Spain’s Enagas reports higher profit in Q1

Spanish LNG terminal operator Enagas reported a rise in its profit in the first quarter of this year, while gas demand in Spain decreased by 4 percent compared to the same period last year.

Enagas said its net profit reached 65.3 million euros ($69.9 million) in the first quarter, up 19.5 percent on the previous year and “well on track” to meet its annual target.

The company previously reported an 8.8 percent decrease in its 2023 net profit, Net profit reached 342.5 million euros last year.

“In line with the good net profit performance, the company’s Ebitda reached 178.3 million euros in the first three months of this year, up 2.7 percent year-on-year, the first Ebitda growth since the 2021-2026 regulatory framework came into force,” the company said.

Enagas said the “good performance” of the first quarter results is linked to the high level of implementation of the 2022-2030 strategic plan in its three main lines of action: the investment plan to contribute to the decarbonization and energy security of Spain and Europe, the control of operating and financial costs, and the renewable hydrogen calendar.

Spanish gas demand down

In a quarter marked by international conflicts in the Middle East and Ukraine, the Spanish gas system has operated with 100 percent availability, the company said.

Spanish regasification terminals have received natural gas from 9 different countries during the quarter and have more than 90 percent of LNG storage contracts, it said.

Underground storage facilities ended the winter at 78 percent full and interest is high, with 100 percent of available service capacity contracted, Enagas said.

The positive trend in industrial demand in Spain continued in the first quarter, with an increase of 8.4 percent to 47.6 TWh, driven by the refining, chemical, pharmaceutical and cogeneration sectors.

Conventional demand, which includes industrial demand, grew by 2 percent in the first quarter of 2024.

Total demand fell by 4 percent in the first quarter of 2024 compared with the same period last year, driven by a 24 percent fall in gas demand for electricity generation and a 10.3 percent fall in commercial domestic demand due to high temperatures in the winter months, Enagas said.

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