Ezion Sees Net Profit Surge, Expects Higher Revenue from LNG Projects

Singapore-listed oil and gas services provider Ezion Holdings said Wednesday that its net profit for the second quarter ended June 30, 2012, increased 130.4 percent from a year ago to $28.13 million. 

The company's revenue for the same period rose 41.2 percent to $37.16 million. Ezion said that the improvement was due to the deployment of two additional units of the group's multi-purpose self-propelled jack-up rig and third party vessels in support of the Gorgon gas field in Australia.
In its earnings statement, Ezion said that it expects to enjoy "higher revenue from Australia with the commencement of the Queensland Curtis LNG (QCLNG) project in the second half of the year."
"Leveraging on its track record, experience and existing business infrastructure, the Group will continue to pursue business opportunities to support LNG related projects in Australia and its vicinities," Ezion added in its statement.
"Ezion's second quarter earnings are within our expectations. We are expecting the company to report even better earnings results in the second half of this year," Maybank Kim Eng's Yeak Chee Keong told Rigzone on Wednesday.
The QCLNG project involves expanding BG Group's coal stream gas production in the Bowen and Surat Basins. The project will see a 336-mile (540-kilometer) pipeline built and a LNG plant on Curtis Island, near Gladstone. The plant will have an initial capacity of 8.5 million metric tonnes per annum (mtpa) with the potential to increase production to 12 million-mtpa. The first LNG cargo is expected in late 2013. 
Ezion is also involved in the high-profile Australia Pacific LNG (APLNG) project. The company had earlier on August 2, 2012, announced that it has been awarded a $17 million contract to provide full logistics and support services for the haulage of equipment and modules for the development of LNG facilities on Curtis Island, Queensland. Ezion did not disclose which company had awarded it the service contract, but Rigzone's data shows that Ezion's description of the project corresponds to that of the APLNG project. 


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