(Adds Ecuador provision)
By Ahmad Ghaddar
LONDON, April 5 (Reuters) - Gunvor Group posted a record
net profit of $2.36 billion in 2022 with a strong performance
across all trading desks, the energy trader said in a statement
on Wednesday.
Gunvor's rivals also had a bumper year amid high price
volatility and as Russia's war in Ukraine reshaped global
commodity flows, with Vitol and Mercuria previously posting
record net profits of $15 billion and $2.98 billion,
respectively.
Gunvor's trading volumes fell to 165 million tonnes from 240
million tonnes in 2021, due primarily to reduced natural gas
trading, but it forecast a rebound in the coming year.
"The performance was broad-based across all geographies and
all desks, including refining and shipping," Gunvor said in a
statement.
Gross profit hit $4.88 billion, but the net result included
legal provisions and an impairment related to a minority,
non-controlling investment in the Ust-Luga Oil Products Terminal
in Russia.
A former Gunvor employee pleaded guilty in 2021 to what U.S.
federal prosecutors called a scheme to bribe Ecuadorean
government officials to win business from state-controlled oil
company Petroecuador.
The U.S. Department of Justice and Commodity Futures Trading
Commission have continued investigating the firm and Gunvor
expects to pay a fine.
In a filing on Wednesday, Gunvor said it booked a $200
million provision for the Ecuador case.
Equity spiked to a record $5.286 billion in 2022 from $3.079
billion a year earlier on reports Gunvor was in talks with
strategic investors, including the UAE's Abu Dhabi National Oil
Co (Adnoc), to sell a stake.
Industry sources familiar with the matter said Adnoc has
been looking to buy Gunvor, or at least a stake, since last
year. Gunvor CEO Torbjorn Tornqvist has said it is "no secret"
the pair were in contact.
The sector's strong performance has carried over to the new
year, with commodities trader Trafigura beating its previous
record to make around $3.5 billion in profit in its first fiscal
quarter.
(Reporting by Ahmad Ghaddar; Editing by Jan Harvey, Kirsten
Donovan and Richard Chang)
Reuters Messaging:
rm://ahmad.ghaddar.thomsonreuters.com@reuters.net/))
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