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Origin posts record quarterly LNG revenue

Origin has booked a more than 50pc lift in gas production revenue from its stake in APLNG.

Origin Energy's Australia Pacific liquefied natural gas facility at Curtis Island in north Queensland. Picture: AAP
Origin Energy's Australia Pacific liquefied natural gas facility at Curtis Island in north Queensland. Picture: AAP

Electricity and gas retailer Origin Energy has posted a 53 per cent rise in third-quarter gas production revenue from its stake in Australia Pacific LNG, driven by higher oil prices.

Origin’s (ORG) share of revenue came in at $763.9 million for the three months ended March 31, up from $499.9m in the same period a year earlier. Production for the quarter rose one per cent from a year ago to 63.3 petajoules. APLNG, the largest producer of natural gas in eastern Australia, is a joint venture between Origin, ConocoPhillips, and China’s Sinopec. The total cash distribution from APLNG for financial year 2019 is expected to be about $850m, Origin said in a statement.

Liquefied natural gas from the APLNG project was sold at an average realised price of $10.84 per metric million British thermal unit in the March quarter, up from $8.10 last year.

Origin, which controls nearly a third of Australia’s energy retailing market, said in February it expects to take a charge on annual pre-tax earnings from fiscal 2020 due to a draft proposal by the government to lower the cost of energy for consumers.

The company’s shares have climbed 15.2 per cent so far this year, compared with a 31 per cent slump in 2018.

Shares in Origin has fallen 5.5 cents, or 0.74 per cent, to $7.395 at 10.25am (AEST).

Reuters

Read related topics:Energy

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Original URL: https://www.theaustralian.com.au/business/mining-energy/origin-posts-record-quarterly-lng-revenue/news-story/daa99cf7521ff0786ef24a127be91e1e