Petronet LNG Posts 10% Rise in Q3 Profit

Petronet LNG Posts 10% Rise in Q3 Profit
New Delhi: Petronet LNG Ltd, the country's biggest liquefied natural gas importer, on Wednesday reported a 10 per cent surge in net profit for the December quarter, on shipping higher volumes of gas.

Net profit in October-December at Rs 178.39 crore was 9.8 per cent higher than Rs 162.39 crore in the corresponding period a year ago, Petronet managing director and CEO Prabhat Singh said.

The profit was higher because of importing higher volumes of LNG and operational efficiency, he said.

Turnover, however, decreased to Rs 5,204.45 crore in the quarter under review as against Rs 11,225.3 crore in the year-ago period as the company reduced offtake of LNG under long-term contract with Qatar.

Overall there were 40 per cent less volumes that Petronet took from RasGas of Qatar as the long term price were twice the rate on which LNG was available in the spot or current market.

Effective January 1, the rates have been renegotiated and currently 7.5 million tons of LNG under long term contract costs about $6 per million British thermal unit as compared to $12-13 per mmBtu previously, Petronet director (finance) R K Garg said.

Mr Singh said the company has deferred taking deliveries from Gorgon project in Australia by a year to November 2016.