CANBERA (dpa-AFX) - Shares of Origin Energy Limited (ORG.AX, OGFGF.PK) gained around 3 percent in Australian trading after the company reported Monday strong performance in its Integrated Gas and Energy Markets divisions with improved market conditions.
In the Integrated Gas division, Australia Pacific LNG revenue climbed 64 percent to A$2.77 billion from last year's A$1.69 billion, driven by higher realised oil prices. The performance was particularly strong given the impact of wet weather and planned downstream maintenance.
Average commodity price surged 71 percent. Meanwhile, quarterly production declined 4 percent to 167.5 PJ, from 173.6 PJ last year, due to wet weather impacting access to wells. Sales also declined 4 percent from last year.
In the energy markets division, total electricity sales volumes rose 8 percent from the same quarter a year ago. Natural gas sales grew 11 perent.
Retail sales volumes fell 2 percent due to the continued increase in solar uptake and energy efficiency. Business volumes gained 18 percent on new customer wins.
Electricity and gas spot prices remained considerably higher than a year ago due to higher international coal and gas prices.
Looking ahead, the company said the outlook for the LNG trading business has improved. For fiscal 2025, the company has hedged around 70 percent of volumes at favourable market prices, resulting in an expected LNG trading EBITDA of A$350 million - A$550 million.
Origin CEO Frank Calabria said, 'Australia Pacific LNG continues to fulfil its commitment to supply the domestic market, providing it with 52.6 PJ of gas during the quarter. . In Energy Markets, net new business customer wins drove electricity sales volume growth, offsetting weaker retail sales volumes due to improvements in energy efficiency and an increase in solar uptake.'
In Australia, Origin Energy shares traded at A$5.58, up 3.05 percent.
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