Fuel marketer Caltex Australia expected its net profit for the first half of calendar 2010 to reach half of what was earned from the same period last year based on a stronger Australian dollar.

Caltex said it may be earning between $140 million and $160 million, excluding significant items, and may precede on an exchange rate between 84 and 87 US cents. This is in comparison with last year's first half which was $298 million on a replacement cost of sales operating profit or RCOP.

"Singapore refiner margins were stronger than expected due to the weakness in the Tapis crude price relative to other crudes," Caltex said in the statement.

"However, the higher average Australian dollar during the period compared with the same period in 2009 negatively impacted the Caltex refiner margin.

Caltex also attributed the first half's earnings for this year on the recent fall of the Australian dollar which had a negative impact on its RCOP net profit after tax due to a loss of US dollar payables.

Caltex disclosed that its production volumes of petrol, diesel, and jet fuel slumped down during the first half of this year to about 4.4 billion litres because it focused on planned maintenance on two refineries in Sydney and Brisbane.

The demand for diesel, jet, and premium was strong compared to 2009.