Imperial Oil Q4 profit plunges 84 per cent on lower realized prices

Imperial Oil suffered $289M net loss in upstream operations

Imperial Oil says some of its refinery and chemical operations weren’t affected by falling oil prices as much as its upstream operations.  Imperial Oil photo.

CALGARY _ Imperial Oil Ltd., a subsidy of ExxonMobil, says its fourth-quarter profit fell dramatically as a result of lower oil and gas prices, although some of its refinery and chemical operations weren’t affected to the same degree.

The company earned $102 million or 12 cents per diluted share in the fourth quarter, down from $671 million or 79 cents per diluted share.

The result included a $289-million net loss for Imperial’s upstream operations, which include oilsands, conventional oil and natural gas production.

Its downstream operations, which include refining and retailing operations, remained profitable, earning $352 million, but that’s down from $397 million.

Imperial’s petrochemical business earned $74 million, up from $63 million in the fourth quarter of 2014.

The Calgary-based company says its average realized price for a barrel of synthetic oil was down 31 per cent compared with a year ago, while it was down 56 per cent for a barrel of bitumen.

Its average realized price for natural gas was down 31 per cent per thousand cubic feet.

The Canadian Press