GTT Revenue Grows Thanks to Strong LNG Market

French liquefied natural gas containment system specialist Gaztransport & Technigaz (GTT), on the back of liquefied natural gas (LNG) market growth, reported 12% growth in revenues linked to royalties  for the first half of 2018.

Growth in LNG fuel and new partnerships aided the company achieving a revenue of 127.2 million euros ($148.2 million) during the first half of this year compared to 113.7 million euros recorded in the first half of 2017.

GTT said that it has received 21 orders  during the first six months of the year.

Philippe Berterottière, Chairman and CEO of GTT, said: "The first half of 2018 was characterised by the growth in the LNG market, with a very satisfying number of orders for LNG carriers, which confirms the trends that began last year. In the field of LNG fuel, the success recorded by GTT confirmed the attraction of ship-owners for its membrane technologies."

"After the order for nine giant container carriers from CMA CGM at the end of last year, in January the Group obtained one order for a bunker ship to be operated by TOTAL to supply the LNG to these container carriers," he continued.

Philippe added: "In early July, GTT obtained a major success with the order of LNG tanks intended for the future Ponant icebreaker cruiser. In this particular case, GTT will be responsible for the construction of these tanks, thereby offering its partners a true turnkey solution."

"From a financial perspective, the cost reductions implemented in 2017 place us in a favourable position to manage closely the effects of the increase in activity. These elements lead us to confirm our revenues, EBITDA and dividend objectives for FY 2018 as a whole," he concluded.

During the first half of 2018, GTT's sales activity was marked by a number of successes, in particular in the field of LNG carriers: 18 orders for LNG carrier tank design. These vessels are most often intended for liquefaction projects in construction, in particular in the USA. They will all be equipped with recent GTT technologies (NO 96 GW, Mark III Flex and Mark III Flex+);               To that can be added three orders for LNG carriers recorded from 1st to 26 July 2018 from SHI and HSHI.

GTT also bagged two orders for FSRU tank designs. The pace of these orders is consistent with the Group's forecasts. The new LNG importer countries continue to favour these regasification vessels that are a flexible and economical solution.

At June 30, 2018, the order book of GTT stood at 84 units: 66 LNG carriers, 13 FSRUs, 2 FLNGs, 2 onshore storage tanks and 1 barge. In addition, as part of its LNG fuel activity, GTT received, in the first half of 2018, an order to equip a bunker ship, in addition to the 9 container carriers signed in 2017.