Talisman Energy loses $1.59B Q4
Blames declining commodity prices, dry hole and writedowns.
CALGARY — Talisman Energy is reporting a loss of US$1.59 billion in the fourth quarter of 2014.
The loss compares with a loss of $1 billion in the same quarter a year earlier.
The Calgary-based energy company also reported a loss from operations of $143 million in the fourth quarter of the year compared with a loss of $116 million in the same period of 2013.
The company says the loss was primarily due to declining commodity prices, dry hole and writedowns during the quarter.
For the year, Talisman lost $911 million, or 89 cents per share.
Capital spending in 2014 was approximately $3 billion, down $156 million from 2013 and below the company’s original full year guidance of $3.2 billion.
During the fourth quarter, in mid-December, Talisman said it had agreed to be purchased by Spanish energy giant Repsol in a deal worth about US$13 billion.
Repsol will acquire all outstanding common shares of Talisman at US$8 each (C$9.33), which values the company’s total equity excluding debt at US$8.3 billion.
The transaction, which is targeted to close in the second quarter of this year, is subject to customary closing conditions, including court approval.
© 2015 The Canadian Press