UK’s Energy Profits Levy Dents Harbour Energy’s Earnings

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Harbour Energy reports a loss of $8m for the first half of the year, affected by the UK's increased windfall tax and plummeting fossil fuel prices.

Harbour Energy has suffered a billion-dollar swing in its balance sheet, posting an $8m loss for the first six months of trading this year – weighed down by the higher UK windfall tax rate and falling fossil fuel prices.

The oil and gas producer confirmed a $392.9m hit from UK taxes – including the Energy Profits Levy – leading to an overall tax take of $437.5m. Revenues have also slumped from $2.66nn to $1.99bn amid declining commodity prices after last year’s historic rallies in oil and gas markets. As it stands, 85 percent of its operations are based in the UK – but it has confirmed the Zama oil development in Mexico has been approved by the country’s regulator, while a multi-well Andaman Sea exploration campaign will begin in Indonesia in October.

 

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