ADNOC Fuel PLC has reported $1.39 billion in internet revenue for the second quarter, rising 16 % in comparison with the identical three-month interval final yr and setting a quarterly report for the corporate.
Final yr, the gasoline processing and gross sales arm of Abu Dhabi Nationwide Oil Co. logged its highest annual internet earnings – $5 billion – because of pure gasoline demand within the United Arab Emirates.
For the April-June 2025 quarter, income dipped to $5.96 billion from $6.08 billion for Q2 2024 as a weakening of commodity costs offset an total enhance in gross sales volumes, in accordance with figures reported to the native inventory alternate.
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Home gasoline gross sales rose to 611 trillion British thermal items (TBtu) in Q2 2025 from 580 TBtu in Q2 2024. Export and traded liquids slid to 252 TBtu from 266 TBtu. Gross sales from the ALNG JV, through which ADNOC Fuel owns a 70 % stake, elevated to 65 TBtu from 56 TBtu.
ADNOC Fuel expects gross sales volumes excluding sulfur to land between 3,630 TBtu and three,700 TBtu this yr. “As with prior years, gross sales volumes ought to observe a seasonal sample with an uptick over the summer season interval”, it stated. “Moreover, additionally it is essential to notice that in 2025 our shutdown exercise can be increased than regular particularly within the This autumn 2025 interval”.
In the meantime the quarterly common Brent crude worth fell 20 % year-on-year to $68 a barrel from $85 per barrel. “Conversely, JKM costs noticed a major enhance of 31 %, rising from $9.6/mmbtu to $12.5/mmbtu”, ADNOC Fuel advised the Abu Dhabi Securities Alternate.
“LPG costs have been barely up on common regardless of the drop in crude oil worth, with propane growing from $592/tonne to $608/tonne and butane marginally down from $590/tonne to $588/tonne. Naphtha costs averaged at $533/tonne within the interval representing a 14 % drop YoY”.
Home gasoline income grew to $1.98 billion for Q2 2025 from $1.73 billion for Q2 2024. Export and traded liquids income dropped to $3.1 billion from $3.62 billion. Sulfur income greater than doubled to $96 million from $43 million. ALNG JV merchandise income jumped to $766 million from $672 million.
“These outcomes mirror the decrease revenue share underneath the Fuel Provide and Cost Settlement with ADNOC Upstream”, ADNOC Fuel stated. “This 25-year contract, which began on the time of the IPO [initial public offering in March 2023], is well-designed to allow ADNOC Fuel to share in any worth upside whereas additionally offering draw back safety in a much less favorable macro surroundings. This settlement has been instrumental in sustaining the corporate’s robust monetary efficiency amidst a difficult market surroundings”.
Earnings earlier than curiosity, taxes, depreciation and amortization (EBITDA) for Q2 2025 totaled $2.26 billion. Home gasoline contributed $920 million, up 32 % from Q2 2024 pushed by higher business phrases and the next gross sales quantity. Export and traded liquids accounted for $982 million, down 10 %. Sulphur EBITDA climbed to $81 million from $30 million. ADNOC Fuel’ share of ALNG JV EBITDA elevated two % to $270 million.
“By steadfastly executing its progress technique, the corporate has efficiently enabled the export of higher-margin liquids and maintained a pointy concentrate on growing effectivity”, ADNOC Fuel stated.
“Regardless of the difficult market circumstances, characterised by shopper and geopolitical pressures and a decrease oil worth surroundings, the corporate achieved a formidable 97.6 % reliability throughout its property.
“Moreover, it achieved a sturdy EBITDA margin of 37.9 %, underscoring its capability to navigate volatility and preserve robust monetary efficiency”.
For the total yr, ADNOC Fuel expects its home gasoline enterprise “to profit from structural enchancment positively impacting gross sales gasoline pricing”.
“For export and traded liquids and ALNG JV merchandise our steering ranges are primarily based upon a Brent worth band of $60-70/bbl. Whereas these merchandise are sometimes carefully correlated with Brent it is very important keep in mind that, infrequently, particular person product costs might decouple from oil costs in keeping with the prevailing supply-demand evolution of the respective markets. As well as, primarily sulfur is predicted to generate an additional $180-200 million internet revenue.
“Complete investments are anticipated to be round $3,000 million in 2025 representing a considerable enhance towards the prior yr because the MERAM venture reaches peak exercise forward of start-up”.
ADNOC Fuel noticed a internet capital influx of about $500 million following its inclusion within the MSCI Rising Markets Index in June.
“The corporate is now on target to hitch the FTSE Index in September 2025, with market estimates of added inflows of over $200 million, additional elevating its world funding profile and diversifying its investor base, thereby considerably enhancing liquidity and buying and selling volumes”, it stated in a separate assertion on its web site.
ADNOC Fuel ended Q2 2025 with $6.34 billion in present property together with $4.01 billion in money and money equivalents. Present liabilities stood at $2.54 billion.
To contact the creator, electronic mail jov.onsat@rigzone.com
