Australian Pipeline Major APA Group's Profit Falls

Australia’s largest gas infrastructure business, APA Group, on Wednesday announced decline in first half profit.

The company reported net profit fell 78.7 per cent to A$99.5 million ($71.5 million) for the six months that ended on December 31, 2015. However, APA said the previous corresponding period included a once‐off A$356.0 million after tax profit on the sale of shares in Envestra Limited that is not repeated in this reporting period.

Revenue, excluding pass-through, rose 55.5 per cent to A$812.5m for the first half.

During the period, APA commenced provision of bi‐directional services on both the Moomba Sydney Pipeline and the Roma Brisbane Pipeline. These services complete the major bi‐directional pipeline projects connecting the Gippsland, Otway, Cooper and Surat gas basins.  The interconnected, bi‐directional grid, together with its numerous receipt and delivery points, provides the hardware for APA’s customers to move their gas where and as they need it, the company stated.

The company spent A$173.5 million in capital expenditure, of which A$147.2 million was on growth projects, including the completion and commissioning of the Eastern Goldfields Pipeline.