GDF Suez strong in tough economy

PARIS, Aug. 27 (UPI) -- France-based energy company GDF Suez posted a 2.3 percent increase in revenues in the first half of 2009 despite a dismal economic climate, the group said.

GDF Suez said it saw a 2.2 percent growth in earnings before interest, taxes, depreciation and amortization to $11.3 billion. Revenue rose 2.3 percent to $60.1 billion.

The group in its latest report shows profitable growth in a difficult economic climate despite remarkable resiliency in 2008. The report indicates GDF Suez was able to reduce its debt holdings by more than $1.43 billion.

"During first-half 2009, the group demonstrated the effectiveness of its business strategy and the soundness of its financial position, generating strong liquidity in a challenging economic context," said GDF Suez Chairman and Chief Executive Officer Gerard Mestrallet.

In the first six months of 2009, the company said it benefited largely from the high degree of availability of its nuclear power plants.

GDF Suez entered into negotiations with its Russian partners to examine a role in the Nord Stream natural gas pipeline to Germany in July. Alexander Medvedev, the deputy chief at Russian gas monopoly Gazprom, said any talks with GDF Suez would mean German shareholders -- oil and gas producer Wintershall and energy company E.ON -- might have to reduce their stake in the project, however.

The company added that it suffered from a shortfall in tariffs for natural gas sales in France, but adjustments in April offset some of those costs.