OMXStockholm, 2013-02-06 07:00 CET (GLOBE NEWSWIRE) --HIGHLIGHTSTwelve months ended 31 December 2012 (31 December 2011) Production of 35.7 Mboepd (33.3 Mboepd) Operating income of MUSD 1,345.1 (MUSD 1,269.5) EBITDA of MUSD 1,144.1 (MUSD 1,012.1) Operating cash flow of MUSD 831.4 (MUSD 676.2) Net result of MUSD 103.9 (MUSD 155.2) New USD 2.5 billion seven year secured revolving borrowing base facilitysigned on 25 June 2012 PDOs approved for the Edvard Grieg and Byla fields, Norway Pre-Unit agreement signed for the Johan Sverdrup field Extensive appraisal drilling on the Johan Sverdrup field Geitungen oil discovery of between an estimated 140 and 270 MMboe grossrecoverable resources1 located north of the Johan Sverdrup field within PL265Fourth quarter ended 31 December 2012 (31 December 2011) Production of 35.9 Mboepd (34.7 Mboepd) EBITDA of MUSD 289.8 (MUSD 244.8) Operating cash flow of MUSD 237.4 (MUSD 89.4) Net result of MUSD -52.7 (MUSD -14.0) Tembakau-1 gas discovery of 306 bcf on Block PM307, offshore PeninsularMalaysia New Block PM319 awarded offshore Peninsular Malaysia Acquisition of an additional 20 percent interest in the Brynhild field,offshore NorwayComments from C. Ashley Heppenstall, President and CEO2012 was yet another successful year for our Company. We have exceeded ourproduction forecasts once again and this, coupled with our low operating costsand cash taxes, has resulted in a record operating cash flow of more than MUSD830 for the year.Lundin Petroleum's success has been due to our ability to increase our resourcebase. Our 2P recoverable reserves at the end of 2012 were 201.5 million barrelsof oil equivalent. Whilst last year's reserve replacement ratio was lower thanin previous years, I think everyone would agree that this will change when thecontingent resources from the Johan Sverdrup field in Norway are booked asreserves. There is little doubt that the Johan Sverdrup field is commercial butreserves will not be booked until the signing of a unitisation agreement andthe submission of the field development plan both scheduled for the end of2014.In 2013 we expect our net production to average between 33,000 boepd and 38,000boepd for the year and to exit the year at in excess of 40,000 boepd when theBrynhild field reaches plateau production.We are very excited about our 2013 exploration programme which involves thedrilling of 18 exploration wells in Norway, South East Asia, France and theNetherlands. The budget of over USD 460 million will be the largest in theCompany's history and will be predominantly focused on Norway which willaccount for about 75 percent of the expenditure.1 Estimated by PL265 operator, StatoilListen to President and CEO Ashley Heppenstall and CFO Geoffrey Turbott commenton the report at the live webcast presentation on Wednesday 6 February at 8.00CET.The presentation and slides will be available on www.lundin-petroleum.comfollowing the presentation. Please dial in to listen to the presentation on thefollowing telephone numbers:UK: + 44 (0) 203 043 24 36, International Toll Free Number: +1 866 458 40 87To view the whole report see attached document.Visit our website: www.lundin-petroleum.comLundin Petroleum is a Swedish independent oil and gas exploration andproduction company with a well balanced portfolio of world-class assetsprimarily located in Europe and South East Asia. The Company is listed at theNASDAQ OMX, Stockholm (ticker "LUPE") and at the Toronto Stock Exchange (TSX)(Ticker "LUP"). Lundin Petroleum has proven and probable reserves of 202million barrels of oil equivalent (MMboe).For further information, please contact:Maria Hamilton Teitur PoulsenHead of Corporate Communications VP Corporate Planning & Investor RelationsE-mail: maria.hamilton@lundin.ch Tel: + 41 22 595 10 00Tel: +41 22 595 10 00Tel: +46 8 440 54 50This information has been made public in accordance with the Securities MarketAct (SFS 2007:528) and/or the Financial Instruments Trading Act (SFS 1991:980).Forward-Looking StatementsCertain statements made and information contained herein constitute"forward-looking information" (within the meaning of applicable securitieslegislation). Such statements and information (together, "forward-lookingstatements") relate to future events, including the Company's futureperformance, business prospects or opportunities. Forward-looking statementsinclude, but are not limited to, statements with respect to estimates ofreserves and/or resources, future production levels, future capitalexpenditures and their allocation to exploration and development activities,future drilling and other exploration and development activities. Ultimaterecovery of reserves or resources are based on forecasts of future results,estimates of amounts not yet determinable and assumptions of management.All statements other than statements of historical fact may be forward-lookingstatements. Statements concerning proven and probable reserves and resourceestimates may also be deemed to constitute forward-looking statements andreflect conclusions that are based on certain assumptions that the reserves andresources can be economically exploited. Any statements that express or involvediscussions with respect to predictions, expectations, beliefs, plans,projections, objectives, assumptions or future events or performance (often,but not always, using words or phrases such as "seek", "anticipate", "plan","continue", "estimate", "expect", "may", "will", "project", "predict","potential", "targeting", "intend", "could", "might", "should", "believe" andsimilar expressions) are not statements of historical fact and may be"forward-looking statements". Forward-looking statements involve known andunknown risks, uncertainties and other factors that may cause actual results orevents to differ materially from those anticipated in such forward-lookingstatements. No assurance can be given that these expectations and assumptionswill prove to be correct and such forward-looking statements should not berelied upon. These statements speak only as on the date of the information andthe Company does not intend, and does not assume any obligation, to updatethese forward-looking statements, except as required by applicable laws. Theseforward-looking statements involve risks and uncertainties relating to, amongother things, operational risks (including exploration and development risks),productions costs, availability of drilling equipment, reliance on keypersonnel, reserve estimates, health, safety and environmental issues, legalrisks and regulatory changes, competition, geopolitical risk, and financialrisks. These risks and uncertainties are described in more detail under theheading "Risks and Risk Management" and elsewhere in the Company's annualreport. Readers are cautioned that the foregoing list of risk factors shouldnot be construed as exhaustive. Actual results may differ materially from thoseexpressed or implied by such forward-looking statements. Forward-lookingstatements are expressly qualified by this cautionary statement.Reserves and ResourcesUnless otherwise stated, Lundin Petroleum's reserve and resource estimates areas at 31 December 2011, and have been prepared and audited in accordance withNational Instrument 51-101 Standards of Disclosure for Oil and Gas Activities("NI 51-101") and the Canadian Oil and Gas Evaluation Handbook ("COGEHandbook"). Unless otherwise stated, all reserves estimates contained hereinare the aggregate of "Proved Reserves" and "Probable Reserves", together alsoknown as "2P Reserves". For further information on reserve and resourceclassifications, see "Reserves and Resources" in the Company's annual report.Contingent ResourcesContingent Resources are those quantities of petroleum estimated, as of a givendate, to be potentially recoverable from known accumulations using establishedtechnology or technology under development, but are not currently considered tobe commercially recoverable due to one or more contingencies. Contingencies mayinclude factors such as economic, legal, environmental, political andregulatory matters or a lack of markets. There is no certainty that it will becommercially viable for the Company to produce any portion of the ContingentResources.Prospective ResourcesProspective Resources are those quantities of petroleum estimated, as of agiven date, to be potentially recoverable from undiscovered accumulations byapplication of future development projects. Prospective Resources have both achance of discovery and a chance of development. There is no certainty that anyportion of the Prospective Resources will be discovered. If discovered, thereis no certainty that it will be commercially viable to produce any portion ofthe Prospective Resources.BOEsBOEs may be misleading, particularly if used in isolation. A BOE conversionratio of 6 Mcf : 1 Bbl is based on an energy equivalency conversion methodprimarily applicable at the burner tip and does not represent a valueequivalency at the wellhead.Copyright 2013 OMX AB (publ).
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