THE unaudited financials for fiscal year 2019 show that Heritage Petroleum earned revenues of $5.4 billion and made a net profit of $725 million.
This was disclosed by Energy Minister Franklin Khan at the People’s National Movement’s “Conversations” event in Palo Seco on Monday night.
Khan stressed that the $725 million was “after tax profit which means that Heritage is the company that is paying off the Petrotrin debt. So that is profit after we have served our $13 billion debt,” he said.
Khan who said he had seen the financial report “only today” (Monday), said there was only a positive future for Heritage.
But, he stressed, there was still a lot of work to be done.
The last accounting Government had given for Heritage, which was for the first nine months of fiscal 2019, was that the company had made revenues of $3.2 billion and a net profit of $543 million.
Khan said Heritage could not do corporate social responsibility because somebody has to pay the bill.
700 jobs by next year
It cannot have corporate social responsibility if it is not making money, he said.
He said Heritage had to start making money and then see how to distribute this wealth, “which is the people’s wealth”, into the community.
He said the new corporate social responsibility programme which was launched two months ago at Santa Flora was now getting ramped up.
He said Government had originally promised that around 800 people would be employed at Heritage and now there were 100 contract workers employed at Heritage and 400 third party contractors working for Heritage.
He said the Government did not want to have a proliferation of contract workers because it wanted jobs with security of tenure.
“As the months go by, probably around June to the latter part of next year, we hope to ramp up Heritage’s direct employment to at least 600 to 700 people,” Khan said.
He said while the Government went for the best employees, it also had a responsibility to seek out people living in the catchment area.
He said the Government, at the level of the Cabinet, was trying to “guide the Heritage recruitment process, while keeping the principle of recruiting the best in class and recruiting people who are capable of performing the function, as far as possible we should try and get people from the area to hold those positions”.
Khan said once Heritage continues to be profitable, it would spread its wings farther into the community and all the facilities that were managed by the international oil companies.
“We cannot promise all of them but a significant number of (the facilities) would be restored to serve the community.”