LNG delivery dip dents MHPA profits

LNG is a main source of revenue for the Port, and as a consequence net profits before tax have dropped around 50%, from £8.1m to £4.2m as reported in the annual results.

Whilst petroleum based shipments remained stable throughout the last year, the Port of Milford Haven handled 45% fewer LNG shipments as international energy markets were influenced by a combination of the 2011 Japanese Tsunami and the advent of Shale gas in the US. In 2012, coal was financially a more attractive source of fuel for power generation in the UK than LNG.

The Port’s chairman David Benson said: “The Port will always be susceptible to energy market fluctuations, which is why we are continuing to diversify and make the most of opportunities for investment in activities more within our control.

“During 2012 we focused primarily on investing in our sites at Pembroke Port and Milford Dock and actively pursued opportunities to be involved in the wind, hydro and biomass sectors of the renewable energy economy.

“The establishment of the Haven Waterway Enterprise Zone by Welsh Government was a very welcome development, particularly for Pembroke Port, which has the potential to become a key delivery centre for marine renewables. Mustang Marine, based at Pembroke Port, has secured orders to build vessels for servicing windfarms, which is leading to a new phase of investment and job creation.”