The 57th Annual General Meeting of the shareholders of Sui Northern Gas Pipelines Limited (SNGPL) was held on 29 July, Friday, in Lahore.
The shareholders approved the Annual Accounts for FY 2020-21 with a profit after tax of Rs. 10.99 billion translating into an EPS of Rs. 17.32. The shareholders also approved the Final Cash Dividend at 50 percent, which is Rs. 5 per share on the recommendations of the Board of Directors of SNGPL in addition to 20 percent, which is Rs. 2 per share interim cash dividend already paid for the period ended on 31 December 2020.
Moreover, the shareholders also re-appointed Yousaf Adil Chartered Accountants as Auditors for FY 2021-22.
Chairperson Roohi Raees Khan informed the shareholders that SNGPL remained focused and robust despite existing market challenges, including economic and financial, and delivered positive and growth-oriented results. This has been achieved mutually with the guidance of the board of directors and the management alike.
She elaborated that the support of the Ministry of Petroleum and other key government stakeholders have contributed to this achievement, and expressed pleasure in announcing that the company declared the dividend for the fourth consecutive year.
The Chairperson briefed the shareholders about the focus of the board since the start of its tenure in July 2020. The top priority remained the reduction of UFG losses from 12.32 percent to 8.6 percent (approximately 15 BCF), this reduction has a manifold effect in terms of loss of precious national resources, adverse environmental effects, and a dent in the profitability of the company.
To maintain this trend, a three years sustainability program has been introduced to maintain this positive trend. She added that the digitization drive combined with cost controls and customer service are being continuously focused upon. She appreciated the management’s role under the leadership of the Managing Director (MD), who is working continuously to provide the best services to the customers.
The Chairperson also shared the new regulations for SOEs formulated by the government, which will bring more transparency and efficiency to the operations of SOEs.
In his message to the shareholders, the MD stated that the global energy crisis has impacted our country and company as well. The challenges faced are complex, including indigenous gas depletion, RLNG spot cargoes, and massive domestic demand.
He also stated that SNGPL is a part of the energy value chain of the country and it is his endeavor with his team to overcome and resolve these issues as they arise.
The MD said that although the natural gas reserves are being depleted, there has been a discovery in the north, and SNGPL is working on putting a pipeline network, and this will add additional gas. SNGPL’s main focus is to build a strong human resource pool of highly capable technical finance/IT resources, the MD said.
He stated that the company has the largest number of engineering resources, which is an asset to be exploited for Pakistan’s benefit. He also briefed about the future strategy for human resource development and business diversification plan apart from engaging in various pipeline construction projects with national and multinational companies. He assured the shareholders that SNGPL will find new avenues of business to enhance its profitability.
The senior management of the company attended the Annual General Meeting (AGM). Managing Director, Ali J. Hamdani; Director, Dr. Sohail Razi Khan; DMD (S), Amer Tufail; Chief Financial Officer, Faisal Iqbal, and the Company Secretary, Imtiaz Mehmood, attended the AGM in person while Directors Sualeh Ahmad Faruqui, Syed Zakria Ali Shah, and Manzoor Ahmed; and Haroon ur Rafique attended the AGM via video link.
The Chairperson of the Board of Directors acknowledged the commendable efforts made by the members of the board, including the MD management and staff, and especially appreciated the guidance and support of the Ministry of Energy (Petroleum Division).
