PGNiG lowers planned EBIDTA in its strategy update

WSE-listed gas group PGNiG plans to generate an average EBITDA of PLN 5.6 billion per year throughout 2017-2022 period. For the 2023-2026 period, EBIDTA should grow to PLN 9.2 billion per annum on average, the company said in its updated strategy. The previous strategy, posted in April last year, assumed to increase the annual EBIDTA to PLN 7.5 billion in 2022, with an investment program valued at PLN 40-50 billion. In the current strategy CAPEX was lowered to PLN 34 billion. Of that amount, 45 percent will be spent on upstream projects, while 42 percent will be earmarked for gas distribution, power and heat generation. The remaining funds will be allocated to “growth projects,” company said. In operating terms, annual hydrocarbons output is expected to increase by 41 percent to 55 million BOE in 2020. Annual output in Poland will increase by 10 percent to 33 million BOE, while output abroad is to more than double to 22 million BOE, mostly from Norway and Pakistan.