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Dana Gas operations remain stable despite COVID-19

Dana Gas operations remain stable despite COVID-19
Company's gas sale contracts not affected by fluctuating oil prices
Dana Gas
DANA
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Abu Dhabi - Mubasher: Dana Gas has confirmed that the coronavirus (COVID-19) outbreak has not impacted its exploration and production operations and facilities in the Kurdistan Region of Iraq (KRI) and Egypt.  

Sold under long term gas sale contracts with fixed prices to host governments, 75% of the company's production comes from natural gas, according to the company's press release on Sunday.

The company stated that the gas sale contracts, which generate around 50% of its annual income, have not been affected by fluctuating oil prices. The balance sheet remained strong at the end of 2019, with a cash balance of $425 million.

Meanwhile, the company's board has approved to distribute cash dividends of AED 5.5 fils per share for 2019.

In this regard, the CEO of Dana Gas, Patrick Allman-Ward, commented: "The health and welfare of our staff is our first priority and we continue to take measures with regard to the COVID-19 pandemic to ensure their wellbeing whilst allowing our operations to continue without interruption."

Allman-Ward added: "The current low oil price environment is putting stress on the entire industry sector but Dana Gas is naturally hedged against low oil prices due to our product mix and long term gas sales agreements at steady prices."