Argentine state oil company YPF last week reported that its net profit for the third quarter leapt 186 percent year-on-year to $678 million, Reuters reported.
The company said rising levels of production and higher oil prices drove profits. YPF’s revenue rose to $5.18 billion in the quarter, a 43 percent increase as compared to the same period last year. The company said its revenue grew due to higher prices for gasoil and natural gas in addition to higher production levels of natural gas, diesel and jet fuel, Reuters reported.
YPF said its earnings before interest, taxes depreciation and amortization, or EBITDA, increased 26 percent year-on-year in the third quarter to $1.53 billion as a result of “price improvements” in the company’s business sectors as well as higher hydrocarbons production despite higher costs.
YPF added that inflation and the growth of the company led its operating costs to rise 34 percent in the third quarter as compared to the same quarter last year. Operating costs also rose in comparison to the second quarter amid higher transportation costs and costs related to the restarting of a refinery following two months of planned maintenance, Reuters reported.
Next March, Argentina is expected to restart operations of the Trans-Andean pipeline, which has not functioned since 2006, after repairs on it are completed. The pipeline has the potential to pump more than 100,000 barrels of oil per day to Chile, Juan Cruz Diaz and Macarena Michienzi of Cefeidas Group in Buenos Aires told the Energy Advisor in a Q&A published Sept. 23.