Mercury's Quarterly Operational Update for Three Months Ended 30 June 2024

Mercury (ASX: $MCY) has released its Quarterly Operational Update for the three months ended 30 June 2024. The report highlights an increase in geothermal and wind generation, along with improved yields in the C&I and mass market sectors. The company also provided insights into the market summary, resilient portfolio, and ongoing construction projects.

Executive Commentary on Market Performance and Operational Highlights

Low national inflows and elevated spot electricity prices in Auckland characterized the market during the quarter. Despite challenges, Mercury's portfolio demonstrated resilience, with higher hydro, geothermal, and wind generation. The company also addressed the impact of gas supply constraints on gas purchase costs. Furthermore, construction commenced at the Kaiwera Downs stage 2 wind farm, contributing to Mercury's substantial commitment to new renewables.

Summary of Quarterly Highlights and Future Outlook

Mercury's Quarterly Operational Update showcased increased geothermal and wind generation, despite low national inflows and elevated spot electricity prices. The company's resilient portfolio, including higher hydro generation and ongoing construction projects, reflects its commitment to sustainable energy solutions. Elevated gas purchase costs due to supply constraints were also highlighted. Looking ahead, Mercury's substantial investment in new renewables, such as the Kaiwera Downs stage 2 wind farm, positions the company for continued growth and contribution to the energy sector.