:20 Tuesday. RD