Petrochemical firms’ profits down 34% to SR6.43 billion in Q1

Updated 29 April 2015
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Petrochemical firms’ profits down 34% to SR6.43 billion in Q1

Net profits of the listed Saudi petrochemical firms dropped by 34 percent to SR6.43 billion in the first quarter of the current year compared to SR9.81 billion in Q1, 2014, according to a financial report.
Similarly, revenues of the petrochem sector fell by 20 percent to SR57.49 billion compared to SR72 billion in the comparable period on the back of oil price fall, the report, filed by Al-Hayat daily, said.
As regards capitals of the petrochemical companies, Saudi Basic Industries Corporation (SABIC) had the biggest capital at SR30 billion, followed by Saudi Kayan Petrochemical Company (Saudi Kayan) at SR15 billion, Rabigh Refining and Petrochemical Company (PetroRabigh) at SR8.76 billion, the National Industrialization Co. (Tasnee) at SR6.68 billion whereas Alujain Corporation has the least capital of SR692 million, the report said.
Referring to the performance of the firms in 2014, the report said that 8 companies out of 14 listed firms registered growth in their profits worth SR5.4 billion in Q1 whereas the remaining 6 companies registered losses of SR1.04 billion.
SABIC topped the sector companies to have registered the highest profits in Q1 at SR3.93 billion representing 73 percent of the sector profit growth. However, its profits dropped by 38.98 percent compared to profits of Q1, 2014, which stood at SR6.44 billion, the report said.
Saudi Arabian Fertilizer Company (SAFCO) was second biggest profit maker among the petrochem firms in Q1 when it achieved SR590 million. However, its profits dropped by 30 percent compared to profits of Q1, 2014, which stood at SR843 million, according to the report.
Yanbu National Petrochemical Company (Yansab) was the third company to have achieved the highest profits at SR285.1 million in Q1, 2015, compared to SR555.7 million in Q1, 2014, or a decrease of 48.7 percent.
Other companies achieved profits with varying degrees in Q1, 2015, compared to figures of the same period last year as follows: PetroRabigh SR205.4 million compared to SR413 million (- 50 percent), the Saudi Industrial Investment Group’s (SIIG) SR126 million compared to SR261 million (-52 percent), the National Petrochemical Company (PetroChem) SR101.8 million compared to SR141 million (-27.8 percent), the report said.
As regards companies sustaining losses in Q1, Saudi Kayan was the highest at SR561.6 million compared to its profits of SR9.94 million in Q1, 2014, followed by Tasnee at SR332.5 million compared to profits of SR321 million, and Sahara Petrochemicals at SR49.5 million compared to its profits of SR99.9 million, the report said.


Libya’s National Oil against paying ‘ransom’ to reopen El Sharara field

Updated 14 December 2018
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Libya’s National Oil against paying ‘ransom’ to reopen El Sharara field

  • Ransom payment would set dangerous precedent
  • NOC declared force majeure on exports on Monday

BENGHAZI: Libya’s state-owned National Oil Corp. (NOC) said it was against paying a ransom to an armed group that has halted crude production at the country’s largest oilfield.
“Any attempt to pay a ransom to the armed militia which shut down El Sharara (oilfield) would set a dangerous precedent that would threaten the recovery of the Libyan economy,” NOC Chairman Mustafa Sanalla said in a statement on the company’s website.
NOC on Monday declared force majeure on exports from the 315,000-barrels-per-day oilfield after it was seized at the weekend by a local militia group.
The nearby El-Feel oilfield, which uses the same power supply as El Sharara, was still producing normally, a spokesman for NOC said, without giving an output figure. The field usually pumps around 70,000 bpd.
Since 2013 Libya has faced a wave of blockages of oilfields and export terminals by armed groups and civilians trying to press the country’s weak state into concessions.
Officials have tended to end such action by paying off protesters who demand to be added to the public payroll.
At El Sharara, in southern Libya, a mix of state-paid guards, civilians and tribesmen have occupied the field, camping there since Saturday, protesters and oil workers said. The protesters work in shifts, with some going home at night.
NOC has evacuated some staff by plane, engineers at the oilfield said. A number of sub-stations away from the main field have been vacated and equipment removed.
The occupiers are divided, with members of the Petroleum Facilities Guard (PFG) indicating they would end the blockade in return for a quick cash payment, oil workers say. The PFG has demanded more men be added to the public payroll.
The tribesmen have asked for long-term development funds, which might take time.
Libya is run by two competing, weak governments. Armed groups, tribesmen and normal Libyans tend to vent their anger about high inflation and a lack of infrastructure on the NOC, which they see as a cash cow booking billions of dollars in oil and gas revenues annually.