Petronas Says Demand Recovery Uncertain as 1Q Profit Doubles

Mei Mei Chu
Monday, May 31, 2021

Petronas's first-quarter profit more than doubled on the back of recovering commodity prices, but the Malaysian state oil firm cautioned demand prospects hinged on vaccines preventing a resurgence of the COVID-19 pandemic.

Petronas said on Monday it made a post-tax profit of 9.3 billion ringgit ($2.25 billion) in January-March, against 4.5 billion ringgit in the same quarter last year, also attributed to lower overall costs.

Revenue fell 12% to 52.5 billion ringgit due to lower sales volume of petroleum products, liquefied natural gas (LNG) and natural gas.

The world's fourth-biggest LNG exporter said its capital investments amounted to 6.7 billion ringgit.

"Oil and gas industry demand is expected to improve following the global vaccine rollout program but recovery prospects remain uncertain due to risk of COVID-19 resurgence," the firm said in a statement.

Petronas, the sole manager of Malaysia's energy reserves, said it would continue to diversify its portfolio, including in non-fuel and specialty chemicals businesses.

It added its downstream business, Petronas Dagangan, launched earlier this year, a platform that sells farm produce directly to consumers via its petrol stations.

($1 = 4.1250 ringgit)

 (Reporting by Mei Mei Chu Editing by Kirsten Donovan and Mark Potter)

Categories: Industry News Activity Production Asia

Related Stories

INEOS Wraps Up Acquisition of CNOOC’s US Oil and Gas Assets

CNOOC Makes Major Oil and Gas Discovery in South China Sea

All Gas from Conrad’s Mako Field to be Sold to Indonesia’s PLN

Shell Launches Next Phase of Malaysia's Deepwater Project with First Oil Production

Initial Drilling Results Raise Questions on South Korea’s Offshore Gas Viability

ADES’ Fourth Suspended Jack-Up Rig Gets Work Offshore Thailand

ABS Approves Hanwha Ocean’s FPSO Design

AI & Offshore Energy: The Higher the Stakes, the More Value AI Creates

Transocean’s Drillship to Stay in India Under New $111M Deal

Sunda Energy Closing in on Jack-Up Deal for Chuditch-2 Appraisal Well

Current News

Eneos Scoops Jack-Up Drilling Contract Offshore Vietnam

Vietnam to Open Bidding Round for Three Offshore Oil Blocks

VARD Snags $125M Shipbuilding Deal for Subsea Construction Vessel

Mitsui’s STATS Lands Malaysian Pipeline Isolation Job

INEOS Wraps Up Acquisition of CNOOC’s US Oil and Gas Assets

Fire at Petronas Gas Pipeline in Malaysia Sends 63 to Hospital

Japan’s ENEOS Xplora, PVEP Ink Deal for Vietnam Offshore Block

CNOOC Makes Major Oil and Gas Discovery in South China Sea

Valeura’s Assets in Gulf of Thailand Remain Operational After Earthquake

Op-Ed: Kazakhstan’s National O&G Firm Positioning Itself as Global Energy Player

Subscribe for AOG Digital E‑News

AOG Digital E-News is the subsea industry's largest circulation and most authoritative ENews Service, delivered to your Email three times per week

https://accounts.newwavemedia.com