Malaysian energy giant Petronas reported a RM10.3 billion ($2.4 billion) profit for the first quarter 2017, boasting over 100 percent rise over the corresponding period in 2016.
This was primarily driven by higher oil prices and improved margins from upstream and downstream businesses, as well as ongoing cost reductions, Petronas said.
Profit after tax jumped from RM4.6 billion ($1 billion) in the first quarter of 2016, as a result of higher revenue and higher average realized prices and lower net impairment on assets. Revenue was up 25 percent from RM49.1 billion in Q1, 2016, to RM61.6 billion during the quarter under review.
Total LNG sales volume for the quarter was higher by 0.15 million tons compared to the corresponding quarter in 2016, mainly attributable to higher volumes from Gladstone LNG in Australia and the start-up of Train 9 in the company’s Bintulu LNG complex.
Volumes reached 7.5 million tons of LNG for the period, as compared to 7.35 million tons of liquefied natural gas in the first three months of 2016.
Gas sale volumes in Malaysia grew by 23 mmscfd on the back of higher demand in East Malaysia.
Despite positive results in the first quarter, the company said it continues to maintain a conservative outlook for the remainder of 2017, “as supply and demand balances are still slow to return to a sustained equilibrium.”
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