TTNGL reports $5.8m profit for 2020

DESPITE the challenges posed by the covid19 pandemic and other factors, TTNGL Ltd (TTNGL) recorded an after tax profit of $5.8 million last year. TTNGL chairman Conrad Enill made this announcement at the company's virtual annual general meeting (AGM) on Thursday. TTNGL is member of the National Gas Company (NGC) group of companies, of which Enill is chairman.

He said, "Despite a challenging year, TTNGL recorded an after-tax profit of TT$5.8 million for the year ended December 31, 2020, compared to a profit of $120.3 million in 2019. This translated into earnings per share of TT$0.04 in 2020, compared with earnings of TT$0.84 per share in the preceding year."

Enill and Phoenix Park Gas Processor Ltd (PPGPL) president Dominic Rampersad, who also addressed the AGM, said PPGPL reported a $116.8 million profit after tax at the end of 2020. Enill said this was a 49.5 per cent reduction compared to the $231.4 million after tax profit which PPGPL received in 2019.

He said, "This decline was due primarily to factors associated with the pandemic which also negatively impacted gas processing volumes due to reduced gas demand from petrochemical producers at Point Lisas and lower Mont Belvieu NGL prices." Enill added, "PPGPL recorded average product prices and gas processing volumes that were 31.1 per cent lower and 16.5 per cent less, respectively, than prices and volumes in 2019."

He said, "Price and demand forecasts remain highly uncertain as the global pandemic situation remains fluid in the short-term, notwithstanding the gradual rollout of covid19 vaccines." Enill added, "Any normalisation of economic activity in 2021 and subsequent years, largely depend on how the coronavirus pandemic evolves and when COVID-19 vaccines are deployed to the global public, with global efforts at the latter beginning in the UK from December 2020."

He said, "Despite the constraints and inconvenience, our employees across NGC and its subsidiaries, continue to perform exceptionally well, delivering quality results. Rampersad agreed with Enill. "There is no need to panic.

After observing that PPGPL is celebrating 30 years in business, Rampersad said the company's resilience has once again been demonstrated by its performance last year during the pandemic. He said PPGPL was able to retain its markets and thrive. Rampersad said last February, PPGPL through its US subsidiary Phoenix Park TT Energy Holdings was able to acquire NGL's marketing assets of Twin Eagles Marketing LLC in Houston, Texas last February.

Rampersad said, "We are at a very exciting point in our corporate life cycle." In addition to PPGPL's operations in Houston, Rampersad said, "We have operations in Calgary, Canada."

Enill said based on these trends, the company's results for the year ended December 31, 2020 and its current cash flow position, TTNGL's board of directors approved a final dividend of $0.05 per share to shareholders.