Sevan Drilling Limited reported unaudited consolidated earnings results for the fourth quarter and full year ended December 31, 2016. For the quarter, the company reported operating revenue of USD 63.4 million against USD 85.9 million a year ago. Operating profit USD 9.6 million against loss of USD 178.1 million a year ago. Loss before tax was USD 7.2 million against USD 193.1 million a year ago. Net loss was USD 12.1 million against USD 194.1 million a year ago. Net loss attributable to equity holders of the company was USD 12.1 million or USD 0.41 per share basic and diluted against USD 194.1 million or USD 6.53 per share basic and diluted a year ago. EBITDA was USD 29.3 million against USD 36.9 million a year ago. The decrease in revenue is primarily due to the Sevan Driller being idle during fourth quarter of 2016, in addition to the Sevan Brasil operating at a lower day rate during 2016.

For the year, the company reported operating revenue of USD 237.3 million against USD 366.8 million a year ago. Operating loss USD 16.6 million against USD 83.6 million a year ago. Loss before tax was USD 85.6 million against USD 150.9 million a year ago. Net loss was USD 93.0 million against USD 151.8 million a year ago. Net loss attributable to equity holders of the company was USD 93.0 million or USD 3.13 per share basic and diluted against USD 151.8 million or USD 5.11 per share basic and diluted a year ago. Net cash generated from operating activities was USD 54.8 million against USD 85.1 million a year ago. Purchases of property, plant and equipment and other non-current assets was USD 1.1 million against USD 18.5 million a year ago. EBITDA was USD 91.3 million against USD 186.8 million a year ago. The decrease in revenue is primarily due to the Sevan Driller operating for three months on a well service program at a lower day rate and being idle for nine months in total for the year.

The level of exploration and production capital expenditures is expected to be down again in 2017.