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ADNOC Gas plc, a subsidiary of the state energy company Abu Dhabi National Oil Company (ADNOC) has posted a net profit of $1.24 billion for Q3 2024, up 11% year-on-year (YoY).
The net profit came well above analysts’ mean estimate of $1.19 billion, according to LSEG data.
Third quarter revenue was $6.28 billion, up 8% YoY, as higher product prices offset a drop in domestic sales volumes.
Free cash flow fell 9% YoY from $1.31 billion to $1.18 billion as capital expenditure increased 45% to $503 million.
Net income for nine-month 2024 was $3.62 billion, up 18% YoY, excluding a non-recurring gain of $298 million from recognizing a deferred tax asset.
The company updated 2024 capex guidance to $1.9 billion - $2.2 billion from $2 billion - $2.3 billion earlier.
Ruwais LNG plant
The company said it expects to acquire ADNOC’s 60% stake in the Ruwais Liquified Natural Gas (LNG) plant in the second half of 2028 for around $5 billion.
In October, ADNOC Gas cancelled plans to expand operations at its Das Island LNG export facility, saying it will instead continue to invest in other priority projects to realise its aims to raise production capacity by 30% over five years and expand LNG capapcity by 8.3% by 2028.
The Ruwais LNG plant will more than double ADNOC Gas’ current gross 6 mtpa LNG capacity operated from Das Island to reach more than 15 mtpa.
The state energy giant ADNOC holds 95% of the company with around 5% free float on the Abu Dhabi Exchange.
(Reporting by Brinda Darasha; editing by Seban Scaria)
