Russia’s Lukoil lifts Iraq output as it swings to profit

Russia’s Lukoil lifts Iraq output as it swings to profit
Rising sales and higher oil prices helped Lukoil return to profit after a second quarter marred by pandemic fallout and global production curbs. (AFP)
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Updated 25 November 2020

Russia’s Lukoil lifts Iraq output as it swings to profit

Russia’s Lukoil lifts Iraq output as it swings to profit
  • Lukoil claims to account for about 2 percent of global oil production

MOSCOW: Russian oil producer Lukoil said on Tuesday that it had reversed a loss into a profit of 50.4 billion roubles ($664 million) in the third quarter thanks to a rise in oil prices, while it had boosted oil output in Russia and Iraq.

Lukoil has faced a pandemic fallout as well as a weaker rouble, which has inflated its debt, denominated in foreign currencies. The company’s output has been also constrained by a global deal on production curbs.

The company had finished the second quarter with a loss of 18.7 billion roubles.

Lukoil said on Tuesday that it had started to boost its output at West Qurna-2 oil field in Iraq from the middle of October, by around 30,000 barrels per day (bpd), after cuts of around 70,000 bpd from May 1 and by 50,000 bpd more from mid-June, in accordance with the deal.

Lukoil, whose largest shareholders are its head, Vagit Alekperov, and vice president Leonid Fedun, also said it had raised its oil output in Russia.

The company said sales rose to 1.46 trillion roubles in the July — September quarter from 986.4 billion roubles in April-June.

The growth was mainly attributable to higher hydrocarbon prices, higher production of refined products at the group’s refineries, as well as higher trading and retail sales volumes, Lukoil said in a statement.

The company also began to recover its natural gas production in Uzbekistan in September.


EgyptAir reduces its ticket prices by 50% to European countries

EgyptAir reduces its ticket prices by 50% to European countries
Updated 25 min 50 sec ago

EgyptAir reduces its ticket prices by 50% to European countries

EgyptAir reduces its ticket prices by 50% to European countries
  • Business class tickets discounted by 35%, and economy class tickets by 25%, with discounts applicable when purchasing tickets until Jan. 31
  • Tourism revenues in Egypt plummeted by more than 69% during the last year due largely to the coronavirus disease pandemic

CAIRO: EgyptAir has announced a 50 percent discount on economy and business class tickets between Cairo and a number of European destinations.

The company offered discounts on its flights between Cairo and Paris for travel from Jan. 24 to Jan. 29, between Cairo and Amsterdam for travel on Jan. 24, 27 and 29, Cairo and London from Jan. 27 to Jan. 29 and between Cairo and Frankfurt on Jan. 28.

The company announced the continuation of discounts on flights between Egypt and Saudi Arabia, Riyadh, Dammam, Jeddah, Madinah and Al-Qassim.

Business class tickets are 35 percent off, and economy class tickets are 25 percent off, with discounts applicable when purchasing tickets until Jan. 31 and traveling until March 15, returning before March 31.

Last Thursday, the state-owned company began applying additional discounts to the price of fuel for the aviation sector, to reach 15 cents per gallon, in support of the tourism sector and to stimulate aviation.

Tourism revenues in Egypt plummeted by more than 69 percent during the last year due largely to the coronavirus disease pandemic, dropping to about $4 billion compared to more than $13 billion in 2019 due to the suspension of air traffic and travel worldwide, and the closure of borders between countries for several months.

Egypt announced an initiative to stimulate domestic tourism under the title “Winter in Egypt,” which relies on reducing the prices of domestic flight tickets.