Maple Energy plc, an integrated independent energy company with subsidiary assets and operations in Peru, today announces its preliminary financial results for the six months ended 30 June 2011. Capitalized terms used but not defined in this release have the meanings assigned to them in the 2010 annual report.
Key Financial Highlights for the six months ended 30 June 2011:
- Revenues increased by 16% to US$40.7 million (H1 2010: US$35.0 million).
- Gross profit increased by 20% to US$12.9 million (H1 2010: US$10.8 million).
- Adjusted EBITDA (defined below) increased by 35% to US$7.2 million (H1 2010: US$5.3 million).
- Depreciation and amortisation expense fell to US$3.1 million (H1 2010: US$4.5 million).
- Net profit after tax was US$5.9 million; equivalent to earnings of US 3.74 cents per share (H1 2010: net loss after tax of US$0.2 million, restated; equivalent to a loss of US 0.27 cents per share, restated).
Other Financial Highlights
- Made additional investment of approximately US$50 million in the Ethanol Project during the six months ended 30 June 2011; as of 30 June 2011, approximately US$214 million had been spent for the development and construction of the Ethanol Project.
- Second and third disbursements of funds under the senior secured debt financing for the Ethanol Project (the "Ethanol Project Debt Financing") of US$40 million and US$25 million occurred in January and July 2011, respectively.
- Entered into a US$6 million, three-year credit facility with Banco Internacional del Peru ("Interbank") in July 2011 and drew down the full US$6 million to repay fully the outstanding indebtedness of an existing medium term facility with Banco de Credito del Peru.
- Renewed in July 2011 a stand-by letter of credit from Interbank in the amount of US$12.5 million to guarantee the funding of any future cost over-runs or other necessary expenditures for the Ethanol Project in excess of budgeted amounts.
Ethanol Project Highlights for the six months ended 30 June 2011 (Maple Etanol S.R.L. and Maple Biocombustibles S.R.L.)
- Planted approximately 2,560 hectares of commercial sugar cane on the main estate, using sugar cane from the 345-hectare seed cane farm; as of today, approximately 3,550 hectares of commercial sugar cane have been planted on the main estate.
- Substantially completed the El Arenal pump station on the Chira River.
- Installed approximately nine kilometres of pipelines for the main water delivery system; as of today, approximately 41 kilometres of the approximate 43-kilometre water pipeline system which forms part of the main water delivery system have been installed.
- Completed the civil works on two additional drip pumping stations and placed three drip pumping stations into service; as of today, the civil works have been completed for 11 pumping stations, and six of these stations are available for operation with five of these currently in operation.
- Installed over 2,800 hectares of drip irrigation tape; as of today, drip irrigation tape has been installed in approximately 4,600 hectares of the plantation.
- Completed substantially all of the civil works for the major equipment packages for the ethanol plant.
- Substantially all of the sugar cane handling, juice extraction, and juice treatment equipment has been manufactured and transported to the Ethanol Project site. As of 30 June 2011, approximately 55% of this equipment was erected and installed, and approximately 78% of this equipment has been erected and installed as of today.
- Substantially all of the fermentation, distillation and dehydration equipment necessary to produce fuel-grade ethanol has been manufactured and transported to the Ethanol Project site. As of 30 June 2011, approximately 65% of this equipment was erected and installed, and approximately 80% of this equipment has been erected and installed as of today.
- Substantially all of the boiler and complementary steam generation equipment has been manufactured and transported to the Ethanol Project site. Approximately 60% of this equipment was erected and installed as of 30 June 2011, and approximately 80% of this equipment has been erected and installed as of today.
- The 37-megawatt turbogeneration unit has been manufactured and delivered to the Ethanol Project site, and all the major components of the steam turbine and generator for the power generation facilities have been installed.
- Completed and placed into service the 36 kilometre, 60-kilovolt transmission line to interconnect with the national power grid.
- Penta Tanks Terminals S.A. ("Penta") completed approximately 83% of the works for the ethanol storage, loading, and shipping facilities near the port of Paita as of 30 June 2011, and Penta has completed approximately 85% of such works as of today.
Hydrocarbon Production, Refining and Marketing Highlights for the six months ended 30 June 2011 (Maple Gas Corporation del Peru S.R.L.)
- Refinery feedstock averaged approximately 1,936 barrels per day ("bpd"), compared to 2,187 bpd during the same period in 2010, consisting of natural gasolines supplied by Aguaytia Energy del Peru S.R.L. ("Aguaytia Energy") and crude oil from Maple's oilfields.
- Average daily sales of refined products were 1,804 bpd, compared to 1,993 bpd during the same period in 2010.
- Average daily crude oil production was approximately 445 bpd, compared to approximately 498 bpd during the same period in 2010.
- As announced on 7 June 2011, Mr. Antonio Villa Mardon resigned as Independent Non-Executive Director, and the Nomination Committee has commenced its search for a new independent non-executive director.
Nigel Christie, Chairman of Maple, commented today: "I am very pleased with the results that Maple announced today which show higher revenues and a significant increase in profits compared to the same period last year. The successful implementation of Maple's 2009 and 2010 cost reduction programmes, as well as higher hydrocarbon prices, have contributed to this significant improvement in financial performance. The Company continues to make excellent progress towards completion of its Ethanol Project, and Maple remains on target to commence commercial ethanol production in the fourth quarter of this year. This achievement will represent a transformational event in the Company's development, with the goal of being a low-cost, globally competitive ethanol producer."