Sharjah-based company Dana Gas has reported an increase of 67 per cent in operating profit in the first three months of the year compared to the first quarter of 2013.

The company posted profits of $45m compared to $27m in the same time period in 2013. Revenues also increased to reach $180m in the first quarter.

The gas company increased its average production in its gas fields in Egypt and the Kurdistan region of Iraq (KRI) by 12 per cent to reach 68,800 barrels per day equivalent per day.

Dana Gas also received a $3m payment from Egypt in an effort to clear its debt during the first three months of the year.  In 2013, Dana Gas received a total of AED476 million (US$ 130 million) from the Egyptian Government authorities.  

Dana did not receive any payment from the Kurdistan regional government within the first quarter.

During the first quarter, Dana announced it was selling its 50 per cent stake its Egypt Komombo concession for $6.3m to Canadian-based firm Mediterra Energy. The deal is expected to be completed in the second quarter of 2014.

Dana Gas, which also operates producing fields in Egypt and the KRI, increased its net profit in the fourth quarter of 2013 by 12 per cent to AED138m ($38m), while revenues rose by 23 per cent to AED682m.

Annual net profits dropped 5 per cent in 2013 to AED571m due to an increase in royalty payments to the Egyptian government and lower sales of liquefied petroleum gas (LPG) in the Kurdistan region.