Trinidad and Tobago NGL Limited (TTNGL) published its financial statements for Q3, 2023 on Tuesday 14th November 2023.
For the nine months ended 30 September 2023, TTNGL recorded an after-tax profit of TT$32.7 million. Despite the performance showing a TT$132.4 million decrease when compared to the same period in 2022, TTNGL Chairman, Dr. Joseph Ishmael Khan, noted the company’s results illustrated a marked improvement over the first half of the year’s results when the company recorded an after-tax loss of TT$2.8 million at the end of June 2023.
NGC subsidiary and TTNGL underlying asset, Phoenix Park Gas Processors Limited (PPGPL), recorded a profit after tax of US$12.8 million compared to US$63.2 million for 2022. PPPGL’s showed improved performance for the Quarter and there is an expectation of a continuing upward trajectory. There are challenges of uncertainties around gas supply, climate variability and shifting market demand persist but PPGPL remains focused on its core values and the creation of long-term sustainable growth.
PPGPL’s performance was also a result of lower sales volumes and lower recognised Mont Belvieu natural gas liquids (‘NGLs’) prices. NGL prices continued a declining trend in 2023 (36.6% lower than prices recognised in the comparable 2022 period). This was due to increasing US NGL production and falling exports, coupled with weaker NGL demand caused by a warmer than expected US winter. The resulting higher US NGL inventories remains above the 5-year average and exerted downward pressure on prices. It is important to note that 60% of PPGPL’s sales revenue variance for 2023 was a result of lower product prices.