“The surge in net income reflects the sound financial
fundamentals the organization maintained despite the current economic
environment that has adversely affected credit and capital flows. Not only have we remained
self-sufficient in meeting our financial obligations at the height of the
crisis, but the fact that APICORP exceeded budgeted estimates for H1 2010
points to the viability of its business mode,” said Ahmad Bin Hamad Al-Nuaimi,
chief executive and general manager of (APICORP).
“The excellent results for the first half of this year gives
us a stable foundation for implementing APICORP’s next phase in its business
plan to optimize its funding mix and to diversify its investments in new
sectors within the oil and gas industry,” added Al Nuaimi.
At the end of June 2010, APICORP total income jumped to $52
Million, a 75 percent rise over the same period last year. Assets climbed to $
4.3 billion from $ 4.1 billion on 31 December 2009. Total shareholders’ equity also reached $1.069 billion at
the end of June 2010, from $ 1.002 billion at the end of 2009.
“APICORP is well-positioned to benefit from the turnaround
in energy investments that will accompany economic recovery,” Al Nuaimi
said. “Hydrocarbon and energy
assets are expected to outperform others as the global economy recovers. Large
oil and gas projects expected to be implemented in the Arab world over the
coming years represent exceptional investment opportunities. We expect APICORP
to play a meaningful role in these opportunities.”
Earlier this year, APICORP obtained a strong backing for its
credit profile when it received a first-time issuer rating of A1 from Moody’s
Investors Service for long-term debt and Prime-1 for short-term debt.
APICORP has an authorized capital of $ 1.2 billion and a
fully paid-up and subscribed capital of US$550 million.
APICORP is a multilateral bank created in 1975 and wholly
owned by the Organization of Arab Petroleum Exporting Countries (OAPEC) with a
mandate to assist the development of member states’ hydrocarbon sectors through
project loans, trade finance and direct equity investments. OAPEC governments
of Saudi Arabia (17 percent), the United Arab Emirates (17 percent), Kuwait (17
percent), Libya (15 percent), Iraq (10 percent), Qatar (10 percent), Algeria (5
percent), Bahrain (3 percent), Egypt (3 percent) and Syria (3 percent) are
shareholders in APICORP. It holds total assets of $4.1 billion at the end of 2009.
The Corporation has its headquarters in Al-Khobar/Dammam, in the Eastern
Province of Saudi Arabia and operates a Banking Branch in Manama, Bahrain.
