Higher oil and freight prices lift Denmark's Moller-Maersk

Nov 10, 2010, 9:19 GMT

Copenhagen - Higher oil and freight prices helped lift Moller-Maersk net profits during the first nine months of 2010, the Danish shipping and oil giant said on Wednesday.

The conglomerate posted a net profit of 4.2 billion dollars for the January-September period, compared with a net loss of 700 million dollars for the corresponding business period 2009.

Turnover, measured in dollars, grew by 17 per cent year-on-year to 41.4 billion dollars.

Higher freight rates and a greater volume of transport benefited the group that operates Maersk Line, the world's biggest container shipper.

Average freight rates were 34 per cent higher year-on-year, but the group said it saw a decline in rates at the end of the nine-month period.

The outlook mentioned uncertainty over freight rates, the exchange rate for the US dollar and developments in the global economy.

The group's total fleet counted 562 container vessels, of which 315 were chartered.

AP Moller-Maersk Group operations include sea transport, offshore oil and gas activities and retail and shipyard operations.

The group's oil and gas business saw a 40 per cent higher net income for the period January to September 2010. This was attributed to a 35 per cent higher average oil price compared with the corresponding business period 2009.

Production decreased 17 per cent, mainly over a lower production share in Qatar. The group also has production in the Danish section of the North Sea, Britain, Algeria and Kazakhstan.

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