CGAS Predicts Natural Gas Sales Volume To Increase 81.3 Percent In 2024

Illustration of natural gas (photo: dock. Antara)

JAKARTA - PT Citra Nusantara Gemilang Tbk (CGAS) targets revenue to grow 76.4 percent year on year (yoy) to Rp658 billion in 2024. Meanwhile, net profit is projected to grow 200.8 percent (yoy) to Rp36.7 billion.

President Director of CGAS Andika Purwonugroho estimates that sales volume will reach 82,000,711 cubic meters (Sm3) standards by 2024, or an increase of 81.3 percent (yoy) compared to 2023 which was 45,235,193 Sm3.

"This year's increase in CGAS performance also involved several CNG Station projects in Grobogan, Central Java and Manyar, East Java and Majalengka, West Java," Andika said quoting Antara.

This natural gas trading and distribution company will cooperate with PT GT Ladang Teknik and Jianyang Greenfir New Energy Equipment Co Ltd (GreenFir) to build an LNG Station with a capacity of 1.5 million cubic feet per day (MMSCFD) standards, with an investment value of IDR 161.5 billion.

In the first quarter of 2024, Andika said that the company will start the groundbreaking for the construction of the Liquefied Natural Gas Station (LNG) at the Galian Field Tambun Zone 7 Regional 2 in Pakis, Karawang Regency, West Java.

"The investment value for the construction of the LNG Station with a capacity of 1.5 MMSCFD reaches IDR 161.5 billion," said Andika.

After the operation of the LNG Station, he believes that the company's sales value can reach 8.7 million US dollars or equivalent to Rp135 billion per year.

Furthermore, his party is optimistic that the improvement in the company's performance will be able to provide added value for shareholders in the form of dividends. "By 2023, we expect to record profit growth to be IDR 12.2 billion, so we plan to distribute dividends to shareholders of 30 percent of net profit," said Andika.

Andika explained that the estimated net profit achievement of CGAS in 2023 will be supported by revenues estimated at IDR 373 billion, with an estimated sales volume of 45 million Sm3.