HONG KONG (Yosefardi) – Citic Resources Holdings Ltd, owner of majority interest in Seram Block, Maluku, booked net profit of HK$104.3 million only in six months ended June 30, 2013, plummeted 54.3% from the corresponding period of 2012.
The company generated sales revenue of HK$21.3 billion in the first half, slipped 2.3% from the same period of 2012.
“The global economy, in particular that of China, experienced a slowdown in growth, resulting in a drop in demand for, and thus a softening in selling prices of, commodities,” Citic argued.
Citic is engaged in the business of crude oil, coal, metals, and other commodities. In oil business, other than Seram block in Indonesia, Citic has interests in Kazakhstan and Liaoning Province, China. In coal business, Citic is partner of Peabody Energy for a number of coal exploration joint ventures in Australia.
“Despite production at the Seram Block in Indonesia slightly dropped due to the natural decline of existing wells, the group will continue to implement well exploration and development works that promote production capacity,” Citic said in the first half report.
Citic’s partners in Seram Non-Bula block are KUFPEC, GPI, and Lion ENergy (ASX-listed company). Citic acquired 51% participating interest in the block from KUFPEC back in November 2006.