Canadian Natural reaffirms output forecast as Horizon restarts
(Reuters) - Canadian Natural Resources Ltd (CNQ.TO: Quote) reaffirmed its full-year production forecast, counting on its Horizon oil sands project to make up for a fall in production in the second quarter.
The company said production in the current quarter is expected to rise to between 110,000 and 115,000 barrels per day (bpd) at its Horizon project in Alberta, from 67,954 bpd in the second quarter.
Production fell 8 percent to 623,315 barrels of oil equivalent per day in the second quarter partly due to a major maintenance at Horizon in May.
Canadian Natural, the country's largest independent oil explorer and producer, said reliability at Horizon is improving after the maintenance.
The company has forecast 2013 gas output at between 1,085 million and 1,145 million cubic feet per day and oil production of between 482,000 and 513,000 barrels per day.
Net income fell to C$476 million ($456.6 million), or 44 Canadian cents per share, in the second quarter, from C$753 million, or 68 Canadian cents per share, a year earlier.
Excluding items, the company earned 42 Canadian cents per share.
Revenue fell 1.1 percent to C$3.78 billion.
Average realized price before risk management for the company's crude and natural gas liquids rose 4 percent to C$75.10 per barrel, while for natural gas it rose 88 percent to $4.05 per million cubic feet.
Canadian Natural's cash flow, a key measure of its ability to pay for new projects and drilling, fell 5 percent to $1.67 billion in the quarter.
(Reporting by Vijay Vishwas and Krithika Krishnamurthy in Bangalore; Editing by Robin Paxton and Sriraj Kalluvila)
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