Alphaliner HMM Eyes Unrealistic Target

first_imgzoom South Korean container carrier Hyundai Merchant Marine (HMM) has unveiled its intentions to secure 5 percent of the global liner market by 2021, more than double its current 2.2 percent capacity share, according to Alphaliner.However, although the company unveiled its ambitious target on December 12, “it failed to back up these growth plans with any coherent strategies.”In order to achieve the set goal, HMM would need to expand vessel capacity from its currently-operated 455,000 TEU, to more than 1.1 million TEU over the next four years, representing a rise of over 140 percent.In order to achieve its targeted market share, HMM would need to add over 650,000 TEU of additional capacity by 2021.“HMM’s plan calls for a focus on the Asia – US route and for the acquisition of further container terminals, even though neither of these efforts has any potential to help the carrier reach its self-set market growth target,” Alphaliner informed.This is especially true in the light of the new strategic cooperation agreement between the 2M and HMM, under the terms of which the Korean carrier would cease vessel operations on the Far East – Europe and Far East – US East Coast routes. Instead, HMM said that it will not “be engaged in overly-active fleet expansion,” which renders its capacity target even more far-fetched.Alphaliner added that the additional capacity required for HMM to reach a 5% market share is equivalent to acquiring the entire operated fleet of Hanjin Shipping prior to the carrier’s collapse in late August.last_img read more

Injured Sailor Evacuated from Boxship off South Africa

first_imgzoom An injured crewmember was evacuated from the 50,790 dwt containership Thuringia on March 29 while the ship was sailing off the coast of South Africa, National Sea Rescue Institute (NSRI) informed.The 42-year-old Chinese sailor was reportedly struck by sheet metal which shifted and fell onto the crewman. He was reported to be trapped and unconscious with breathing difficulties, therefore the duty doctor requested assistance from NSRI and rescue paramedics.At the time of the incident, the containership was some 60 nautical off the coast of Port Elizabeth. It was diverted towards Port Elizabeth’s port and rendezvoused with the sea rescue craft Eikos Rescuer IV some 11 nautical miles from the port.The patient has been transported to a hospital in a serious but stable condition, according to NSRI.The 2003-built boxship continued its journey towards Hong Kong, where it is scheduled to arrive on April 21, AIS data from MarineTraffic shows.last_img read more

WSC Number of Containers Lost at Sea Drops

first_imgzoom The international liner shipping industry has managed to cut the average number of containers lost at sea, a survey by World Shipping Council (WSC) showed.Namely, according to the 2017 survey, which gathered input for 2014, 2015 and 2016, the average number of containers lost at sea excluding catastrophic events was 612 for each year, which is about 16% less than the average of 733 units lost each year for the previous three year period.When catastrophic losses are included, the total containers lost at sea averaged 1,390 with 56% of those lost being attributed to catastrophic events. This is a 48% reduction from the average annual total losses of 2,683 estimated in 2014.This larger number in 2014 is due primarily to two factors, including the complete loss in 2013 of the MOL Comfort in the Indian Ocean and all of the 4,293 containers on board and, in 2011, the grounding and loss of the M/V Rena off New Zealand, which resulted in a loss overboard of roughly 900 containers.Wehn looking at the results of the nine year period, from 2008 to 2016, the WSC estimates that there were on average 568 containers lost at sea each year, not counting catastrophic events, and on average a total of 1,582 containers lost at sea each year including catastrophic events. On average, 64% of containers lost during the last decade were attributed to a catastrophic event.The international liner shipping industry transported around 130 million containers packed with cargo, with an estimated value of more than USD 4 trillion.Even with proper packing of the cargo into the container, correct container weight declaration, and proper stowage and securing aboard ship, a number of factors ranging from severe weather and rough seas to more catastrophic and rare events like ship groundings, structural failures, and collisions can result in containers being lost at sea.At any point in time, there are about 6,000 containerships active on the world’s seas and waterways linking continents and communities through trade. WCS said that the container shipping industry’s goal remains to keep the loss of containers carried on those ships as close to zero as possible.last_img read more

HPT Thailand Welcomes Its Largest Boxship to Date

first_imgzoomImage Courtesy: Hutchison Ports Thailand Port operator Hutchison Ports Thailand has welcomed the 14,053 TEU ONE Columba, a new containership owned by Ocean Network Express (ONE), at its Terminal D at Laem Chabang Port.With a total gross tonnage of 145,647 tons, ONE Columba features a length of 364 meters and a width of 51 meters. The newbuilding was delivered to ONE by Kure Shipyard in Japan earlier this month.As informed, this is the first time a container vessel of this size has berthed in Thailand.On this occasion, Hutchison Ports Thailand deployed new remote-controlled quay cranes to handle 2,269 containers loaded to the vessel.Terminal D is the first terminal in Thailand to handle some of the largest ocean-going container vessels. Once completed, the new Terminal D will have a total quay length of 1,700 meters, with 17 Super Post-Panamax quay cranes and 43 electric rubber-tyred gantry cranes all using remote control technology.The terminal is expected to facilitate the growth of container volumes at Laem Chabang Port, adding a further 3.5 million TEUs of capacity.Video Courtesy: ONElast_img read more

FireStricken Yantian Express Heading for Freeport Bahamas

first_imgzoomIllustration. Image Courtesy: Pixabay under CC0 Creative Commons license The fire-stricken containership Yantian Express will head for the Port of Freeport, Bahamas, Hapag-Lloyd, owner of the vessel said, citing the decision from salvage master from Smit.“Once there, the recovery and assessment efforts of the cargo can proceed in a safer environment. At present, the containership is approximately 1,250 nautical miles from the Bahamas and is expected to arrive in Freeport by next week. The Yantian Express currently sails with its own machine and in tug escort,” the company added.“It is still not possible to make a precise estimate of any damage to the Yantian Express or its cargo. Hapag-Lloyd is working in close cooperation with all relevant authorities.”The fire broke out in one of the containers on the ship’s deck on January 3, while the 7,510 TEU boxship was on its way from Colombo to Halifax, spreading to additional containers. The ship’s crew was evacuated after the fire aboard the vessel increased in intensity.Based on the latest update from the German liner, the fire has been widely contained. Five of the ship’s crew members have returned to the stricken ship.“The remaining salvage operations have made considerable progress,” according to Hapag-Lloyd.last_img read more

CMA CGM Delivers Loss Takes New Step in Transformation

first_imgzoomImage by Navingo French shipping major CMA CGM ended the first quarter of 2019 in loss as it took a new step in the transformation to adapt to the changing market.The company’s net loss for the period reached USD 43 million, compared to a net loss of USD 77 million reported in the same quarter a year earlier.However, first quarter revenue was up by nearly 37% year-on-year, to USD 7.41 billion from USD 5.41 billion reported in the previous year. Coming on top of the group’s 5.5% organic growth, the impact of integrating CEVA amounted to USD 1.7 billion.Volumes transported by CMA CGM rose by 4.4% compared to the first quarter of 2018 as the beginning of 2019 was marked by strong development in intra-regional routes. Revenue per container increased slightly, particularly on the routes serving the United States and Africa.The CMA CGM Group has undertaken a number of strategic moves in recent months, including the acquisition of CEVA Logistics and regional short-sea players such as Mercosul and Containerships and the modernization of its fleet.To adapt to the changing market, the group is now taking a new step in its transformation by consolidating its development and implementing an ambitious cost reduction program.In continuation of the “Agility” plan to improve overall operational performance, which was implemented in July 2016, CMA CGM revealed in March 2019 a strengthened plan with a savings target of USD 1.2 billion.Since its launch, this plan has already achieved savings of USD 245 million, through the rationalization of some of the group’s lines, greater operational efficiency, lower logistics costs, new partnerships with its suppliers, and the implementation of innovative technical solutions on board its ships to reduce their energy consumption and carbon footprint.Further initiatives will reduce the company’s overheads and transport costs while reinforcing the actions already undertaken.This enables the group to raise its savings targets and increase its ambitious performance improvement and cost control program to USD 1.5 billion, mainly by streamlining its organization and its maritime routes.Looking forward, CMA CGM said that it would continue to closely monitor current geopolitical tensions and the evolution of oil prices, and their impact on the world economy.last_img read more

Have A Whale Of A Time During March Break

first_imgFun and adventure await visitors to the Maritime Museum of theAtlantic this March break. The museum and a local heritageeducation company have joined forces to proudly present the Marchbreak event, Whale of a Tale. Back by popular demand, this eventgives visitors the opportunity to step inside The Finner, a life-size inflatable Fin Whale. Young and old visitors will have a whale of a time walking insidethe 18-metre (60-foot) Fin Whale replica. The replica is owned by Heritage Explorers and is only one ofmany fun activities at the museum. Visitors start their whale-themed adventure by picking up a mapthat will guide them on a voyage through the museum. Dress uplike an old whaler, pretend to be a member of the ship’s hardenedcrew and listen to some real-life stories from the diary of 19thcentury maritime whaler Benjamin Doane. Find out whatwas needed to outfit a sailing ship for a whaling voyage thatcould last up to three years. “We feel it is important to offer our audiences a uniqueopportunity to learn more about these amazing marine mammals andwhat we can do to help them. The more we appreciate them, thegreater chance they will be around for future generations,” saidmuseum curator Christine Sykora. “It is also an opportunity forNova Scotians to learn more about our whaling heritage andthe harsh conditions routinely experienced by 19th centurywhalers.” Visitors will also learn about Abraham Gesner, the Nova Scotianwho invented kerosene. “Kerosene diminished the need for whaleoil as a fuel and as a result, many whales were saved because ofGesner’s invention,” said Mrs. Sykora. Like many whalers, visitors will be able to take home a mementoof their whaling adventure by creating their own piece ofscrimshaw on a plaster whale tooth. Scrimshaw is an art formdeveloped by 19th century North American whalers. During long voyages, crews often made intricate designs on sperm whale teethand bones, some of which can be seen at the museum. Whale of a Tale will run from Saturday, March 12 to Sunday, March20 at the museum, located at 1675 Lower Water St., Halifax.Special admission prices will be offered. See the museum’swebsite at http://museum.gov.ns.ca/mma/ for more information.last_img read more

Tender Called for Paving Project Near South Alton

first_imgTRANSPORTATION/PUBLIC WORKS–Tender Called for Paving ProjectNear South Alton A stronger surface on North River Road will make driving smootherand safer for trucks and other vehicles in the South Alton areaof Kings County. A recent provincial tender calls for the construction of pavementon North River Road from the junction of English Mountain Road,near Casey Corner, south west for 8.4 kilometres. “This new pavement will hold up well in this section which isused by many heavy vehicles,” said Ron Russell, Minister ofTransportation and Public Works. “It will make this section saferand more comfortable for all traffic.” The tender will close on Thursday, May 5 and the work isscheduled for completion by the end of September. The Department of Transportation and Public Works highwaysdivision manages more than 23,000 kilometres of roads in NovaScotia. It maintains 4,100 bridges and operates seven provincialferries. Staff provide services from district offices inBridgewater, Bedford, Truro and Sydney.last_img read more

Acadian Affairs Requests Feedback for Frenchlanguage Services

first_imgAcadian and francophone Nova Scotians are being asked to provide comments on draft regulations for the French-language Services Act. “The draft regulations are the product of extensive discussions with Acadian and francophone community leaders and government departments,” said Acadian Affairs Minister Chris d’Entremont. “Now we need to hear from all Acadian and francophone Nova Scotians to make sure that the regulations meet their needs.” The French-language Services Act, proclaimed in 2004, specified regulations be produced by Dec. 31, 2006, that would clarify what French-language services government would provide for the public. For the last two years, the Office of Acadian Affairs has worked with government departments and agencies, as well as with the Acadian and francophone community, to find the best approach to delivering services in French while respecting financial and operational realities of the public service. The draft regulations outline departmental responsibilities to improve service. The document is now posted on the Acadian Affairs website at www.gov.ns.ca/acadian under the French-language Services Act link. The deadline for feedback on the proposed draft regulations is Friday, Nov. 17. People can send their comments by mail to the Office of Acadian Affairs or by e-mail to consultation@gov.ns.ca .last_img read more

Youth in Care Newsletter Ready to Launch

first_imgThe latest edition of an innovative, provocative and uncensored newsletter is ready to hit the streets and tell Nova Scotians what it is like to be “youth in care” of the province. In its seventh year, the Youth in Care Newsletter Project develops social, communication, writing, Web and job skills while supporting success in education. The youth, age 14 to 23, come from various care situations; from living in a group home or foster care, to being on income assistance. Some former youth in care now living on their own are “mentors” to the program. The youth write about their experiences in care, recommendations to improve the child welfare system and a variety of other topics, from Positive and Negative Memories to If I Could Create My Own School. Some get school recognition for their work in the project. The Department of Community Services, Halifax District Office–Child Welfare, is the agency sponsor of The Youth in Care Newsletter Project. Community Services Minister Judy Streatch said she is encouraged by the positive influence of the project. “I congratulate the youth for their courage and creativity,” she said. “This newsletter is a productive and enlightening outlet for their experiences. Through their participation, they are role models for all of us.” This year’s Youth in Care Newsletter Project has almost double the participants at weekly sessions, from 10 youth last year, to 19 for this edition. Two thousand copies of The Voice will be distributed to social workers, other youth workers, child welfare administrators, educators, politicians, youth groups, community groups and media. It will also be available online after the launch at www.youthnewsletter.net .last_img read more

Farms Welcome Visitors on Sept 23

first_imgNova Scotians are invited to enjoy a day on the farm during the annual Open Farm Day on Sunday, Sept. 23. “Agriculture has an important role in providing us with the foods and products we use every day, yet many of us don’t have the opportunity to visit a farm to see how it all works,” said Brooke Taylor, Minister of Agriculture. Nova Scotia farms generate more than $450 million in revenue each year. This year, the department introduced a Select Nova Scotia campaign to encourage consumers to choose locally produced products when available. In keeping with that program, this year’s Open Farm Day theme is Buy Local … Eat Fresh! “Farmers feed us all, and this is a great opportunity to enjoy local produce and thank a farmer,” said Mr. Taylor. “I was privileged to have grown up on a farm and I encourage all Nova Scotians to take part in Open Farm Day to experience what that life is like,” said Gerry Ritz, Minister of Agriculture and Agri-Food Canada and the Canadian Wheat Board. “Our farmers take pride in providing safe, high quality food for consumers every day.” The province’s largest farm sectors are dairy, horticulture, poultry and eggs, and livestock. Last year, more than 9,500 visitors took advantage of the Open Farm Day opportunity. This year, 40 farms will participate in the event that is supported by the Department of Agriculture, Nova Scotia Agricultural Awareness Committee, Agriculture and Agri-Food Canada, and Sobeys Inc. A map and list of participating farms are available at Sobeys, Price Chopper and Foodland stores. Information is also available on the department’s website at www.gov.ns.ca/agri .last_img read more

Province Announces Recipients of Green Transportation Grants

first_imgTwelve communities in Nova Scotia are on the road toward a cleaner, more sustainable future, thanks to funding by the province. “We are extremely pleased with the tremendous community response to this year’s program,” said Barry Barnet, Minister responsible for Conserve Nova Scotia. “I applaud these communities for theirleadership and commitment to a cleaner, more sustainable NovaScotia.” Through Conserve Nova Scotia’s Green Mobility Grants program, towns, municipalities and community groups submitted 29 applications for grants of up to $25,000 for community-based projects that encourage transportation efficiency. Projects approved for 2009 include: bus shelters, bicycle infrastructure, accessible buses, community vans and a multi-use trail upgrade. The projects are scheduled to be completed this fall. Ecology Action Centre administers the program with funding fromConserve Nova Scotia. “Rural communities are in the best position to develop efficient transportation solutions,” said Jen Scott, Green Mobility Grants Co-ordinator at the Ecology Action Centre. “The applicants had plenty of practical, creative ideas for reducing single car trips and greenhouse-gas emissions.” Under the Environmental Goals and Sustainable Prosperity Act, Nova Scotia has established a target to have one of the cleanest and most sustainable environments in the world by 2020.last_img read more

Food Safety Tips for the Holidays

first_img preparing and serving holiday buffets travelling with food; how to prepare and store special holiday foods such as egg nog and apple cider ordering and serving take-out foods such as meat trays saving and re-serving leftovers, and how to buy, thaw and cook a turkey and store leftovers. With the holiday season upon us, Nova Scotians are urged to remember the importance of safe food preparation and handling. The Department of Agriculture’s food safety division reminds people that four basic rules apply to help prevent foodborne illness over the holidays: clean, separate, cook and chill. “As Nova Scotians enjoy the holidays with family and friends, we encourage them to be aware of the safety issues around storing, handling and preparing food for these events,” said Mike Horwich, director, food protection. “The best advice for everyone is to keep hot foods hot and cold foods cold, and if in doubt, throw it out.” Good food-safety practices are important when preparing, transporting and re-heating food for parties and potlucks. The Department of Agriculture has several fact sheets on food safety available online at www.gov.ns.ca/agri/foodsafety/factsht . They include tips on:last_img read more

Community Organizations Receive 180000 in Lighthouses Grants

first_imgFifteen organizations involved in community recreational activities will each receive $12,000 from the province’s Lighthouses Program, Justice Minister Ross Landry announced today, Feb. 12. The new Lighthouses Program helps community groups provide recreational, educational, cultural and life skills programs for Nova Scotia youth. “It’s important to prevent crime before it happens and these grants will help youth get involved in after school recreational programs,” said Mr. Landry. “These grants are going to organizations with a track record in their communities of providing a safe environment and helping build self esteem.” The grant applications were reviewed by a crime prevention advisory committee. An additional $180,000 will be awarded again next year. “Experience shows that once youth are meaningfully engaged, the chances of being involved in criminal activities are minimized,” said John Gaye, spokesman for the African Diaspora Association of the Maritimes, one of the organizations receiving a grant. “The Lighthouses grant will enable us to provide educational and recreational activities for youth, as a deterrent to criminal activities.”last_img read more

Prizes Inspire 4H Clubs to Participate in National Water Week

first_imgNova Scotia youth can learn and win by participating in water projects designed to better protect, understand, and encourage community involvement with water resources. Nova Scotia 4-H clubs will be eligible for cash prizes when they participate in the 2011 4-H water challenge to celebrate Canada’s inaugural Water Week from March 14 to 22. World Water Day is celebrated on March 22. “Nova Scotians value their water and they want to see it protected and well managed,” said Minister of Environment, Sterling Belliveau. “Canada Water Week is an opportunity for us to celebrate water as a resource and to consider water conservation. The 4-H Water Challenge is a great way to engage youth and the community to care about our water.” The Department of Environment, in partnership with the Department of Agriculture, is offering up to $500 in each of Nova Scotia’s six 4-H regions to clubs who participate in community water projects such as a stream clean up, visiting a water treatment facility, conducting water testing, or carrying out water conservation practices. “Through this project 4-H members and leaders will learn more about the importance of water and the value of protecting this important resource,” said Ruth Grant, senior 4-H program co-ordinator with Department of Agriculture. “Clubs across the province will be developing community projects to celebrate the importance of protecting the water around us.” In August, Canadian premiers approved the Council of the Federation’s water charter and initiated Canada Water Week. Under the council banner — Celebrating and Conserving Water Across Our Country — provinces and territories are holding events and activities to draw attention to the importance of water for Canada’s prosperity. 4-H is a nationwide program dedicated to the development of rural leadership skills of young people. In Nova Scotia, there are about 100 clubs in six regions. The Department of Agriculture works in partnership with the Nova Scotia 4-H council and its volunteer leaders and members. For information on Nova Scotia’s water resource management strategy Water for Life, visit http://waterforlife.gov.ns.ca .last_img read more

New Evidence Reaffirms Maritime Link Lowestcost Option

first_imgThe province today, April 17, submitted new evidence that confirms the Maritime Link is the lowest-cost, long-term alternative to provide clean energy to the province. The new data is in a report with additional findings by independent energy expert John Dalton, of Power Advisory LLC. It contains analysis of more scenarios, including one with more natural gas, as well as the cost of alternatives over a longer timeframe. “We know things will change, and that’s why we expanded our analysis of a range of plausible scenarios,” said Energy Minister Charlie Parker. “We asked Mr. Dalton to look at a variety of conditions and options, and Maritime Link remains the best option for Nova Scotians by a consistently wide margin.” The report considered two additional alternatives: — Accessing energy from Hydro Quebec, via New Brunswick, with 300 megawatts of transmission capacity, instead of 500 megawatts. The Maritime Link would cost $560 million to $973 million less than this option. — Pursuing a mostly natural gas alternative, which would require eliminating the 40 per cent provincial renewable electricity requirement while maintaining federal requirements for greenhouse gas emission reductions. The cost for the Maritime Link would be $1.05 billion to $1.77 billion lower than this alternative. “We looked at the alternatives and tested them extensively,” said Mr. Dalton. “The Maritime Link continues to show broad-based economic benefits over the other options. It is also the best choice for strategic reasons, as Nova Scotia would become part of an integrated transmission path that provides direct access to an abundant hydroelectric supply. “It is the best option to achieve Nova Scotia’s strategic policy goals for electricity supply and to enhance the competitiveness of electricity pricing in the province.” The new report updated costs for the two base case scenarios released in January. It indicates accessing hydroelectricity through the Maritime Link would cost $342 million to $412 million less than a contract with Hydro Quebec, and $1.48 billion to $2.24 billion less than domestic energy generation, using gas and wind, during contract and post-contract periods while the Maritime Link is in use. “When we do this kind of analysis, we expect the numbers to change,” said Mr. Parker. “The important thing is that, with extensive testing, Maritime Link remains the lowest cost alternative to meet Nova Scotia’s requirements.” The Maritime Link is the only option that provides Nova Scotians with: The Utility and Review Board will examine all options and determine whether the Maritime Link is the lowest-cost option and in the best interest of Nova Scotia ratepayers. To read Mr. Dalton’s report, visit http://novascotia.ca . a reliable source of clean energy with predictable prices for 35 years a second connection to the North American grid, increasing the reliability of the electricity system the flexibility to access more options for purchasing competitively priced electricity in the future the ability to balance more local renewable sources such as windlast_img read more

Traffic Advisories Colchester County

first_imgCOLCHESTER COUNTY: Highway 102 (Exit 13A) Crews will begin resurfacing the southbound lanes on highway 102 near exit 13A today, July 6. Traffic will be reduced to one lane in the work zone while the project is underway. Work is expected to be finished Friday, July 22. COLCHESTER COUNTY: Route 236 Crews will begin repaving and shoulder work on Route 236 from the entrance of Old 3 Road to Milltown Road today, July 6. Traffic will be reduced to one lane for 4.8 km while work is underway. The project is expected to be finished Friday, July 22. -30-last_img read more

Restrictions to continue in Srinagar and other places

first_imgSrinagar: Protests in the wake of the killing of Ansar Ghazwatul Hind outfit’s chief commander Zakir Musa, forced authorities in Jammu and Kashmir on Saturday to continue preventive restrictions in the Kashmir Valley. All schools and colleges in the valley were ordered to shut down for the second day in a row by Kashmir Divisional Commissioner Basheer Ahmad Khan. All exams scheduled by different universities in the valley have been postponed. Officials of the Kashmir University, Islamic University of Science and Technology said new dates would be announced later. Also Read – Dussehra with a ‘green’ twist Musa was gunned down during an encounter with the security forces on Thursday in Pulwama district’s Dadsara village of Tral area. Mobile Internet services have since been suspended in the entire valley. Restrictions continue in many areas of the city. Rolls of razor edged concertina wire have been spread across roads, crossings, bylanes in areas under preventive restrictions to prevent any movement of vehicles. The congregational Friday prayers were not allowed at the historic Jamia Masjid in the old Nowhatta area. Also Read – India receives its first Rafale fighter jet from France Senior separatist leader, Mirwaiz Umar Farooq, who delivers the traditional Friday sermon at the Masjid, came down heavily on the authorities for the move during the holy month of Ramadan. Meanwhile, thousands of people offered multiple funeral prayers for Musa — both at his native Noorpora village in Tral and at dozens of other places in the valley. A spontaneous protest shutdown was observed throughout the valley on Friday as reports of Musa’s killing was confirmed. Real name, Zakir Rashid Bhat, Musa was a militant of Hizbul Mujahideen who succeeded Burhan Wani and later headed the Al Qaeda affiliate. He had taken to militancy in 2013. An engineering student in Chandigarh, Musa had abandoned education and joined militancy. His father, Abdul Rashid Bhat, is a senior engineer working for the Jammu and Kashmir government. Clashes were reported in the old city of Srinagar, Sopore town in Baramulla district, Anantnag town and other places between the angry youth and the security forces. Heavy deployments of police and CRPF have been made in Srinagar, Pulwama, Anantnag, Shopian and Kulgam districts in south Kashmir.last_img read more

GAIL profit up 10 to Rs 1122 cr in Q4 30 to

first_imgNew Delhi: State-owned gas utility GAIL India Ltd Monday reported its highest-ever net profit, record dividend payout and largest-ever capital expenditure of Rs 54,000 crore as it builds infrastructure to take clean fuel to unconnected parts of the country to aid transition to a gas-based economy. The country’s biggest transporter and marketer of natural gas reported that net profit rose 10 per cent in the fourth quarter to Rs 1,122 crore and by 30 per cent to record Rs 6,026 crore in the financial year ended March 31, its Chairman and Managing Director B C Tripathi told reporters here. Also Read – SC declines Oil Min request to stay sharing of documentsGAIL Board recommended a final dividend of Rs 1.77 per share to take total dividend payout to highest ever of Rs 8.02 per share in the fiscal, he said. “The year saw highest-ever capex (capital expenditure) spending in a single year of Rs 8,344 crore and we are investing another Rs 54,000 crore over the next 2-3 years in laying of gas pipeline network that will feed households and industries such as fertiliser plants,” he said. GAIL’s investment is critical to realising the government objective of raising the share of natural gas in the energy basket to 15 per cent by 2030 from the current 6.2 per cent and create a gas-based economy. Also Read – World suffering ‘synchronized slowdown’, says new IMF chiefNatural gas being a cleaner fuel will help cut carbon emissions and bring down vehicular pollution. GAIL, which owns and operates 14,000-km of pipeline network in the country, is laying 6,000 km of new lines at a cost of Rs 32,000 crore to take gas to unconnected areas in the east and the south. Besides, it is investing another Rs 12,000 crore in city gas distribution networks to retail CNG to automobiles and piped natural gas to households in towns such as Varanasi and Patna. Another Rs 10,000 crore will go into the expansion of petrochemical manufacturing capacity, he said adding the company is also helping revive shut fertiliser plants that will build self-sufficiency in producing crop nutrients. Currently, most of the gas pipelines in the country are concentrated in the western and northern part of the country. GAIL is now laying a pipeline upto Haldia in West Bengal and parts of Odisha and will extend it to the northeastern region. Also, it is laying pipelines in Kerala, Karnataka and Tamil Nadu. Tripathi said net profit in fourth-quarter rose 10 per cent as margins on natural gas sales and transmission more than made up for the loss in the petrochemical business. Net profit in January-March at Rs 1,122.23 crore, or Rs 4.98 per share, was 9.92 per cent higher than Rs 1,020.92 crore, or Rs 4.53 a share, net profit in the same period of the previous fiscal year. Revenue rose to Rs 18,763.87 crore in the fourth quarter of the 2018-19 fiscal year when compared with Rs 15,430.69 crore net profit in the year-ago period. GAIL had a segment loss of Rs 20 crore in its petrochemical business. Also, pre-tax profit on LPG and liquid hydrocarbons business halved to Rs 416.15 crore. This, however, was made good by higher margins on gas transmission and natural gas sales businesses. Pre-tax profit on gas transmission business rose 8.3 per cent to Rs 777.92 crore while that on natural gas marketing tripled to Rs 587.53 crore. Tripathi said took a one-time impairment loss of Rs 326.33 crore on its US shale gas ventures and Dabhol power plant to reflect the true value of such investment. The company transported 107 million standard cubic metres per day of gas in the period under review as compared to 105 mmscmd in the same period of the previous financial year. Sale rose to 97 mmscmd from 85 mmscmd. Its turnover in FY19 increased 39 per cent at Rs 74,808 crore. In fiscal year ending March 31, 2019, GAIL registered 14 per cent growth in natural gas marketing and 2 per cent growth in natural gas transmission volumes. Sale of petrochemicals rose 9 per cent. “The increase in profit was mainly due to the robust performance of natural gas marketing segment duly supported by increase in profit from natural gas transmission, liquid hydrocarbons and petrochemicals segments,” he said. GAIL Board approved a 1:1 bonus share – one free share for every one equity shares held. It also recommended a final dividend of Rs 1.77 per share on paid-up equity (pre-bonus issue) making the total dividend for the year to Rs 8.02 per share.last_img read more