Boston, MA 02/12/2014 (wallstreetpr) – Talisman Energy Inc. (USA) (NYSE:TLM) is the Calgary, Canada-based multi-segment oil and gas player which has just announced its fourth quarter results.
Unfortunately, the results fail to match expectations.
Talisman Energy Inc. (USA) (NYSE:TLM) reported loss of $1 billion by the end of the fourth quarter. This was much lesser than the previously low expectations. The loss of $1 billion was due to asset impairment which neared $800 million in value.
Further losses: Asset sale of $2billion
Talisman Energy Inc. (USA) (NYSE:TLM) has also indicated that there is further loss in the near future. This would include the sale of non-core assets between 12 months and 18 month’s timeline. This Energy Company has already sold assets valued at $2 billion. The asset dilution was in the Monteny area of Canada, besides equity investments in Ocensa pipeline, Colombia. The company has also entered into an agreement to sell assets in Southeast Sumatra region as well as the locations off the sour gas Foothills Monkman asset.
Lowered capital spend
Talisman Energy Inc. (USA) (NYSE:TLM) has also announced that it has lowered its capital spend by 20% in 2013, from $4 billion in 2012 to $3.2 billion in 2013. Additionally, the company has also lowered the expenditure by over 25% for activities including exploration.
Talisman Energy Inc. (USA) (NYSE:TLM) will work to realize its currently active material situation besides continuing to work on the non-core assets off the North Sea, until the company is able to quit such low performing assets.
All of the results were before audit and is expected to file audited Consolidated Financial Statements by the March 3, 2014.
Forward program
Talisman Energy Inc. (USA) (NYSE:TLM) also offered to move forward with its capital program. The company hopes to improve the capital program towards such opportunities as those which offer better results.
