Dubai: Dana Gas, the Middle East's first and largest regional private-sector natural gas company held its Annual General Assembly on Wensday, 21st April 2010, as well as a General Assembly Meeting (AGM).
The AGM approved the Board of Directors' Report on the company's activities and financial position for the financial year ending 31st December 2009, the Auditors' Report for 2009, as well as the distribution of a dividend payment to shareholders on the basis of a 10% bonus share issue.
Dana Gas' Chairman, Mr. Hamid Jafar, told those in attendance that the group has grown stronger, both financially and operationally, and will continue to expand its existing portfolio and explore further business opportunities to enhance shareholder value.
In his report to the AGM, on behalf of the Board of Directors, Mr. Jafar, said: "Dana Gas has stayed true to its promised identity and motto of being 'From the Region, By the Region, For the Region'. We are developing solid business relationships and making important progress throughout the MENASA region as Dana Gas' reputation and brand is being increasingly recognized for its excellence. In light of the need to retain cash to support the company's growth and while appreciating the loyalty and support of our shareholders, the Board of Directors has recommended that a dividend payment of 10% bonus shares is issued to shareholder. This was approved by the shareholders."
Dana Gas' CEO, Mr. Ahmed Al Arbeed said: "Dana Gas had a strong operational and financial performance during 2009, and I am proud of results, achievements, financial status and our corporate governance processes."
Dana Gas reported that revenue from the sale of hydrocarbons had increased to Dhs1.28bn in 2009, with gross profit reaching Dhs436m, representing increases of 12% and 69% respectively, compared to 2008. According to Al Arbeed, this reflects the company's ongoing and growing operations in Egypt, plus a year of condensate production and sales from Khor Mor field in Kurdistan Region of Iraq.
He added "in terms of operations in Egypt, we have increased our proven plus probable reserves by 40% to reach 132 million barrels of oil equivalent (MMboe), while production is up by 20% to reach an average of 37,400 barrels of oil equivalent per day (boepd). We are planning another increase in production in 2010. In Iraq, we are one of the largest investors in the Kurdistan Region. We have produced gas for two power stations in the region and plan to double our average daily gas production in 2010. In the UAE, we are moving ahead with the development of the Zora field, offshore Sharjah and Ajman. The UAE Gas Project to process and transport the imported gas continues to await the commencement of gas supplies by the National Iranian Oil Company (NIOC), in accordance with the long-term gas supply agreement between our partner Crescent Petroleum and NIOC. We completed building and connecting our facilities a long time ago, but the gas supplies have not yet started up due to the delay in the development of production facilities in Iran".
Mr Al Arbeed concluded by stating: "The forthcoming year promises to be an exciting year for Dana Gas and we are looking forward to the challenges and the opportunities. We believe we will continue to demonstrate that we are a force for good in the region. Gas is the fuel of the 21st century; and the MENASA region is one of the world's most prolific sources of gas. Dana Gas is well positioned to add value for all our stakeholders."
