TAQA's preliminary profit grows 107% to reach Dhs1bn

The company's preliminary profits grew by 107 % to reach Dhs1bn in 2007. Preliminary revenues grew by 65% to Dhs8bn, from Dhs4.8bn in 2006. Total assets grew by 30% to reach Dhs68bn in 2007. The basic earnings per share doubled from 12 fils to 24 fils.

During 2007, TAQA made strategic acquisitions that have transformed it into a global energy company comprised of quality energy assets built on the stability of its domestic subsidiaries. Today, TAQA operates in 9 countries, and employs 2,300 people who come from 38 different nations. TAQA prides itself on being a meritocracy.

2007 was an eventful year for TAQA. In January, the company announced its agreement to purchase Talisman's Brae assets. This purchase was completed on 31 December. On 31 January TAQA completed its acquisition of BP Netherland's gas exploration and production (E&P) assets. Both deals position TAQA at the heart of the North Sea Oil basin.

At the AGM in April 2007, TAQA declared a dividend of Dhs207.5m to its shareholders.

During the second quarter, the company completed its acquisition of CMS Generation, a subsidiary of the US integrated energy firm CMS Energy as well as the acquisition of ownership interests held by ABB in Morocco and India, providing TAQA with a portfolio of quality assets in Morocco, Saudi Arabia, Ghana, UAE and India for an aggregate consideration of $1.4bn.

The third quarter of 2007 marked the beginning of TAQA's entry into Canada. In August, TAQA acquired from Pogo 100 per cent of Northrock Resources Ltd. (NRL), a Canadian oil and gas exploration company with operations in the Western Canadian Sedimentary Basin for a total purchase price of $2bn. This company has subsequently been renamed as TAQA North Limited.

Also that month, TAQA announced a $540m acquisition of Pioneer Canada, an oil and gas exploration and production company with operations in the Western Canadian Sedimentary Basin. The transaction was completed in November 2007.

In September, TAQA through TAQA North announced the acquisition of PrimeWest Energy Trust, a Calgary-based conventional oil and gas royalty trust. The total consideration paid for the transaction was approximately Cdn$5bn. The transaction was completed on 16 January 2008.

In October, the company signed a Letter of Intent with Kuwait Energy Company (KEC), a Kuwait-based oil exploration and production company, in respect of opportunities in the oil and gas sector in Egypt, Oman, Yemen, Syria, Iraq, Kazakhstan and Iran.

In November, TAQA completed the sale of 40% of Emirates CMS Power Company, acquired from CMS, to Marubeni Corporation.

Peter Barker-Homek, Chief Executive Officer of TAQA, said, "The last year has seen TAQA transform itself into a global energy business. The dramatic reshaping of our business to encompass all aspects of the energy value chain, from upstream to mid and downstream, has created new opportunities for TAQA around the world. By diversifying our operations into several new markets during the course of the year we have now created an enviable global footprint, offering an attractive spread of market and operational risk. While the pace of development has been dramatic, we remain focused on swiftly integrating these assets to ensure they reach their full potential as part of TAQA."