30 April 2020

Quarterly Report March 2020

Origin Energy March 2020 Quarterly Report  

Quarterly Report (PDF 472 kB)

Integrated Gas

  • Australia Pacific LNG production stable following record production last quarter.
  • Revenue down 12 per cent from December quarter driven by sales mix, with lower contracted LNG sales partially offset by higher spot LNG and domestic sales.
  • The first price review under Australia Pacific LNG’s long-term contract with Sinopec has been completed, with no change to the contract price.
  • Origin increased Beetaloo Basin interest to 77.5 per cent and agreed changes to the joint operating agreement, providing greater control over future activity.

Energy Markets

  • Electricity volume down 7 per cent on March 2019 quarter: Retail volumes down 11 per cent due to milder weather as well as lower usage from solar uptake and efficiency, and lower customer numbers; Business volumes down 3 per cent due to expiration of contracts.
  • Gas volume down 1 per cent on March 2019 quarter: Retail volumes rose 12 per cent due to cooler weather in Victoria and higher customer numbers and usage; gas used in generation fell 10 per cent reflecting lower electricity prices.
  • Demand impacts of COVID-19 to date are in line with assumptions for FY2020 guidance.

Origin CEO Frank Calabria said, “I’m incredibly proud of how our people have responded to COVID-19 and, in particular, I acknowledge those working in the field, at power stations and delivering LPG in roles critical to maintaining energy supply for our customers and communities. Our customer service teams are also working hard to make sure our customers having financial difficulties get the support they need.

“In Energy Markets, we are already seeing an initial impact from the pandemic on electricity demand, which along with milder weather and lower customer numbers and usage, contributed to lower volumes compared to this time last year.

“Australia Pacific LNG continues to deliver stable and reliable production following a record December quarter, and there was a strong increase in gas sales to the domestic market, ensuring local businesses including manufacturers were well supplied.

“Reflecting our positive view of the potential of the resource, we have increased our interest in the Beetaloo Basin to 77.5 per cent and agreed changes to the joint operating agreement, providing greater control over the timing, direction and budgets for future project activity. We announced a temporary pause to exploration activity as a result of COVID-19, and look forward to when we can recommence activity,” Mr Calabria said.

Quarterly results overview

 

Unit

Mar-20

Dec-19

% Mvt

Mar-19

% Mvt

FYTD-20

FYTD-19

% Mvt

Integrated Gas – Share of APLNG

             

Production

PJ

66.8

67.6

(1%)

63.3

6%

200.8

190.6

5%

Commodity Revenue

$m

628.5

716.5

(12%)

763.9

(18%)

2,033.3

2,145.2

(5%)

Energy Markets

                 

Electricity sales

TWh

8.7

8.3

5%

9.3

(7%)

25.7

27.5

(7%)

Natural gas sales

PJ

57.7

57.2

1%

58.5

(1%)

192.0

206.5

(7%)

Corporate

 

 

 

 

 

 

 

 

 

Origin capex &Investments

$m

130

167

(22%)

134

(3%)

396

328

21%

 

 


Contacts
 

 

Media

Anneliis Allen

Ph: +61 2 8345 5119

Mobile: +61 428 967 166

 

Investors

Liam Barry

Ph: +61 2 9375 5991

Mobile: +61 401 710 367