Ratio Oil Exploration, the Israeli firm with a 15% working interest in the Leviathan natural gas platform, had record results in the second quarter of 2021, showing a 94% increase in revenue and an operating profit increase of 124% compared to the previous year.
Revenue and operating profit were, respectively, $74 million and $44 million, with the company reaping a net profit of $28 million.
The sales in the second quarter were with customers in Egypt, Jordan and Israel, with the latter seeing 1.4 billion cubic meters of gas sold and similar amounts exported.
Since that time and until the publishing of Ratio's report, the third quarter has seen additional sales of 1.8 billion cubic meters of natural gas. This has given Leviathan's total sales of the year to 7.3 billion cubic meters, which is greater than all of 2020's sales.
By the end of the second quarter, Ratio's cash and deposits stood at $12 million, a $41 million increase from the end of the first quarter.
"This is another record quarter for Ratio on all financial parameters – revenues, operating profit, net profit and cash balance," Ratio CEO Yigal Landau said in a statement.
"Demand for natural gas from Leviathan field in H1/2021 has increased, particularly to the export markets, and in line with the overall demand forecast," he said. "We have decided to accelerate drilling of the fifth production well in the gas field to ensure that we can meet increased demand in a reliable manner.
"We are encouraged by the Israeli regulator's recommendations to allow an increase of gas volumes for exports and are working with our partners on choosing an appropriate alternative investment to increase production from the Leviathan field," he said. "We estimate that pipeline gas and LNG [liquid natural gas] will continue to be dominant as transition fuel in Israel as well as globally in the coming decades, which will help reduce pollution and optimize costs, until a broad entry of renewable energies.”