Energean PLC on Thursday reported strong revenue figures as it said production in Israel was unaffected by the conflicts in Gaza and Lebanon.
Energean is a London-based hydrocarbon exploration and production company, focused on natural gas, with operations in Israel, Egypt, Italy, Greece, Croatia and the UK.
The FTSE 250-listed firm reported a 31% year-on-year increase in gross production figures to 156,000 barrels of oil equivalent per day in the first nine months of the year from 119,000 barrels a year before.
For continuing operations, production grew 40% to 117,000 barrels of oil equivalent per day from 84,000 barrels in the prior year.
Revenue also grew year-on-year, up 35% to $1.36 billion from $1.02 billion, with $1.03 billion tied to continuing operations.
Energean said the planned sale of its Croatia, Italy and Egypt portfolio remains on track for completion by or just after the end of the year. It announced the $945 million disposal to Carlyle International Energy Partners back in June.
Despite the strong figures for the first nine months of the year and Energean noting it had ‘another strong quarter’, the firm revised its production guidance down for 2024.
Shares in Energean were down 5.3% at 1,037.00 pence on Thursday morning in London.
Energean now expects to produce between 150,000 and 155,000 barrels of oil equivalent per day, compared with between 155,000 and 165,000 barrels guided previously. This compares with 2023’s figure of 123,000 barrels of oil equivalent per day.
Production in Israel was unaffected by the conflicts in Gaza and Lebanon, Energean said. Instead, the downward revision is due to lower-than-expected sales in November in Israel, due to weather conditions and market dynamics, with an assumption of flat month-on-month sales in December also contributing. It added that guidance for 2025 will be issued in January.
Energean declared third quarter dividend of 30 cents a share, flat on a year before.
Energean Chief Executive Mathios Rigas said: ‘We are pleased to announce another strong quarter...Our production in Israel remains unaffected by geopolitical events, recording a 39% year-on-year increase, and we welcome the announcement of the ceasefire in Lebanon.
‘Energean is committed to delivering on its strategic priorities: operational excellence, maximising shareholder value, and broader sustainability objectives.’
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