Origin Energy shares drop after lowering LNG guidance
Make us a preferred source
Make us a preferred source on Google
More news: Shares in Origin Energy are down more than 4% to $10.72 in early trading after cutting its full year production guidance from its Australia Pacific LNG project and reported a slight dip in December quarter output.
The company now expects full-year production of 670 to 690 petajoules, down 2% to 3% from its previous forecast.
Origin Energy trims LNG guidance as quarterly production dips
The news: Australia’s top energy retailer and gas producer Origin Energy has trimmed the full year production guidance from its Australia Pacific LNG project and reported a slight dip in December quarter output.
The numbers: December quarter revenue at its integrated gas business was up 3% from a prior quarter to $2.71 billion, but production and sales volumes were both down 1% each at 172.2 petajoules.
The company has lowered its full-year production forecast by 2% to 3% to a range of 670 to 690 petajoules, attributing this to lower-than-expected benefits from well-optimisation activities at three fields, and lower output from some non-operated assets.
The context: Origin said its LNG trading earnings for the first half of FY25 are up 270% to $285 million, putting it on track for FY guidance of $400 million to $450 million.
In its main energy markets business, electricity sales volumes during the quarter were steady compared to a year ago, with higher customer numbers and warmer weather offset by lower usage from solar uptake and energy efficiency. However, natural gas sales volumes were down 9% for the year at 42.2 petajoules.
The source: ASX announcement
