Energy companies are doing well from high gas and oil prices, as their latest financial results announcements show. BG Group shares rose by more than 9% after it announced more than doubled fourth quarter profits, thanks to rising oil and gas prices. The company says its profits would have risen by 32% even if prices had stayed stable thanks to operational improvements and a 21% rise in production. Full year earnings for 2005 at Shell were up 30%, though earnings for its gas and power segment were lower in Q4 because of high gas prices. The firm expects greater sales of LNG in 2006 thanks to recently completed expansions of operations in Nigeria and Oman. BP produced record results for 2005, with replacement cost profits up 25% to $19.314M, despite the shutdown of its US refinery in Texas and the effects of changing to IFRS accountancy standards.
