Writedown produces shocker half-year result for Contact Energy

Contact sold the Ahuroa gas storage facility in 2017 and leased back capacity. (Image: Contact Energy)

Mon, 13 Feb 2023

A $120 million pre-tax writedown caused by reduced storage capacity in the Ahuroa gas storage (AGS) facility in Taranaki pushed Contact Energy to a net $7 million loss for the six months to Dec 31.The result for the electricity generator-retailer, which also sells gas and broadband services, was also depressed by “lower wholesale prices, lower renewable and thermal generation, increased operating costs”.As a result, even after excluding the impact of the “onerous conditions” writedown, Contact’s net profit for the...

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