Marsden Point fuel import operator Channel Infrastructure has recorded a full-year net profit after tax of $26m, down 6% year-on-year.
The NZX-listed firm saw revenue up 7% to $139.8m for the 12 months to December 31.
Throughput for the period was up 3% to 3.5 billion litres, reflecting continued growth in jet fuel demand and “relatively stable” diesel and petrol demand.
Chief executive Rob Buchanan says the year saw a number of capital projects, with $55 million invested into infrastructure across the period.
It also signed three significant contracts with current and new customers in 2024 with revenues of around $120 million (before PPI indexation) incremental over 15 years.
“There are many opportunities for Channel to support New Zealand’s energy transition, and the Energy Precinct concept outlines the exciting potential for these to fit together on our highly strategic site.
“These include opportunities for additional fuels storage, lower-carbon future fuels manufacture, as well as a range of energy security projects such as electricity firming and storage opportunities that are good for New Zealand,” Buchanan says.
In October, Channel announced that US-based Seadra Energy, and consortium partners Qantas, Renova Inc, Kent Plc, and ANZ, were actively considering development of a biorefinery at Marsden Point.
It says the consortium is making good progress towards a final investment decision.
Should it go ahead, the project is expected to create shareholder value through the sale of decommissioned assets and revenue from long-term contracts for the use of land and other infrastructure.
Work also continues on the e-Sustainable Aviation Fuel (e-SAF) project, with Fortescue progressing its study to the pre-feasibility phase, including more detailed engineering and design studies and developing further detail on the economic viability of the project.
Chair James Miller also welcomed the Government’s proposal to consider the Marden Point Energy Precinct as a potential “special economic zone”. Announced by Resources, Regional Development and Associate Energy Minister Shane Jones, the initiative could include business-friendly regulations, infrastructure and facilities, investment support and customs and trade facilitation.
“All of the potential options noted by the minister as forming part of a potential special economic zone would help us to deliver our vision for Marsden Point as an energy precinct, grow our operations, and create new jobs in Northland,” Miller says.
Looking forward to FY25, EBITDA from continuing operations is expected to be in the range of $89-94m. This compares to $95.1m for FY24 or $89.1m excluding the legacy Wiri lease revenue which ends in February 2025.
