Oz APA's H1 Profit Up 11%

Australian gas infrastructure firm, APA group, February 18 announced a net profit after tax of A$175mn (US$117mn) for the six months to December 31 (H1 2020), up 11.2% yr/yr.

Revenue for the period was up 6.4% yr/yr on the corresponding period to A$1.08bn. The results include six months of revenues flowing from completed projects, including the Gruyere power station and Yamarna gas pipeline, the Darling Downs solar farm, and the Badgingarra wind farm, APA said.

“The result for the half demonstrates the benefits of the growth strategy that is set to meet our customers’ collective needs for more capacity and more optionality. The completion of around $1.5 billion of growth projects over the last three years has seen the expected increase in operating cash flow flowing into the business and through to our Securityholders by way of increased distributions and returns,” APA managing director Rob Wheals said. “It is pleasing to see the positive contribution from the majority of those new projects in these results.”

Wheals said in the last few years, APA has added more than 300 MW of new power generation, including 275 MW of renewable generation capability and 270 km of new gas transmission pipelines. “Next month, APA’s Orbost gas processing facility will be processing gas from the Sole gas field – a much needed new gas supply for eastern Australia,” he said.

Commenting on APA’s outlook Wheals said, “Gas is a critical part of the energy mix, both now and into the future. Further, it will continue to play a significant and important role in the overall Australian energy system by supporting renewable generation, when the wind doesn’t blow and the sun doesn’t shine.”