Centrica sets record
LONDON: British Gas owner Centrica has posted a record annual profit of 1.513 billion pounds ($2.65 billion), days after unveiling plans for a stinging 22 per cent increase in customer bills.

But Centrica, which had 17 million registered gas and electricity users on its books at the year-end, said 2006 would be tough as it expected volatile wholesale markets, knocking shares.
The firm that has seen its shares soar in recent months on speculation it could be a takeover target for a range of potential suitors – including Russian energy giant Gazprom – said operating profit rose by 11 per cent from 1.36 billion pounds in 2004.
Analysts had forecast profits of between 1.26 billion and 1.86 billion pounds. The average forecast was almost 1.55 billion pounds.
Centrica said much of last year’s profits came from an improved performance at its gas production and storage divisions and that despite bigger customer bills, its British Gas residential energy business had performed poorly. Operating profits at its North American business rose by 40 pe rcent 185 million pounds.
“British Gas’s residential energy business lost 75 million pounds in the second half ... because we didn't pass through all of the wholesale price impact to customers,” Centrica chief executive Roy Gardner, who leaves this year, said.
“Despite the latest price rise, we’re still shouldering some of the burden of high wholesale prices in 2006.”

Tax benefits boost Nicor fourth quarter earnings
NEW YORK:  Natural gas distributor Nicor has posted higher fourth-quarter earnings on tax benefits and higher results in the gas business.
Net income rose to $62 million, or $1.40 a share, from $47.7 million, or $1.08 a share, a year earlier.
The 2005 quarter included an income tax benefit related to the repatriation of foreign earnings of $17 million, or 38 cents a share.
For 2006, the company forecast earnings per share of $2.30 to $2.50.
The company said its 2006 profit would be down from 2005 due to warm weather early this year and higher operating and maintenance expenses.

Astraeus links Kazakhstan oil centre to London
LONDON: UK independent airline Astraeus has launched the first-ever direct air services between London and Aktau, a major centre for the oil and gas industry in Kazakhstan.
Astraeus has partnered with Air Astana - the national airline of Kazakhstan - and TransGlobal Projects, a leading logistics supplier for the energy industry - to launch the new service. Flights will operate every Tuesday from London Gatwick, with a return flight from Aktau leaving on Wednesday morning.