Abu Dhabi’s government-controlled energy holding company TAQA’s net income for H1 2021 soared by 42 percent compared to same time last year, after a significantly higher contribution from the oil and gas segment.

Its net income at AED 2.9 billion ($790 million) was up by AED 2.4 billion from AED 504 million in H1 2020. It was adjusted by AED 1.5 billion for a one-off post tax impairment charge, to make an increase of 42 percent.

The company recorded revenues of AED 22 billion, 11 percent up on the previous year, due to higher commodity prices in the oil and gas segment.

A dividend of AED 618 million or 0.55 fils per share was also announced, the second in the financial year. 

Jasim Husain Thabet, CEO and managing director, said: “TAQA has made strong progress on our commitment to stakeholders for 2021. We have delivered two interim dividend payments, refinanced maturing debt at record-low rates, broken ground on what will be the world’s largest single-site solar project, unveiled a 10-year growth strategy and recently signed two MoUs for the development of green hydrogen.”

The world’s largest single site solar project is the Al Dhafra project, which was announced at the end of 2020, and will produce 2GW of power for 160,000 homes using 4 million solar panels. 

TAQA’s H1 capital expenditure was AED2.0 billion, 3 percent lower than previous year.

“Against the backdrop of favorable market conditions, we continue to adopt a prudent financial policy, which saw us fully repay our corporate credit facilities this quarter and increase available liquidity,” Thabet said.

“We also continue to focus on achieving operational efficiencies within our utilities business and progressing our growth strategy to become a low carbon power and water champion,” he added.   

(Writing by Imogen Lillywhite; editing by Seban Scaria)

Imogen.lillywhite@refinitiv.com

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© ZAWYA 2021