Petronas gas posts net profit of RM502.90m in Q2

By BERNAMA / Pic By TMR File

Petronas Gas Bhd (PetGas) reported a slightly lower net profit of RM502.90 million in the second quarter ended June 30, 2019 (Q2 2019) from RM509.33 million posted in the same period last year.

Revenue, however, improved to RM1.38 billion from RM1.36 billion previously, it said in a filing with Bursa Malaysia today.

It said the group’s plants and facilities continued to perform well above 99 per cent reliability.

“Group revenue was higher by 1.6 per cent or RM22.0 million, mainly driven by higher revenue from utilities and gas processing, but was offset by lower revenue from gas transportation and liquefied natural gas (LNG) regasification in Pengerang under the Incentive-based Regulation (IBR).

“While the tariffs are expected to affect the group’s transportation and regasification business segment revenues in 2019, both segments are anticipated to continue contributing positively to the group’s earnings,” PetGas said.

Meanwhile, it added that the group’s gas processing segment was expected to deliver improved earnings pursuant to the higher fixed reservation charge under the second term of the 20-year Gas Processing Agreement, effective from 2019 until 2023. — Bernama