ADNOC Gas profits fall 52%, but still beat company's guidance
ADNOC Gas announced a 52% drop in its second-quarter profits?on?Monday. The company, owned by the Abu Dhabi government, saw its?sales fall due to the closure of?Hormuz Strait after the?U.S. Israel and the United States launched 'attacks' on Iran.
The Iran War has caused oil-rich Gulf Countries to suffer as Tehran has attacked energy infrastructure, oil tankers and blocked shipping in the Strait of Hormuz. This area carried a fifth of world oil and natural gas before the conflict.
ADNOC Gas announced on Monday that it intends to increase oil and gas sales. It expects to invest approximately $28 billion from 2026 to 2030 in order to achieve a?growth.
ADNOC Gas reported that the second-quarter profit dropped to $665 from $1.39bn a year ago, but was still above its guidance?range of $400m to $600m.
It said that the third-quarter profit was "likely" to be between $600 million and $800 millions, "based on an assumption that maritime routes continue to be disrupted through the Strait of Hormuz".
The company reported that "despite the challenging operating environment, ADNOC Gas achieved a resilient net income in the second quarter above our range."
The company said that it had awarded contracts worth $8.2 billion for the second phase and third phase of its project Rich 'Gas Development.
ADNOC Gas has awarded $5 billion contracts for the first phase of the RGD Project. The project is designed to increase domestic gas processing and liquid export recovery.
The second phase will be delivered by Wison?Engineering and add a natural gas processing unit to the Habshan site.
Phase three will be delivered by Tecnimont - an 'arm' of the Italian company Maire - and add a natural gas liquids fractionation unit to Ruwais. This is aimed at increasing recovery of liquids of higher value from natural gas, for export.
(source: Reuters)
