UK independent Premier Oil has posted record profits for the fifth consecutive year as revenue rose on the back of increased production.

The company posted an after tax profit of $252 million, up from the previous record of $171.2 million booked in 2011.

Helping boost profits was the record high $1.4 billion generated in revenue during 2012, compared to $826.8 million in turnover a year earlier.

Premier attributed the rise in revenues largely to the 43% year-on-year rise in production to an average of about 57,700 barrels of oil equivalent per day.

Lifting output was the first full year of production from the company’s Chim Sao field in Vietnam which was brought on-stream at the end of 2011 and averaged 15,200 boepd, net to Premier, during 2012.

New fields coming on-stream in Indonesia also helped lift Premier’s total output in the country to an average of 14,200 boepd, up from 2011’s average of 11,450 boepd.

Premier noted in its 2012 financial results that production could have been even higher but it was pegged back by about 4000 boepd due to the re-development of the Kyle field in the UK, which has been shut down since December 2011 following a severe North Sea storm, while adding the supply of additional gas to the Indonesian domestic market which would have generated further gas sales remained under discussion with Indonesian authorities.

The company expects output to continue to climb in 2013 with the Huntington field in the UK North Sea due to come online at the end of this month and expected to produce 25,000 to 30,000 boepd after ramp-up.

The Rochelle field, where Premier holds a 15% stake, is also due to come online mid-year after storm damage to the initial development well led to delays at the field.

The company gave a production guidance of between 65,000 and 70,000 boepd for the year.

Premier expects to drill 15 exploration and appraisal wells this this year, including five high impact exploration wells targeting more that 150 million barrels of oil equivalent.

Following the company’s strong financial performance Premier’s board intends to propose a 2012 dividend of five pence per share, which it will seek shareholder approval for at its annual general meeting in June.