Oct 30 (Reuters) - Integrated Canadian oil producer Imperial Oil Ltd, reported a higher-than-expected quarterly profit as the company weathered the slump in crude oil prices by lowering expenses.
Global oil prices have fallen nearly 58 percent since June last year forcing oil and gas companies to control costs across the board.
Imperial Oil, 69.6 percent owned by Exxon Mobil Corp , is trying to control costs through increased selectivity in new capital investments.
The company’s total expenses fell 22.5 percent to C$6.52 billion ($4.96 billion) in the third quarter ended Sept. 30.
Imperial Oil’s synthetic crude selling prices fell 40.3 percent to average of C$61.21 per barrel, while average realized price per barrel of bitumen more than halved to C$32.61.
But, total production increased 26 percent to 386,000 barrels of oil equivalent per day, helped by higher output at the company’s Kearl Sands and Cold Lake projects.
Imperial Oil’s net income nearly halved to C$479 million, or 56 Canadian cents per share in the quarter.
According to Thomson Reuters I/B/E/S, Imperial Oil earned 53 Canadian cents per share, excluding a gain on asset sales. That beat analysts average estimate of 51 Canadian cents.
Imperial Oil’s revenue fell 26 percent to C$7.16 billion. ($1 = C$1.3162) (Reporting by Sneha Banerjee in Bengaluru; Editing by Savio D’Souza)