Oslo-based Awilco LNG recorded a net zero result for second quarter of this year, down from $6 mill and earnings per share of $0.05 in the previous quarter.
First half 2022 net result ended at $6 mill, or $0.05 per share.
Net freight income was $10.2 mill in 2Q22, down from $14.1 mill in the first quarter of 2022, while the first half 2022 net freight income was $24.3 mill, down from $28.3 mill for the same period last year.
Second quarter EBITDA was $6.8 mill, down from $11 mill in 1Q22. First half of the year EBITDA ended at $17.7 mill, down from $21.7 mill for the same period in 2021.
Vessel utilisation was 88% in the second quarter and 94% for 1H22, with a net TCE of $56,400 and $67,400 per day, respectively.
In June, Awilco signed a three option two-year contract commencing in December, 2022 and in the same month sold its holding of 700,000 shares in Cool Co Lt. at net proceeds of $6.8 mill.
In August the company delivered the ‘WilForce’ into a six-month charter contract.
Jon Skule Storheill, Chief Executive Officer, commented: “Following six quarters with good results, we experienced the challenge of running both our vessels in a more
volatile than expected spot market in the second quarter.
“The improving market at the end of first quarter was expected to continue throughout second quarter until an explosion and shutdown of the Freeport LNG terminal in June turned the market with several vessels being released from their contracts and available in the market during the summer. As a consequence of this, we will have weaker earnings and lower utilisation also in the third quarter.
“Despite the short-term challenges, we are fundamentally positive to the medium-term market and are satisfied with being able to secure a longer-term commitment with good earnings for ‘WilPride’. Earnings will improve from fourth quarter,” he said.
Despite several factors putting the current spot market under pressure - trade flows to Europe and Freeport outage - the market is tightening again towards the winter season. High demand for gas is being seen, both in Europe and Asia with several new projects coming online in the medium term,” he said.
