NEWS
Chiyoda says LNG contracts boosted income Tokyo, Aug 4 (LNG journal)
- Chiyoda Corp. of Japan, one of the world leading engineering and construction companies in the liquefied natural gas industry, said it posted net profit of $43.5 million for the first-quarter of 2005 to June 30 as LNG projects boosted income.
Chiyoda reported consolidated new contracts up to the quarter with a value of $862m, almost 28 percent higher than the first quarter of the previous fiscal year.
The Yokohama-based company, which provides services in the fields of engineering, procurement and construction (EPC) in the LNG industry among others, said in its earnings statement that one of its most important new major contracts was for the expansion of Qatar Liquefied Gas Company's LNG trains 4 and 5.
"In the global plant market, increasing energy demand drove the price of crude oil to record highs, stimulating a clear shift to gas," Chiyoda said. "The result of this is a large volume of investments by gas-producing nations; in Russia , the Middle East, Asia, Africa and elsewhere."
Chiyoda said that new contracts in its LNG engineering plant business to June 30 2005 amounted to $642m and there was a total booked contracts backlog of $3.8bln.
For the fiscal year ending March 31, 2006, the company forecasts consolidated new contracts of $3.15bln, construction contracts of $2.8bln and net income of $130m. Net income per share is projected at 75.85 yen (68 US cents), the company said.
