3rd Quarter Results

RNS Number:6262S
Centurion Energy International Inc.
28 November 2003


Centurion Energy International Inc.
Interim Financial Statements
Nine months ending September 30, 2003



REPORT TO SHAREHOLDERS

We are pleased to present the 2003 third quarter shareholders report of
Centurion Energy International Inc.

The third quarter of 2003 was highlighted by the completion of the South Manzala
gas pipeline. On October 1, 2003, Centurion commenced gas production from its
South Manzala gas fields in Egypt. Production from these fields is currently at
33 mmcf/day (5,500 boepd). The commencement of the South Manzala gas production
takes Centurion to the next plateau in its production levels. When compression
facilities are completed in Q4, company daily production will exceed the 10,000
boepd level . Few international junior oil companies have achieved this
production plateau.

During Q3 2003, Egyptian production averaged 2,775 boepd and Tunisian production
averaged 2,195 boepd. Total production for Q3 2003 was 457,000 boe or 4,970
boepd. The slight decrease in average production for Q3, 2003 compared to Q2,
2003 results from the shut in of the Al Manzah field due to water break through
as predicted. It is expected that the year end exit rate in excess of 10,000
boepd will be achieved with production currently at 9,925 boepd without
compression operational at the South Manzala fields. Compression facilities
should be operational by mid December.

Cash flow and earnings for both Q3 and the nine month period ended September 30,
2003 were adversely affected by the required accounting treatment for inventory
stored in Tunisia at quarter end. As of September 30, 2003, Centurion had
produced approximately 85,000 barrels of crude oil which cannot be accounted for
as revenue in the period even though the inventory was sold subsequent to the
period end. Centurion therefore had to inventory all of its third quarter
production from its El Bibane, Robanna and Ezzaouia fields in Tunisia and also
inventoried 18,600 barrels of production from these fields at June 30, 2003. As
a result, cash flow and earnings do not reflect the continued strong production
from Centurion's three oil fields in Tunisia.

Cash flow for Q3, 2003 was $4,437,000 ($0.07 per share basic and diluted)
compared to $6,164,000 ($0.10 per share basic and diluted) for Q3, 2002. Cash
flow for the nine months ended September 30, 2003 was $21,201,000 ($0.34 per
share basic and $0.33 per share diluted) compared to $15,919,000 ($0.26 per
share basic and $0.25 per share diluted) for the nine months ended September 30,
2002. The unsold inventory of oil produced during the periods reduced cash flow
attributable to Q3 operations by approximately $0.03 per share and reduced cash
flow attributable to the operations of the nine months ended September 30, 2003
by approximately $0.02 per share.

Earnings for Q3, 2003 were $1,454,000 ($0.02 per share basic and diluted)
compared to $1,936,000 ($0.03 per share basic and diluted) for Q3, 2002.
Earnings for the nine months ended September 30, 2003 were $7,940,000 ($0.13 per
share basic and $0.12 per share diluted) compared to $4,408,000 ($0.07 per share
basic and diluted) for the nine months ended September 30, 2002. The unsold
inventory of oil produced during the periods reduced earnings attributable to Q3
operations by approximately $0.02 per share and reduced earnings attributable to
the operations of the nine months ended September 30, 2003 by approximately
$0.01 per share.


OPERATING HIGHLIGHTS

EGYPT

El-Manzala Concession
South Manzala Fields

On October 1, 2003, gas production commenced from two wells in the South Manzala
concession at a combined flow rate of 25 mmcf per day. The Gelgel well was
subsequently brought on line on October 20, 2003, and production has
subsequently averaged 33 mmcf/day. Compression equipment is currently being
installed to increase and sustain production at 35 mmcf/day. Gas from the South
Manzala fields is being sold to the Egyptian General Petroleum Corporation at
$US2.65 per mcf .

El Wastani Field

The El Wastani field produced an average of 10.4 mmcf/day, 423 bopd of
condensate and 193 bopd of LPG's during the third quarter. Volumes produced
during the quarter were lower than contract maximums because of constraints at
the custom processing plant and were not related to well productivity. The wells
are capable of meeting the sales contract volumes of 12 mmcf/day. A seismic
program designed to define future exploration and development drilling locations
in the El Wastani area is underway. The first well in the area is expected to
spud in Q2, 2004.

West Gharib Concession

Hana Field

The Hana field continued normal operations with production averaging 431 bopd.
Continued strong oil prices and low operating costs have resulted in strong
monthly cash flow distributions from this field. Work continues with the field
operator to re-map the West Gharib concession for further exploration and
development locations. It is anticipated that two exploration wells will be
drilled in the West Gharib concession in 2004 / 2005.

TUNISIA

Ezzaouia Field

Centurion has completed site preparations for the first of several exploration
wells in Tunisia, and is waiting on the mobilization of the contracted drilling
rig. The Ezzaouia 14 exploration well will test an undrilled fault block in the
Southern portion of the Ezzaouia field. Geological mapping indicates that should
this well be successful, up to 10 million barrels of additional recoverable
reserves could be produced from this new fault block. Spudding of the Ezzaouia
14 well is expected in December, followed by one additional exploration well and
one infill development well in the existing field.

The Ezzaouia field produced at an average rate of 1,137 bopd (357 bopd net) in
the quarter, with field operating costs amounting to $US 5.85 per boe. A new
discovery in the southern portion of the Ezzaouia field would significantly
reduce the per boe costs as the majority of the field costs are fixed, and the
separation facilities currently in place are capable of processing any new
production.
Robbana Field

The Robbana field which produces from one well continues to produce about 46
bopd (37 bopd net). An exploration well to test a seperate structure to the
southeast of the producing well has been approved and Centurion is awaiting the
mobilization of the drilling rig. This well will target potential reserves of up
to 50 million barrels, and is expected to spud in December.

El-Biban Field

El-Biban averaged 845 bopd (623 bopd net) during the quarter. Gas sales to SEEB
averaged about 5.6 million cubic feet per day (936 boepd, 693 boepd net).
Continued operating cost decreases are being achieved by the water separation
and treatment unit installed in February 2003 with field operating costs
approximating $US 3.83 per barrel of oil produced.

Al Manzah Field

On Sept 18, 2003, the Al Manzah Field was shut in due to high operating costs
associated with the increased water cut and low oil production. Work is ongoing
to determine whether or not there are commercial quantities of oil above the
current water level to be recovered. During the quarter, the Al Manzah #2 well
averaged 651 bopd (488 net).

SEEB Power Plant

The SEEB plant produced 46,000 MW of power during the quarter while consuming
516 mmcf of gas from the El Biban field as fuel. Since commissioning in May
2003, the plant has achieved a normal operating routine and has had no
unexpected shutdowns or maintenance issues.

Mellita Permit

Centurion has announced that an agreement has been signed with Petro-Canada, one
of Canada's largest oil and gas companies, to fund an exploration program on
Centurion's 100% owned Mellita Permit. Under the terms of the agreement,
Petro-Canada will become operator and will fund 100% of the cost of an
exploration program up to US $ 13.5 million to earn a 72.5% working interest in
the 845,000 acre permit. The exploration program will consist of up to 2,274 km
of 2D marine seismic, 75 km of 2D land seismic and the drilling of two
exploration wells, one offshore and one onshore on Djerba Island.

ETAP, the Tunisian State Oil Company, has the right to elect to participate for
up to 50% in the development of any discoveries made on the permit. In the event
of a discovery, Centurion and Petro-Canada would be reimbursed for exploration
costs equal to ETAP's participating interest and ETAP would pay its share of
future development costs.

Both land and marine seismic acquisitions have been completed, and are being
processed. Following processing and interpretation of the seismic, drilling
locations will be selected and drilling could commence as early as the first
half
of 2004. Centurion's exploration staff have previously mapped sixteen structural
leads on the Mellita Permit. Potential oil reserves on the permit could be up to
500 million barrels.

Private Placement Fundraising

In October 2003, Centurion issued 9,642,254 common shares at $2.05 per share as
part of a private placement fundraising in Canada and the United Kingdom. Net
proceeds of the fundraising amounted to approximately $19 million which will be
used to accelerate Centurion's 2004 and 2005 drilling program and fund the
equity portion of a potential purchase of producing properties in our core areas
of operation in North Africa.

Forward Looking Statements

This report contains certain forward looking statements that are subject to
risks and uncertainties, and actual performance or results may vary from
potential performance or results that are stated in this report. These risks and
uncertainties include the risk that planned drilling programs may not be
successful and may not result in an increase in reserves to the extent set out
herein. Additional risks associated with the Company's operations are set out in
its Annual Information Form.

Performance Highlights
(For Periods ending September 30)
(Canadian Dollars)

            3 months ending 2003   3 months ending 2002   9 months ending 2003   9 months ending 2002

Sales - net of
royalties ($mm)              7.9*                  10.1                   34.1*                  25.8

Sales price
per boe ($)                 28.00                 35.11                  31.55                  32.60

Cash flow
($mm)                        4.4*                   6.2                   21.2*                  15.9

Per share
basic ($)                   0.07*                  0.10                   0.34*                  0.26

Per share
diluted ($)                 0.07*                  0.10                   0.33*                  0.25

Earnings                     1.5*                   1.9                    7.9*                   4.4
($mm)

Per share
basic                       0.02*                  0.03                   0.13*                  0.07

Per share
diluted                     0.02*                  0.03                   0.12*                  0.07

Shares
outstanding                 63.0                   62.2                   63.0                   62.2

Production
(average
boepd)                     4,970                  5,010                  5,485                  4,180

Total
production
(boe)                    457,000                461,000              1,493,000              1,142,000

*See discussion regarding Inventories in Management Discussion and Analysis.


Management's Discussion and Analysis

The following discussion should be read in conjunction with the unaudited
financial statements of Centurion for the periods ending September 30, 2003. No
comparative amounts are presented for the nine month Egyptian operations as
prior to April 1, 2002, Centurion's Egyptian operations were in the
pre-production stage.

Inventory

At September 30, 2003, Centurion had inventory of approximately 85,000 barrels
of produced oil in its storage tanks in Tunisia including 66,400 produced in the
third quarter. This oil has not been recorded as a sale in Q3 2003, yet has a
sales value of approximately $2.5 million. Operating costs of approximately $0.4
million and depletion costs of approximately $0.3 million have not been included
in expenses in Q3, 2003. The revenue and expenses associated with this period
end inventory will be recognized in Q4, 2003 as the inventory was sold on
November 15, 2003. If the sale of the inventory had been recognized in the
period when it was produced, Q3, 2003 earnings would have increased by $0.02 per
share and cash flow would have increased by $0.03 per share. If all inventoried
oil had been treated as sold in the period when it was produced, the earnings
and cash flow for the nine months ended September 30, 2003 would have increased
by $0.01 and $0.02 respectively. All per barrel amounts discussed in this
management discussion and analysis are based on sales volumes of oil and not
production volumes.


Effects of Foreign Exchange

Centurion's operations are conducted in geographic areas where the US dollar is
the functional business currency. All of Centurion's revenues are paid in US
funds and the majority of its operating expenses and capital expenditures are
also US dollar based. As the Canadian dollar has strengthened considerably in
2003, all of Centurion's US dollar based revenues and expenses will be
translated into fewer equivalent Canadian dollars than the comparable translated
amounts in 2002. There has been an approximate 12% decrease in all US dollar
based amounts being reported in Canadian dollars in 2003. Accordingly, earnings
and cash flow for the nine month period ending September 30, 2003 have been
reduced by approximately $0.02 per share and $0.04 per share respectively
compared to what they would have been if the 2003 average exchange rate had
remained the same as the average rate for 2002.

Revenue

Sales, net of royalties for Q3 2003, were $7,826,000 compared to $10,131,000 for
Q3, 2002 and were $ 34,083,000 for the nine months ended September 30, 2003
compared to $25,764,000 for the comparable period in 2002. The decrease in sales
for Q3, 2003, results from the inventoried production of approximately 66,400
barrels for the quarter, decreased production from the Al Manzah field which was
shut-in early August 2003 due to high water cuts as predicted and foreign
currency effects. Q3 Al Manzah production totaled 45,000 barrels compared to
93,000 barrels in Q3, 2002 Had the above mentioned inventory been sold in Q3,
2003, revenues would have increased by approximately $2.5 million. Lower Al
Manzah production volumes in the quarter accounted for a revenue loss of
approximately $1.5 million compared to Q3, 2002. The increase in revenues over
the comparable nine month period in 2002 is attributable to an extra three
months of gas sales from the El Wastani field in Egypt which came on-stream
March 31, 2002, increased world oil prices, a decrease in the Gemini royalty
rate offset by the Al Manzah Q3 production loss, the deferral of revenue due to
period end inventory and foreign currency effects. If all inventory at September
30, 2003 had been sold during the nine months ended September 30, 2003, sales
would have been further increased by $3.2 million.

Sales in Tunisia, net of royalties for Q3 2003, amounted to $3,498,000 compared
to $5,543,000 for Q3 2002. The decrease in sales is related to inventoried
production volumes and lower Al Manzah production volumes as described above.
For the nine months ended September 30, 2003, sales in Tunisia, net of royalties
amounted to $20,445,000 compared to $15,201,000 for the same period in 2002. The
increase in Tunisian sales for the nine month period can be largely attributed
to the commencement of SEEB operations in May 2003 and increased production
levels partially offset by the effect of inventoried production, lower Q3 Al
Manzah production levels and foreign currency effects described above.

Sales in Egypt, net of royalties for Q3 2003, amounted to $4,328,000. For the
nine months ended September 30, 2003, oil and gas sales in Egypt, net of
royalties amounted to $13,638,000.

Royalty Expense

Royalty expense for Q3, 2003 amounted to $3,107,000 (25% of gross sales)
compared to $4,285,000 (29% of gross sales) for Q3, 2002. The decrease in
royalty expense is entirely related to the decreased Al Manzah gross overriding
royalty.

The Al Manzah gross overriding royalty for Q3, 2003 amounted to $34,000 compared
to
$730,000 for Q3, 2002, and for the nine months ended September 30, 2003,
amounted to $232,000 compared to $1,906,000 in 2002. The significant decrease in
the Al Manzah gross overriding royalty results from the decrease in the royalty
rate from 20% to 2% as payout was achieved in Q4, 2002.

Operating Expense

Operating expense for Q3, 2003 amounted to $1,552,000 ($3.97 per boe) compared
to $2,626,000 ($5.71 per boe) for Q3, 2002 and for the nine months ended
September 30, 2003 amounted to $6,904,000 ($4.78 per boe) compared to $6,748,000
($6.09 per boe) for the comparable period in 2002.

Tunisian operating expense for Q3, 2003 amounted to $811,000 ($6.00 per boe)
compared to $1,294,000 ($7.44 per boe) for Q3, 2002. For the nine months ended
September 30, 2003, Tunisian operating expense totaled $4,158,000 ($6.52 per
boe) compared to $4,572,000 ($8.30 per boe) for the corresponding period in
2002. The decrease in per boe Q3, 2003 amounts is directly related to reduced
water disposal costs at El Biban, the effect of the low cost operations
associated with gas sales to SEEB and foreign currency effects.

Egyptian operating expense for Q3, 2003 amounted to $741,000 ($2.90 per boe)
compared to $1,332,000 ($4.66 per boe) for Q3, 2002. The decrease relates to
lower operating costs in the Hana field and improved operating efficiency after
start-up in the El Wastani gas field and foreign currency effects. For the nine
months ended September 30, 2003, Egyptian operating expense totaled $2,746,000
($3.40 per boe).

General and Administrative Expense

General and administrative expense for Q3, 2003 was $504,000 compared to
$410,000 for Q3, 2002. The increase in expense for the quarter is mainly
attributable to higher investor relation costs related to the AIM listing. For
the nine months ended September 30, 2003, general and administrative expenses
totaled $1,446,000 compared to $1,336,000 for the corresponding period in 2002.

Interest Costs

Interest for Q3, 2003 amounted to $341,000 compared to $268,000 for the same
period in 2002. For the nine months ended September 30, 2003, interest costs
totaled $996,000 compared to $591,000 for the comparable period in 2002. This
represents interest on both the bank indebtedness and the project financing
related to drilling the Gelgel, Sherbean and El Wastani East wells in Egypt.
Prior to the commencement of commercial operations on March 31, 2002, these
interest costs were capitalized.

Depreciation, Depletion and Amortization

The depletion provision for Tunisia production for Q3, 2003 amounted to $731,000
($5.41 per boe) compared to $1,119,000 ($6.44 per boe) for Q3, 2002. For the
nine months ended September 30, 2003, the Tunisian provision totaled $3,598,000
($5.60 per boe) compared to $3,511,000 ($6.38 per boe) for the corresponding
period in 2002. The decrease in Tunisian depletion expense relates to a $0.60
per boe reduction of future development cost estimates and foreign currency
effects.

The Egyptian depletion provision for Q3, 2003 amounted to $1,523,000 ($5.97 per
boe) compared $1,845,000 ($6.45 per boe) for Q3, 2002. For the nine months ended
September 30, 2003, the Egyptian provision totaled $4,923,000 ($6.09 per boe).
The decrease is attributed to foreign currency effects.

Depreciation expense for the SEEB power plant for Q3, 2003 amounted to $340,000,
and for the nine months ended September 30, 2003 amounted to $517,000. Other
depreciation and amortization related to non-oil and gas assets.

Cash Flow and Net Earnings

Cash flow from operations for Q3, 2003 was $4,437,000 ($0.07 per share basic and
diluted) compared to $6,164,000 ($0.10 per share, basic and diluted) for Q3,
2002. As discussed above, unsold inventory of oil produced during the periods
reduced cash flow attributable to Q3 operations by approximately $0.03 per
share. Cash flow from operations for the nine months ended September 30, 2003
was $21,201,000 ($0.34 per share basic and $0.33 per share diluted) compared to
$15,919,000 ($0.26 per share basic and $0.25 diluted) for the corresponding
period in 2002. The unsold inventory of production from the first nine months of
the year reduced cash flow attributable to the operations of the nine months
ended September 30, 2003 by approximately $0.02 per share.

Earnings for Q3, 2003 were $1,454,000 ($0.02 per share basic and diluted)
compared to $1,936,000 ($0.03 per share basic and diluted) for Q3, 2002. As
discussed above, unsold inventory of production from Q3 reduced earnings
attributable to Q3, 2003 by approximately $0.02 per share. Earnings for the nine
months ended September 30, 2003 were $7,940,000 ($0.13 per share basic and $0.12
per share diluted) compared to $4,408,000 ($0.07 per share basic and diluted)
for the comparable period in 2002. The unsold inventory of production from the
first nine months of the year reduced earnings attributable to the nine month
period ending September 30, 2003 by approximately $0.01 per share.

Liquidity, Capital Resources and Capital Expenditures

Capital expenditures for the nine months ended September 30, 2003 totaled
$26,691,000 including $10,761,000 spent in Tunisia and $15,930,000 spent in
Egypt. The expenditures in Tunisia were comprised of costs of the Sidi Mehrez
exploration well, Ezzaouia pre-drill costs, costs of the SEEB power project and
general geological and geophysical programs.  The expenditures in Egypt consisted
of construction costs of the El Manzala South pipeline and other general
geological and geophysical programs.

Cash on hand at September 30, 2003, was $5,111,000 compared to $3,886,000 at
December 31, 2002. Centurion had working capital of $540,000 at September 30,
2003, compared to working capital of $4,112,000 at December 31, 2002. Subsequent
to quarter end, Centurion closed two private placements receiving net proceeds
of approximately $19 million which was added to working capital.

Business Risk Assessment

There are a number of inherent risks associated with oil and gas operations and
development. Many of these risks are beyond the control of management. There has
been no substantial change in the business risk factors since the discussion
provided in the Company's 2002 Annual Report and most recent Annual Information
Form.



Consolidated Balance Sheets
($000's CAD)

                                                          As at          As at
                                                   September 30    December 31
                                                           2003           2002
                                                    (unaudited)

Assets
Current Assets
Cash                                                      5,111          3,886
Accounts receivable                                       9,700         12,317
Inventory                                                   958            622
Deposits and prepaids                                       399            855
                                                        ---------     ----------
                                                         16,168         17,680
                                                        ---------     ----------

Capital assets                                          113,612        113,927
Deferred financing costs                                    457            581
Future tax asset                                          3,882          8,456
                                                        ---------     ----------
                                                        134,119        140,644
                                                        =========     ==========

Liabilities
Current liabilities
Accounts payable                                         13,428          9,550
Taxes payable                                               871            561
Short-term portion of limited recourse long-term debt     1,329          1,573
Short-term portion of other long-term debt                    -          1,884
                                                        ---------     ----------
                                                         15,628         13,568
                                                        ---------     ----------

Limited recourse long-term debt (Note 2)                 15,349         14,547
Other long-term debt (Note 3)                            13,508         15,679
Provision for site restoration costs                      1,117          1,314
Deferred credit                                           1,660          3,617
                                                        ---------     ----------
                                                         47,262         48,725
                                                        ---------     ----------

Shareholders' Equity
Capital stock (Note 5)                                   59,087         58,888
Contributed surplus                                       1,101          1,079
Foreign currency translation adjustment                  (3,375)         9,848
Retained earnings                                        30,044         22,104
                                                        ---------     ----------
                                                         86,857         91,919
                                                        ---------     ----------
                                                        ---------     ----------
                                                        134,119        140,644
                                                        =========     ==========





                                                                  Consolidated
                                                                  Statement of
                                                                    Income and
                                                                      Retained
                                                                    Earnings

Periods ending September 30, 2003 and 2002
(Unaudited)
($000's CAD)
                     Three months ended September 30        Nine months ended September 30
                              2003              2002              2003                2002

Revenue
Sales - net of
royalties                    7,826            10,131            34,083              25,764

Other income                    33                 5               131                  30
                           ---------          --------          --------            --------
                           ---------          --------          --------            --------
                             7,859            10,136            34,214              25,794
                           ---------          --------          --------            --------

Expenses
Operating                    1,552             2,626             6,904               6,748

General and
Administrative                 504               410             1,446               1,336

AIM Listing                      -                 -             1,197                   -

Foreign
exchange
(gain) loss                     (1)               (5)               (2)                (13)

Interest                       341               268               996                 591

Amortization
of deferred
financing
costs                           40                41               124                  81

Depletion,
depreciation
and
amortization                 2,704             3,082             9,323               7,474
                           ---------          --------          --------            --------
                           ---------          --------          --------            --------
                             5,140             6,422            19,988              16,217
                           ---------          --------          --------            --------
                           ---------          --------          --------            --------
                           ---------          --------          --------            --------
Income before
income taxes                 2,719             3,714            14,226               9,577
                           ---------          --------          --------            --------

Income taxes
Current                      1,026               673             3,669               1,213
Future                         239             1,105             2,617               3,956
                           ---------          --------          --------            --------
                             1,265             1,778             6,286               5,169
                           ---------          --------          --------            --------

Net Income for
the period                   1,454             1,936             7,940               4,408

Retained
earnings -
Beginning of
period                      28,590            18,088            22,104              15,616
                           ---------          --------          --------            --------
Retained
earnings - End
of period                   30,044            20,024            30,044              20,024
                           =========          ========          ========            ========
                           =========          ========          ========            ========

Basic earnings
per share                     0.02              0.03              0.13                0.07

Diluted
earnings per
share                         0.02              0.03              0.12                0.07



Consolidated Statement of Cash Flows

  Consolidated Statement of Cash Flows                                                                                
  Periods ending September 30, 2003 and 2002 (Unaudited)                                                              
  ($000's CAD)                                                                                                        

                                        Three months ended September 30           Nine months ended September 30      
                                                          2003        2002                          2003        2002
  Cash provided by (used in)                                                                                          
  operating activities                                                                                                

  Net income for the period                              1,454       1,936                         7,940       4,408  

  Items not affecting cash                                                                                            

  Depletion, depreciation and                           
  amortization                                           2,704       3,082                         9,323       7,474 

  Amoritization of deferred                               
  financing costs                                           40          41                           124          81  

  Future taxes                                             239       1,105                         2,617       3,956  

  AIM listing costs                                          -           -                         1,197           -  

  Cash flow from operations                              4,437       6,164                        21,201      15,919  

  Listing costs                                              -           -                        (1,197)          -  

  Changes in non-cash operating                        
  working capital                                       (2,682)      4,472                          (731)      2,765  

                                                         1,755      10,636                        19,273      18,684  

  Investing activities                                                                                                

  Petroleum and natural gas                          
  property expenditures                                (10,588)     (4,950)                      (26,691)    (21,552) 

  Changes in non-cash working                          
  capital items                                          6,405      (6,426)                        7,656     (17,722) 

                                                        (4,183)    (11,376)                      (19,035)    (39,274) 

  Financing activities                                                                                                

  Net proceeds of long term debt                           213         712                           358      22,741  

  Issuance of capital stock, net                        
  of repurchases                                           251           -                           221          34  

                                                           464         712                           579      22,775  

  Foreign currency translation                              12         148                           408         480  

  Increase / (decrease) in cash                         (1,952)        120                         1,225       2,665  

  Cash - Beginning of period                             7,063       4,634                         3,886       2,089  

  Cash - End of period                                   5,111       4,754                         5,111       4,754  


Consolidated Notes to Financial Statements

All dollar figures are Canadian dollars unless otherwise noted.
(Unaudited)

1       Accounting Policies

These interim financial statements have been prepared using the same accounting
policies as used in the financial statements for the year ended December 31,
2002. The interim statements do not include all of the disclosures required in
the annual statements and accordingly, should be read in conjunction with
Centurion's financial statements for the year ended December 31, 2002.

2       Limited Recourse Long-Term Debt

Limited recourse long-term debt is comprised of $13,294,000 related to the
credit facility of SEEB in respect to the construction of the power generation
plant in Tunisia. The debt bears interest at LIBOR plus 2.5% and is secured by
the power plant assets. Principal repayments of $1,329,000 are required within
the next 12 months and accordingly have been included in current liabilities.

The remaining balance of $3,384,000 is comprised of additional project financing
related to the construction of the power plant in Tunisia provided by
Centurion's 50% partner in the project. The debt bears interest at 13%. There
are no fixed repayment terms nor will the lendor demand repayment in the next 12
months. Accordingly, this additional financing has been classified as a
long-term obligation.

3       Other Long-Term Debt

Other long-term debt consists of a credit facility with the Standard Bank London
Ltd, under which $13,508,000 ($US 10 million) has been drawn. This debt bears
interest at LIBOR plus 3.5%. Principal repayments are required when Centurion's
debt drawings exceed the allowable borrowing base provided for in the credit
facility. Management does not anticipate this to occur in the upcoming year and
has accordingly classified this credit facility as a long-term obligation.

4       Stock Based Compensation

Centurion does not record compensation expense for stock options granted to
employees and directors. Had the company chosen to adopt the fair value based
method, net income for the three and nine month periods ended September 30, 2003
would have been reduced by $361,000 ($0.006 per share) and $511,000 ($0.008 per
share) respectively.

5       Common Shares, Options and Warrants.

As of September 30, 2003, Centurion had 63,014,127 shares, 6,178,334 employee
stock options, 200,000 share purchase warrants issued to the Standard Bank Ltd.,
and 1,704,546 share purchase warrants outstanding. During the nine months ended
September 30, 2002, Centurion repurchased 395,500 shares under the Normal Course
Issuer Bid, and had 1,097,500 options exercised into common shares by employees.

6       Subsequent Event - Private Placement

In October 2003, Centurion issued 9,642,254 common shares at $2.05 per share,
resulting in net proceeds of approximately $19 million.




                      This information is provided by RNS
            The company news service from the London Stock Exchange


END
QRTLVLFLXFBFFBB