Refining NZ slumps to annual loss

JAMES WEIR
Last updated 10:02 22/08/2014

Relevant offers

Industries

Zero Commission offer prompts advice from Spark NZ's net migration gain still at record highs near 72,000 as arrivals continue to climb Inland Revenue opens up remainder of 0800 lines to mobiles Rotorua's $10 million man: How Mark Wilson scaled the world to head finance giant Aviva Air New Zealand nabs top spot as most reputable company in ... Australia Reserve Bank promotes Geoff Bascand, possible future governor, to deputy chief executive Chart of the day: How big is Taranaki's economy? BMD puts brakes on Great Lake's desire to sell MG in NZ SMEs want tighter immigration policies: MYOB Rents and road works play havoc with some Christchurch hospitality businesses

Refining NZ has made a net loss of $6.9 million for the June half year, a reversal from the $5.2m profit it made in the same period last year.

Total income was $92.4m, down 27 per cent from $126.4m previously.

The company will not pay a half-year dividend.

The company said it had had to weather a difficult start to the year with weaker refiners' margins and a high New Zealand dollar.

Company chairman David Jackson said the loss for the half year was to be expected given the harsh conditions, with a marked decline in Singapore refiners' margins.

The gross refiners' margins in the half year was US$1.66 (NZ$1.97) a barrel, down from US$5.27 in the previous half year.

Singapore complex margins fell to a low of only US10 cents a barrel in May and June.

Refining NZ invoked a fee floor for processing for customers, with a total of $36m paid in the first half.

The result had also been influenced by the high New Zealand dollar, averaging US84c in the first six months, which knocked back processing fee revenues.

The company's $365m Te Mahi Hou project was progressing to plan, with $240m spent so far.

Ad Feedback

- Stuff

Special offers

Featured Promotions

Sponsored Content