Japanese LNG contractor JGC posts profit increase

Wednesday, 14 November 2007

JGC works in partnership with KBR of the US and the alliance is currently working on two LNG projects, Yemen LNG and Tangguh LNG. The projects are scheduled to be completed in the next 12 months. France’s Technip is also working on the Yemen venture.


The Yokohama-based company said six-month net sales for its various businesses rose to 314Bln ($2.8bln), an increase of more than 14 percent.


In its LNG business, JGC said outstanding overseas LNG contracts were now worth 90Bln yen ($809M) compared with 136Bln yen at the start of the fiscal year.


Overseas LNG sales reported in the first half were worth 48.5Bln yen, JGC said.


The Japanese company, which has also executed contracts on the Damietta LNG project in Egypt, as well as ventures in Qatar, Australia and Brunei, is attempting in common with other LNG contractors to boost its skilled workforce.


JGC says it hopes to have an E&C workforce of 8,500 by 2010 from just around 7,000 now.


“We have upwardly revised the per-share dividend forecast from 19.50 yen to 20.50 yen in keeping with change in the non-consolidated net income forecast for fiscal 2007 from 200 million yen to 210 million yen,” JGC said in its earnings statement.