Adelaide-based Beach Energy (ASX: BPT) said increased oil production at its Cooper Basin operations and higher winter gas sales contributed to record full-year revenues of $698 million. June-quarter revenues of $199.7 million represent a 28% jump on the previous quarter. Oil production was also up, 7% on the year and 23% on the quarter.
Beach has over 300 oil and gas projects across the world and is the largest net oil exporter in Australia's Cooper Basin. Other companies involved in Cooper Basin development include Origin Energy (ASX: ORG) and Santos (ASX: STO).
In February, Beach agreed a joint venture partnership with US energy giant Chevron (NYSE: CVX) to develop shale gas in the Cooper Basin. Chevron's shale gas track record and credibility got the market's attention and the deal has contributed to share price volatility since.
Beach's balance sheet remains strong, with cash reserves of $348 million and a $150 million debt facility available to fund capital expenditure. For FY 2014, development and exploration costs are projected between $420-480 million.
Foolish takeaway
Beach has consistently delivered solid production results through its Cooper Basin oil interests. Investors looking to take advantage of the Cooper Basin's giant oil and gas reserves would do well to consider it. Moreover, if the Chevron deal delivers investors may expect a significant upgrade.
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More reading
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- Why you should bank on the Cooper Basin
Motley Fool contributor Tom Richardson does not own shares in any of the companies mentioned in this article.
