Sovcomflot, the Russian shipping line with 31 gas carriers in operation or on order and an overall fleet of 145 vessels, posted a more than 18 percent jump in annual net profits as revenues also increased.
Sovcomflot (SCF) reported a net profits rise to $266.9 million in 2020 compared with $225.4M in the previous year.
Time charter equivalent (TCE) revenues for the year rose by 6.7 percent to $1.35 billion from $1.26Bln in 2019.
SCF is involved in servicing large oil and gas projects in Russia and around the world, including the Sakhalin and Yamal LNG export plants in Russia and Tangguh LNG in Indonesia. The group said it continued to expand its long-term industrial business portfolio, with a special focus on operations in harsh environments ice conditions. More than 80 of the group's ships are ice-class.
“SCF’s business portfolio, comprising of gas transportation, LNG as well as liquefied petroleum gas (LPG) vessels, and harsh environment offshore services (shuttle tankers and ice-breaking supply vessels) accounted for a half of the TCE revenue in 2020 and continues to provide a long-term fixed income revenue stream,” explained the company.
Annual net revenues from vessel trading jumped by 8.2 percent to $983.7M from $909.2M in the previous year.
During 2020, SCF has either directly or through its Smart LNG joint venture with Russian natural gas and LNG plant operator and developer Novatek, time-chartered 17 ice-breaking carriers to the Arctic LNG II project.
In February and September 2020, SCF took delivery of two next-generation 174,000-cbm Atlanticmax LNG carriers, “SCF La Perouse” and “SCF Barents”, both chartered to energy majors, Total and Shell, under long-term contracts.