NGC profits up by 37%

The National Gas Company of TT Ltd (NGC) Group has recorded a profit after tax of $989 million for the financial year ended December 31, 2017 – a 37.3 per cent or $269 million increase over the 2016 profit after tax of $721 million.

In a statement issued on Wednesday afternoon, NGC also said revenue increased by $2.977 billion from $10.903 billion in 2016 to $13.881 billion, driven by higher ammonia and methanol prices of two per cent and 61 per cent respectively.

NGC chairman Gerry Brooks said, “In pursuit of our vision to be a profitable globally integrated organisation, growing at 12 per cent compound annual growth rate, our strategy will continue to focus on operating excellence, organic and inorganic growth, the seeds of which were planted in 2016.”

NGC president Mark Loquan, commenting on the results, said the company is not only “continuing its role as aggregator, actively seeking to improve supply from multiple sources (but) also working to diversify its revenue streams within the energy sector to build a sustainable business.”

Loquan credited the work of the board and management in being “instrumental in advancing swiftly toward this goal.”

NGC said its board “remains cautiously optimistic about the growth prospects” of TT’s energy sector in 2018 and beyond.

“The board and management’s agenda to re-engineer the business for sustainable growth, improved profitability and continuous industry-wide development has been successful.”

The company then detailed several projects which have contributed to or are expected to contribute to this.

“Gas curtailment has been stabilised in the short and medium terms with the coming on stream of two major supply projects, Juniper and Trinidad Onshore Compression Project (TROC).

“Increased network optimisation among both upstreamers and downstreamers also aided in increased reliability of supply. Regarding marginal field development, progress in Block 1A with consortium partners will augment supply in the medium to long term.”

Looking outside of TT, NGC highlighted its recent signing of a commercial agreement in relation to gas resources in Grenada, adding that it is “cementing strategic partnerships and agreements within other regional and international jurisdictions.”

NGC also said, in conjunction with the Energy Ministry and the Office of the Prime Minister, advancements have been made on negotiations for a sales agreement for natural gas produced from Venezuela’s Dragon Field.