Russian Novatek's recorded a net profit of 65.2 billion rubles ($873 million) for the first quarter of the year after a loss of 30.7 billion rubles during the same period of 2020, the company announced on Wednesday.
Novatek's total revenues and EBITDA increased to 244.6 billion rubles and 143.8 billion rubles, or by 32.5% and 42.9%, respectively, compared to the corresponding period of 2020.
Novatek said impacts from the spread of the COVID-19 virus and stricter quarantine measures enforced by many countries continued to have a destabilizing effect on global economic activities and resulted in restricted production targets by the OPEC+ participants during the first quarter.
"These restrictions, as well as an increase in hydrocarbons consumption due to the severe cold winter weather in Europe, Asia and North America, has led to a significant increase in benchmark hydrocarbons prices in the first quarter 2021, which correspondingly impacted our hydrocarbons sales prices," it explained.
Novtek is the largest independent natural gas producer in Russia, and in 2017, entered the global LNG market by launching the Yamal LNG project. Founded in 1994, the company is engaged in the exploration, production, processing and marketing of natural gas and liquid hydrocarbons.
By Murat Temizer