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(Alliance News) - Petrofac Ltd revised its guidance for 2022 downward following a review of its portfolio of contracts, with the multi-billion-dollar Thai Oil Clean Fuel joint venture contract proving costly.
Petrofac is a London-based energy services company in oil, gas, refining, petrochemicals and renewable energy infrastructure.
The company said for 2022 it expects a loss before interest and tax of about USD150 million to USD170 million, widened from USD130 million in 2021, and higher than the USD100 million loss guidance posted in December.
For Engineering & Construction, it expects the EBIT loss to balloon to between USD240 million and USD260 million from USD14 million in 2021, and to be at least 26% higher than USD190 million estimates in December.
Petrofac cited costs of the Thai Oil Clean Fuels for the expected widened loss. Thai Oil Clean Fuels is a "complex" project that is being delivered around 37 miles south of Bangkok in a consortium with Saipem Spa and Samsung Electronics Co. Petrofac values it at around USD4 billion, with Petrofac's share being USD1.4 billion.
Petrofac shares were 16% lower at 61.35 pence each in London on Wednesday morning.
By Tom Budszus, Alliance News reporter
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