Page 17 - AsianOil Week 19

AsianOil
NEWS IN BRIEF
AsianOil
S O U THEAST ASIA
MISC reports Q1 financial results
Group revenue for the quarter ended 31 March 2020 of RM2,513.8 million was 10.4% higher than the corresponding quarter’s revenue of RM2,277.7 million coming from higher contributions from all segments except for the Offshore segment. Heavy Engineering segment reported an increase in revenue of RM143.7 million following higher contribution from on-going projects coupled with increased conversion work.
Group operating profit for the quarter ended 31 March 2020 of RM845.1 million was 42.8% higher than the corresponding quarter’s operating profit of RM591.9 million as all segments recorded an increase in operating profit. The increase in operating profit under the Petroleum and LNG segments of RM201.6 million and RM37.5 million respectively, are attributable to the higher revenue mentioned above. Following a reversal of cost provision as well as an increase in revenue, Heavy Engineering generated operating profit of RM5.6 million in the current quarter as compared to an operating loss of RM29.1 million in the corresponding quarter.
The Group reported a loss before tax
for the quarter ended 31 March 2020 of RM1,145.4 million compared to a profit before tax of RM542.0 million in the corresponding quarter mainly due to the result of the decision by the Arbitration Tribunal on the Group’s arbitration proceeding against SSPC. As a prudent measure, the Group has decided to recognise a provision for litigation claims amounting to RM1,049.2 million, as well as
a write off of trade receivables and loss on re-measurement of finance lease receivables of RM935.2 million in the current quarter.
MISC, May 8, 2020
EAST ASIA
Zhonghua Gas’ performance hit by COVID-19
Zhonghua Gas Holdings together with its subsidiaries today announces that the first quarter results for the three months ended 31 March 2020. During the period, the Group’s business has been seriously impacted by the Novel Coronavirus Disease (COVID-19).
The total revenue from continuing operations recorded was reduced to HKD75.10 million, representing a 29.5% decrease in revenue year- on-year, from HKD113.6 million. The gross profit ratio and net profit after tax dropped
by 22.2% and 72.5% respectively comparing with those of the Previous Period. The New Energy Business contributed over 99.8% to the Group’s total revenue. Profit attributable to the owners of the Company from continuing operations decreased by 76.1% to HKD2.9 million compared to the Previous Period. The basic and diluted earnings per share for the Current Period were both HKD0.08 cents,
as compared with HKD0.36 cents for the Previous Period.
The decrease in revenue was mainly caused by the outbreak of COVID-19 which led to the imposition of various travel and work restrictions by the relevant government administrations which unavoidably caused serious impact on the Group’s normal business operations such as client meetings, contract negotiation and progresses on the completion of new projects. As a result,
the only source of revenue earned for the first three months of this year was from the supply of LNG that has a thinner gross profit margin than that of construction related and consultancy works.
Regarding the development on LNG business, the Group endeavored to strengthen LNG supply during the heat supply period. The 60:40 Joint Venture that the Group set
up with Shanghai Jiulian Group enabled
the Group to secure stable supply of LNG resources and expand its business to the high potential market in the Yangtze River Delta region. The Joint Venture will be principally engaged in sale of LNG, engineering of LNG pipeline, sale, installation, maintenance
of LNG delivery equipment, technology development, consulting and transfer of heating system, technology development
of new energy, etc. Meanwhile, the Group continued to maintain solid relationship with Tractebel Engineering S.A. from France and Tianjin Jinre Heat-Supply Group Co. Ltd
in technological and infrastructure related business.
Looking forward, the Group will stay alert on the market and continue to keep a close watch on the development of COVID-19 while implementing timely measures to mitigate any possible business risks and minimize losses.
ZHONGHUA GAS HOLDINGS, May 13, 2020
Japan’s first LNG bunkering vessel launched
Japan’s first LNG bunker vessel (LBV) was successfully launched at the Sakaide Works of Kawasaki Heavy Industries Ltd.
The LBV is scheduled to be delivered at the end of September 2020 and will be the first LBV to be operated in Japan. After the delivery, the LBV will be based at JERA’s Kawagoe Thermal Power Station and commence ship-to-ship LNG bunkering business for LNG-fueled vessels.
In 2018, Kawasaki Kisen Kaisha (K Line), JERA Co., Toyota Tsusho, and Nippon Yusen Kabushiki Kaisha (NYK Line) jointly established Central LNG Shipping Japan (CLS), which owns the LBV and ordered
its building, and Central LNG Marine Fuel Japan (CLMF), which will promote the LNG bunkering business in the Chubu (central) region of Japan.
The expertise and strengths of each company will be utilized to provide LNG bunkering solution in the Chubu region and promote a shift to marine LNG for ships.
K LINE, May 13, 2020
OCEANIA
Oil and gas sector
welcomes Queensland
appointments
APPEA welcomes the Queensland State
Week 19 14•May•2020
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