PTT lays out strategic plan for energy stability with focus on hydrocarbon businesses

Thai energy giant PTT Plc has devised a new strategic plan focused on hydrocarbon businesses to secure energy stability, maintain growth momentum, and achieve equilibrium in greenhouse gas reduction.

The company recently announced that the new plan relies on carbon capture and storage (CCS) and hydrogen businesses, which are capable of generating long-term growth.

PTT said it regularly reviews and updates business strategy to adapt to the changing competitive landscape of the energy industry. This includes enhancing its competitive capabilities both in areas where PTT has expertise and through partnerships to strengthen its businesses.

The PTT Group has invested in the hydrocarbon business across the entire value chain, both through its own subsidiaries and through affiliated companies. This encompasses exploration and production, natural gas, LNG, refining, petrochemicals and chemicals, oil and retail, and electricity, said the company.

“PTT maintains a policy of holding a controlling stake in flagship companies to ensure alignment with the group's overall goals, as these flagship companies are crucial to PTT's strategy,” the group said.

PTT Group reported a strong first-half performance in 2024 with a net profit of 64.437 billion baht, up 16.475 billion baht or 34.4% year on year. The strong results were primarily driven by the refining and petrochemical industries, which benefited from higher oil stock profits and favourable ratio of product and raw material prices.

The group said the petroleum exploration and production businesses have shown improved performance due to increased average sales volumes, despite a decrease in average selling prices. Additionally, there has been recognition of profits from the sale of investments and assets. However, the group suffered increased losses from foreign exchange and derivatives.

The company’s board has approved an interim dividend of 0.80 baht per share for the first half of 2024. Including income tax, PTT and its subsidiaries have contributed a total of 35.684 billion baht to the government, which will be used for the development of Thai society and the economy.