Emphasising cost optimisation and improved efficiency, Qatar Gas Transport Company Ltd (Nakilat) posted a net record profit of QR1Bn (US$275.5M) for the year ended 31 December 2019, an increase of 12.4% year-on-year as compared to QR892M (US$245M) for the same period in 2018
Carrying more than 59M tonnes of LNG in 2019, the Qatar-owned shipping and maritime company attributes its improved results to “operational excellence in the management” of its LNG and LPG vessels and additional revenues generated by two LNG carriers, one floating storage regasification unit (FSRU) and consolidation of its ownership in four Q-Flex LNGCs. Nakilat has 69 LNG carriers, among which are the largest LNG carriers in the world, 31 Q-Flex vessels, with capacities of 210,000 to 217,000 m3, and 14 Q-Max ships, with capacities of 263,000 to 266,000 m3.
It also has four very large gas carriers that transport LPG and added a 55% stake in the FSRU Exquisite in 2018 through a joint venture with US-based Excelerate Energy “to expand its outreach to developing and emerging markets.”
Increased fleet capacity bolstered Nakilat’s revenue, rising 6.8% year-on-year to QR3.9Bn (US$1.1Bn). General and administrative expenses decreased by 3.2%.
Total assets including its share in all its joint venture assets was more than QR55.5Bn (US$15.2Bn), including the QR10.6Bn (US$2.9Bn) Erhama Bin Jaber Al Jalahma Shipyard.
As a result of the upbeat results, the board recommended a cash dividend of QR0.10 (US$0.03) per share.
Nakilat chief executive Abdullah Fadhalah Al Sulaiti, said “The company continued its impressive momentum of growth and expansion across all fronts, in preparation for additional shipping capacity to meet the growing international demand for clean energy.”
Qatar Petroleum (QP) needs additional LNG carrier capacity to support its North Field expansion project that will grow Qatar’s LNG production capacity from 77 mta to 126 mta by 2027. Additional shipping capacity will be need by the Qatari energy company for its interests in the US. QP also holds a 70% interest in Ocean LNG, a joint venture with ExxonMobil, that will off-take and purchase LNG from Golden Pass LNG export project in Sabine Pass, Texas. In excess of 100 LNG carriers could be built over the next decade to support the planned production capacity expansion.