ANCHORAGE, Apr. 25, 2013 – In connection with ConocoPhillips’ first-quarter 2013 earnings, which were announced earlier today, ConocoPhillips Alaska, Inc. (COPA) reported the following 2013 Alaska earnings facts:
As reported in the earnings supplemental information, COPA had net earnings of $543 million in the first-quarter of 2013. This amount is down from $570 million in the fourth-quarter of 2012. First-quarter 2013 production was approximately four thousand barrels of oil equivalent per day lower than the prior quarter due primarily to normal field decline. During the first-quarter of 2013, COPA incurred an estimated $1.2 billion in obligations to Alaska and the federal government. Of this amount, an estimated $900 million was due to Alaska in the form of severance taxes, royalties, property taxes and state income tax.
"Our first-quarter earnings continue the general trend where under ACES, ConocoPhillips Alaska pays more than twice as much in taxes and royalties as we keep," said Bob Heinrich, Vice President Finance, for ConocoPhillips Alaska. "We are encouraged by improvements the legislature and Governor have made to the state’s production tax and believe it should lead to more North Slope investment and production, even though the changes in the tax structure will not take effect until January 1, 2014."
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