Drop in sales volumes and revenues again for GasTerra
GRONINGEN, 4 March 2017 - Gas trading company GasTerra has published its results for 2016 today. As was the case in 2015, both gas sales volumes and revenues are down. The sales volume in 2016 was 63.9 billion cubic metres (2015: 70.3); the total turnover was 9.9 billion Euros (2015: 14.7). This drop is mainly due to lower gas tariffs and, to a lesser extent, to the fall in production from the Dutch gas fields, i.e. the Groningen Field and the small fields.
The annual report focuses on energy transition. To combat climate change, we should obtain a fully sustainable energy supply as soon as possible. In the Netherlands, the earthquakes in Groningen, which are a result of gasproduction , also play an essential role in the energy debate. In his foreword to the annual report, Interim CEO Robert van Rede comments: “The earthquakes in Groningen continue to demand close attention. The Groningen residents affected are entitled to this. Safe gas production and the repair of damage caused must therefore remain our top priority. In addition, security of supply for the millions of households reliant on Groningen gas must be guaranteed.”
Although the challenges are enormous, gas offers everything to become and remain part of the solution. This is explained in detail in the annual report. Under the banner of the Royal Dutch Gas Association, the gas sector has developed ‘Gas-by-Design’. This means that we only use gas where more sustainable alternatives are not available yet. An important result of the 'gas by design' approach is that GasTerra will be stepping up its commitment to promote the production of and trade in renewable gas and keeps participating in energy transition projects.
Gas still provides a significant proportion of energy demand, both in Europe and in the Netherlands. It is expected that this will remain the case for quite a while longer. The system must continue to operate during the transition process. GasTerra's objectives and actions are therefore unchanged: add as much economic value as possible to the gas supplied to the company, and, within this framework, continue to meet the needs of its customers. GasTerra has managed to do this again in 2016. The total volumes purchased and sold, 63.9 billion cubic metres of gas, came from the Groningen Field, small fields, virtual trading hubs and gas suppliers from Russia, Norway, Germany and the United Kingdom. GasTerra and NAM have been working closely together to distribute the volumes from the Groningen Field over the year as evenly as possible.