Transcorp Power has announced that its Profit Before Tax increased by 92%, from N12bn to N23.1bn in the 2021 financial year.
Mr. Tony Elumelu, the Chairman of the group, disclosed this at the presentation of the 2021 annual report and financial statements in Abuja on Thursday.
He noted that the company is currently contributing 590 Megawatts of electricity to the national grid.
According to him,the company increased its generating capacity from 390 Megawatts to 470 Megawatts in May, 2021, consequently bringing the company’s combined power available generating capacity to 590 megawatts.
He added: “We will continue to engagements with our existing gas suppliers and explored gas supply from other producers to diversify our supply base, thereby ensuring adequate gas supply to our power plants in Ughelli and Afam and achieving optimum utilisation of their capacity despite general gas supply issues at various points of the year. We are equally pursuing our long-term integrated energy strategy to secure our gas requirements through our OPL 281 asset and other related assets.”
He also said that the company’d revenue also improved by 14 per cent from N65.1 billion to N74.3 billion which accounts for around 70 per cent of the total group revenue. Equally, profit before tax increased by 92 per cent from N12 billion to N23.1 billion.
He added: “Gross earnings for the Group increased to N111.2 billion in 2021 from n75.3 billion in 2020. Gross earnings for the company almost doubled to N5.13 billion in 2021 from 2.7 billion in 2020. Profit before tax for the group increased to N28 billion in 2021 from N1.6 billion in 2020. Profit before tax for the company increased to N4.02 billion in 2021 from N2.7 billion in 2020.
He said that Transnational Power has been able to increase the installed capacity of Afam Genco to nearly 2000 Megawatts and has continued to work towards recovering more of the installed capacity.
He said:“This acquisition also came with many advantages including closeness to gas supply, sufficient evaluation capacity and brand new 240 megawatts Afam Three Fast Power turbines. Our plan is to efficiently recover the capacity of Afam Genco, leveraging on our experience with running Transcorp Power Limited.”
He disclosed that Transnational Energy is pushing the development of OPL 281 oil block and fulfilling work obligations under the Production Sharing Contract (PSC) entered into with the Nigerian National Petroleum Company Limited (NNPC).
“The company is focussed on achieving its key objective of discovering hydrocarbons in commercial quantity and the resultant conversion of the oil prospecting license to an Oil Mining Lease (OML),” he stated.
According to him, the planned production of OPL 281 in Quarter Four (Q4) of 2023 remains a priority, saying utilisation rate is expected to improve from 62 per cent to 75 per cent through operational efficiency and process automation.
Elumelu maintained that the Transnational Corporation Plc 2021 financial performance represents a recovery from the effects of the pandemic on its performance in 2020.
