March 5, 2012 / 12:47 PM / 6 years ago

UPDATE 2-Vermilion Energy Q4 loss widens on impairment charge

* Q4 loss/shr C$0.32 vs loss/shr C$0.25 last yr

* Q4 rev up 27 percent

* Sees 2012 production rise up to 8 pct

March 5 (Reuters) - Vermilion Energy posted a wider fourth-quarter loss, hurt by an impairment charge, and the oil and gas company forecast an increase of up to 8 percent in its production this year.

The company, which produced 35,202 barrels of oil equivalent per day (boepd) last year, expects to raise its output to 37,000-38,000 boepd in 2012. It has a target of taking it to 50,000 boepd by 2015.

Vermilion’s October-December loss was C$30.2 million, or 32 Canadian cents per share, compared with a loss of C$21.8 million, or 25 Canadian cents per share, a year ago.

The Calgary, Alberta-based company recorded an impairment charge of C$64.4 million on its Canadian natural gas properties due to lackluster forecasts for fuel prices.

U.S. Natural gas prices have slumped to historical lows and are at $2.4 per million British thermal units.

Quarterly revenue at the company rose 27 percent to C$275.2 million as the company benefited from higher oil prices and a 4 percent rise in production to 36,654 boepd.

Vermilion has 60 percent of its production tied to Brent crude prices, which continue to be at a premium of about 20 percent over WTI.

The company’s shares, which have risen about a fifth in value in the last 6 months, closed at C$48.57 on Friday on the Toronto Stock Exchange.

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