PrairieSky Q1 net profit nearly doubles as revenues increase on higher energy price

Source: PrairieSky

PrairieSky Royalty Ltd. says its net income more than doubled in the first quarter on a nearly 13 per cent increase in revenues on a rise in crude oil and natural gas prices.

The Calgary-based company, which collects royalties from oil and gas production on lands for which it has the petroleum mineral rights, says it earned $18.8 million or eight cents per share.

That's up from $8.6 million or four cents per share a year earlier when the COVID-19 pandemic had a big impact on the economy

Revenues for the three months ended March 31 were $59.5 million, up from $52.7 million a year earlier and $47 million in the prior quarter.

Royalty production averaged 19,380 barrels of oil equivalent per day, down from 22,160 boe/d a year ago.

It says it realized an average of $55.71 per barrel for oil in the first quarter, up from an average of $42.80 in the first quarter of 2020. Meanwhile, its realized natural gas price rose to $2.45 per thousand cubic feet, up from $1.57 a year earlier.

© 2021 The Canadian Press

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