Electricity and gas retailer Origin Energy has posted a 53 per cent rise in third-quarter gas production revenue from its stake in Australia Pacific LNG, driven by higher oil prices.
Origin’s share of revenue came in at $763.9 million for the three months ended March 31, up from $499.9 million in the same period a year earlier.
Production for the quarter rose one per cent from a year ago to 63.3 petajoules.
APLNG, the largest producer of natural gas in eastern Australia, is a joint venture between Origin, ConocoPhillips , and China’s Sinopec.
The total cash distribution from APLNG for financial year 2019 is expected to be about $850 million, Origin said in a statement.
Liquefied natural gas from the APLNG project was sold at an average realised price of $10.84 per metric million British thermal unit in the March quarter, up from $8.10 last year.
Origin, which controls nearly a third of Australia’s energy retailing market, said in February it expects to take a charge on annual pre-tax earnings from fiscal 2020 due to a draft proposal by the government to lower the cost of energy for consumers.
The company’s shares have climbed 15.2 per cent so far this year, compared with a 31 per cent slump in 2018.