REG - Energean PLC - Results for Half Year Ended 30 June 2025
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RNS Number : 8671Y Energean PLC 11 September 2025
Energean plc
("Energean" or the "Company")
Results for the Half Year Ended 30 June 2025
London, 11 September 2025 - Energean plc (LSE: ENOG, TASE: אנאג) is
pleased to announce its half-year results for the six months ended 30 June
2025 ("H1 2025").
Mathios Rigas, Chief Executive Officer of Energean,
commented:
"Our business has remained resilient, despite the external geopolitical and
market pressures, underpinned by disciplined capital management and cost
control, a clear focus on long-term value creation and delivery of operational
excellence; in August alone Group production was 178 kboed, showcasing strong
summer demand for our gas in Israel and strong performance of the Energean
Power FPSO. Despite the temporary suspension of operations in Israel for two
weeks during the peak summer months, as ordered by the Ministry due to
geopolitical factors, net profit increased during the period and we are
therefore pleased to declare our regular quarterly dividend today.
"So far this year, we have: secured over $4 billion in new, long-term gas
contracts that brings the total value of contracted gas to around $20 billion
for the next 20 years; ensured that our Katlan project continues to progress
on time and on budget; received the first tranche of grant funding for our
Prinos carbon storage project; sanctioned the Irena development offshore
Croatia; and made positive progress in merging our Egypt concessions to
optimise value.
"Looking ahead, our strategic priorities are clear. First, in Israel, we are
focused on reliable production and sales to the domestic market which is the
bedrock of our cashflow, followed by finalising export opportunities to
enhance sales where we see strong long-term demand for our gas in the region.
Second, we are working at pace to mature both organic and inorganic options
for the continuation of our growth trajectory. And third, for our other two
key business drivers, quarterly dividends and deleveraging, we are actively
exploring all strategic options within our existing portfolio to maximise
value for our shareholders. We are excited by the opportunities before us and
remain committed to delivering long-term value across all areas of our
business."
Financial results summary
H1 2025 H1 2024 1 Increase/ (Decrease) %
Energean Group Energean Group
Average daily working interest production (kboed) 138 146 (5%)
Sales revenue ($m) 804 867 (7%)
Realised weighted average liquid price ($/boe) 61.6 74.8 (18%)
Realised weighted average gas ($/mcf) 5.2 4.6 12%
Cash cost of production 2 ($m) 272 271 -%
Cash cost of production per barrel ($/boe) 11 10 10%
Cash G&A 3 21 19 11%
Adjusted EBITDAX 4 ($m) 505 568 (11%)
Profit after tax ($m) 110 89 24%
Earnings per share ($ per share) $0.60 $0.48 25%
Cash flow from operating activities ($m) 555 527 5%
Capital expenditure ($m) 297 393 (24%)
Dividend per share ($ per share) $0.60 $0.60 -%
H1 2025 FY 2024
Energean Group Energean Group
Total borrowings ($m) 3,488 3,270
Cash and cash equivalents and restricted cash ($m) 487 321
Net debt ($m) (including restricted cash) 3,000 2,949
Leverage Ratio (Net Debt/ Adjusted EBITDAX 5 ) 2.7x 2.5x
Operational Highlights
· Strong safety performance and emissions reduction achieved:
o Lost Time Injury Frequency of 0.37 (H1 2024: 0.42) and Total Recordable
Injury Rate of 0.37 (H1 2024: 1.27), well below the Group's full year
targets.
o Scope 1 and 2 emissions intensity of 8.3 kgCO2e/boe, a 2% reduction
year-on-year (H1 2024: 8.5 kgCO2e/boe).
· Group production during H1 2025 was 138 kboed (84% gas) (H1 2024:
146 kboed), down year-on-year due to the temporary suspension of production in
Israel in June 2025, following a directive from the Ministry of Energy and
Infrastructure due to regional geopolitical developments.
o Group production has subsequently increased since the resumption of
production in Israel, with Group output averaging 147 kboed for the
eight-months to August 2025 and 178 kboed in August alone.
· Focused on long-term value creation in Israel:
o Core Katlan development project progressing on budget and on schedule for
first gas in H1 2027.
o Over $4 billion of new gas sales agreements signed during the period.
o Energean intends to book capacity in the new onshore Nitzana export
pipeline to boost future sales. In addition, Energean is working in
coordination with potential buyers and the regulator to secure further export
opportunities to maximise sales in the shoulder months 6 .
· Optimising asset value outside of core Israel base:
o In Egypt, concession merger discussions are well advanced to optimise and
extend the economic life of its Abu Qir, NEA and NI concessions.
o In Italy, a work programme amendment was submitted post-period end for the
potential Vega West development.
o In Croatia, Final Investment Decision was taken post-period end on the
Irena gas field, with first gas expected in H1 2027.
o In Greece, post-period end, the first grant instalment of the Recovery and
Resilience Facility ("RRF") was received for its carbon storage project.
Drilling, funded by the RRF scope, is targeted in 2026.
Financial Highlights
· H1 2025 financial performance, relative to H1 2024, impacted by:
(1) the planned shutdown for essential works for the second oil train
development in March in addition to the Ministry ordered suspension of
production for security reasons in June and; (2) lower Brent prices.
o Revenues of $804 million (H1 2024: $867 million), adjusted EBITDAX of $505
million (H1 2024: $568 million)
o Profit after tax of $110 million (H1 2024: $89 million) reflecting zero
impairments in H1 2025 (compared to a $79 million impairment of exploration
and evaluation assets in the prior year). This benefit was partly offset by
lower taxable profits and a $27 million foreign exchange loss (H1 2024: $11
million gain).
· Net debt of $3,000 million, an increase versus 31 December 2024
($2,949 million) primarily due to the temporary suspension of production in
Israel.
· Cash and cash equivalents of $487 million and total liquidity of
$1,175 million, which includes multiple available liquidity lines.
Corporate and Commercial Highlights
· Dividends of $110 million (60 US cents per share) returned to
shareholders in the period.
o Q2 2025 dividend of 30 US cents/share declared today, scheduled to be paid
on 30 September 2025 7 (#_ftn7) .
· Redemption date for the full principal amount of $625 million
2026 Energean Israel Limited ("EISL") notes scheduled for 21 September 2025.
Energean Israel's term loan will be drawn to repay the notes.
· $300 million Revolving Credit Facility maturity extended to
September 2028.
· Sale of Egypt, Italy and Croatia portfolio terminated in March
2025 due to certain regulatory approvals not having been obtained (or waived)
by the buyer as of the longstop date of 20 March 2025 in accordance with the
terms of the binding Sale and Purchase Agreement ("SPA") signed on 19 June
2024.
2025 Guidance & Outlook
Energean expects the following for the year ahead for the Group:
· Production guidance of 145-155 kboed, lowered from 155-165 kboed
as a direct result of the temporary suspension of production in Israel in June
and a deferral of commissioning of the second oil train to late Q4 2025 to
avoid non-essential shut-downs during peak demand periods. Standalone Israel
guidance is now 105-115 kboed. Rest of Portfolio guidance is unchanged at c.
40 kboed.
· Cost of production (including royalties) of $560-600 million,
lowered from $590-640 million. Israel guidance now $320-340 million as a
result of lower royalties due to the revised production outlook. Rest of
Portfolio guidance now $240-260 million, a lowering of the top end of the
range based on actual performance.
· Development and production capital expenditure maintained at
$480-520 million.
· Decommissioning expenditure of $60-80 million, lowered from
$80-100 million due to a deferral of platform removal activities and cost
savings in the UK.
· Year-end 2025 net debt is expected to be $2,900-$3,100 million,
reflecting the revised production outlook in Israel.
· Mature organic and inorganic opportunities to grow the business.
· Review strategic options within the portfolio to maximise
shareholder value.
Conference Call
A webcast will be held today at 08:30 GMT / 10:30 Israel Time.
Webcast:
https://www.lsegissuerservices.com/spark-insights/EnergeanOilGas/events/24f7a74e-50c6-4d17-b9c2-91477eb40d91
(https://www.lsegissuerservices.com/spark-insights/EnergeanOilGas/events/24f7a74e-50c6-4d17-b9c2-91477eb40d91)
Conference call registration: https://registrations.events/direct/LON18376381
(https://registrations.events/direct/LON18376381)
Please note, once you register for the conference call line you will receive
your unique dial-in details and passcode.
The presentation slides will be made available on the website shortly at
www.energean.com
Enquiries
For capital markets:
Kyrah McKenzie, Investor Relations Manager Tel: +44 (0) 7921 210 862
ir@energean.com (mailto:ir@energean.com)
For media:
Eliana Fishler, Group Head of Communications & Public Affairs Tel: +972 (0) 54 434 2040
efishler@energean.com (mailto:efishler@energean.com)
Ben Brewerton, FTI Consulting Tel: +44 (0) 2037 271 065
energean@fticonsulting.com (mailto:energean@fticonsulting.com)
Operational Review
Health, Safety and the Environment
In H1 2025, the Loss Time Injury Frequency ("LTIF") Rate was 0.37 (H1 2024:
0.42) and the Total Recordable Incident Rate ("TRIR") was 0.37 (H1 2024:
1.27), an improvement versus the prior year and well below the Group's full
year targets.
Scope 1 and 2 emissions intensity on an equity share basis was 8.3 kgCO2e/boe,
a reduction of 2% from H1 2024 (8.5 kgCO2e/boe) due to lower year-on-year
emissions in Egypt.
Production and Operational Update
Group average working interest production was 138 kboed (84% gas), down 5%
year-on-year owing largely to the temporary suspension of production in Israel
in June. Output was subsequently restored and Group production has averaged
147 kboed in the eight months to 31 August 2025 and 178 kboed in August alone.
H1 2025 H1 2024 % change 8-months to
Kboed Kboed 31 August 2025
Kboed
Israel 94 104 (10%) 105
(inc. 2.3 bcm of gas) (inc. 2.5 bcm of gas)
Rest of portfolio 44 (inc. 29 in Egypt) 42 (inc. 31 in Egypt) 2% 42
Total production 138 146 (5%) 147
This table may not cast due to rounding.
Israel
Karish and Karish North
FPSO uptime 8 (#_ftn8) (excluding planned shutdowns and Ministry ordered
suspensions) averaged 97% for the 6-months to 30 June 2025. On 13 June 2025,
the Ministry of Energy Infrastructure ordered a temporary suspension of
production and activities of the Energean Power FPSO, following geopolitical
escalation in the region, during which all non-essential personnel were
demobilised from the FPSO, including those working on the second oil train
commissioning project. Production was subsequently restarted on 25 June 2025.
Commissioning of the second oil train, which will result in an increase in
liquids production capacity, was subsequently deferred until late Q4 2025 to
avoid non-essential shut-downs during peak demand periods.
Katlan
Energean's Katlan project remains on budget and on schedule for first gas in
H1 2027. During H1 2025, Energean signed a drilling contract with Saipem SpA
for its 2026 drilling campaign that includes the Athena and Zeus production
wells and options for two additional wells. Also in the period, an
Engineering, Procurement and Construction ("EPC") contract with NOV Process
& Flow Technologies AS was signed for the upgrade of the Floating
Production Storage and Offloading ("FPSO") topsides related to Methanol and
Mono-Ethylene Glycol ("MEG") treatment, injection and storage. All the major
Katlan contracts have now been agreed on budget in line with the $1.2 billion
Final Investment Decision announcement made by Energean in July 2024.
Commercial
Domestic
In line with the Group's target to sign new long-term gas contracts, two new
gas sales agreements were signed during the period to supply two new power
plants to meet Israel's growing gas demand. Combined, these contracts amount
to over $4 billion in future revenues over the next two decades 9 , which
brings the total contracted revenues over a 20-year period to around $20
billion.
In January 2025, a binding term sheet was signed with Dalia Energy Companies
Ltd. for the supply of up to 0.1 bcm/yr from April 2026, rising to up to 0.5
bcm/yr from around January 2030 and then at least 1 bcm/yr from June 2035
onwards, and excludes supply in the summer months 10 between 2026-2034.
In April 2025, a Gas Sale and Purchase Agreement ("GSPA") was signed with
Kesem Energy Ltd for the supply of ~1 bcm/yr from around the middle of the
2030s until the end of the contract period. Prior to this, Energean Israel
will supply limited quantities of gas intermittently.
Exports
Energean intends to book capacity in the new onshore Nitzana export pipeline
to boost future sales. In addition, Energean is working in coordination with
potential buyers and the regulator to secure further export opportunities 11
to maximise sales in the shoulder months. Volumes from the Katlan lease carry
no export restrictions 12 .
Rest of Portfolio
Energean is focused on maximising value at its operations in Egypt, Italy,
Croatia, UK and Greece, which together produced 44 kboed in H1 2025.
In Egypt, Energean is in advanced discussions with the Egyptian authorities to
merge Energean's three production concessions (Abu Qir, NEA and NI) into a
single concession. The resultant single concession is expected to improve the
commercial and fiscal conditions, unlock new development and exploration
opportunities, and extend the economic life of the fields. The Group's net
receivables position (after provision revision for expected credit loss) at 30
June 2025 was $239 million, of which $189 million was classified as overdue.
While the receivables position is flat year-on year, the Group expects greater
receivables collection in the second half of the year, as seen historically
between 2020-2024 and ultimately expects to see a gradual reduction moving
forward. Total Egypt production averaged 29 kboed in H1 2025, demonstrating
successful arrest of typical natural decline in these assets following strong
performance of the Location B well.
In Italy, a work programme amendment was submitted to the Ministry in July for
the potential Vega West development, which contains ~10 mmbbl in the first
phase and an additional 23 mmbbl in the full development scenario 13
(#_ftn13) . Production at Rospo Mare is expected to resume in early Q4 2025 at
rates of 2 kbbl/d following the fire incident in January 2025. Income-lost
production and expenditure incurred to remediate the damage at this field are
covered by Energean Italy's insurance cover, with EUR 15 million received up
to end-August 2025. Total Italy production averaged 12 kboed in H1 2025. In
order to protect against ongoing macroeconomic volatility, in H1 2025,
Energean entered into put and call options for certain future gas production
as well as for foreign currency payments in Italy (see note 7 in the financial
statements).
In Croatia, Energean (70% working interest), alongside its partner INA -
INDUSTRIJA NAFTE d.d. ("INA"), took Final Investment Decision ("FID") in July
2025 for the development of the Irena gas field. The development plan is for a
single platform tie-back to the existing infrastructure at the Izabela field;
Energean's net share of the capital expenditure is expected to be EUR 50
million. First gas is expected in H1 2027, with peak production anticipated at
around 8-10 mmscfd gross (1,400-1,700 boe/d).
In the UK, the Wenlock and Garrow well plug and abandonment ("P&A")
campaigns, which Energean is operator for, were successfully completed on
schedule and below budget in June and July respectively. The Kilmar well
P&A campaign is also on track to be completed ahead of schedule in
September.
In Greece, post-period end, the first instalment of the RRF grant was received
for its Prinos Carbon Storage project. Drilling, funded by the RRF scope, is
targeted in 2026. Production at the Prinos field, which produces small
quantities of oil, was temporarily suspended in May 2025 for economic reasons
due to high operating costs, in particular electricity costs.
2025 Guidance
FY 2025
Production
Israel (kboed) 105 - 115
Rest of portfolio (kboed) ~40
Total production (kboed) 145 - 155
Consolidated net debt ($ million) 2,900 - 3,100
Cash Cost of Production (operating costs plus royalties)
Israel ($ million) 320 - 340
Rest of portfolio ($ million) 240 - 260*
Total Cash Cost of Production ($ million) 560 - 600
Cash G&A ($ million) 35 - 40
Development and production capital expenditure
Israel ($ million) 380 - 400**
Rest of portfolio ($ million) 100 - 200
Total development & production capital expenditure ($ million) 480 - 520
Exploration expenditure ($ million) 0 - 5
Decommissioning expenditure ($ million) 60 - 80
*Rest of portfolio guidance includes $25-30 million of flux costs in Italy.
**Guidance excludes any potential expenditure on the Nitzana export pipeline.
Financial Review
As described in the Basis of preparation note to the condensed consolidated
interim financial statements (note 2), the business previously classified as
discontinued operation was reclassified to continuing operations and the
comparative financial information has been restated as if that business had
never met the criteria to be classified as held for sale.
Revenue, production and commodity prices
Group working interest production averaged 138 kboed in H1 2025, with the
Karish and Karish North fields contributing over 68% of total output.
Production was impacted by the temporary suspension of operations in Israel
for security reasons in June 2025 and a 6% average decline across all three
concessions in Egypt. This was partly offset by a near doubling of gas
production in Italy following the start-up of the Cassiopea field. UK output
remained stable, while Greece saw a 7% decline due to a temporary suspension
of production which commenced in May 2025. The production mix remained broadly
consistent at 84% gas and 16% liquids (H1 2024: 82% gas, 18% liquids).
Overall, gas production fell 4% and oil production dropped 16%.
Group revenue totalled $804 million, down 7% from H1 2024 ($867 million),
mainly due to a combination of lower sales in Israel, which accounted for 60%
of total revenue (H1 2024: 70%), and higher sales in Italy, which contributed
to 25% of total revenue in H1 2025 (H1 2024: 13%).
The weighted average realised gas price was $5.2/mcf, 12% higher than in H1
2024 ($4.6/mcf). Italian gas prices remained strong, with the PSV price
averaging $14.2/mcf (H1 2024: $10.0/mcf). Despite the 4% drop in total Group
gas sales volumes, total gas revenue increased 7% to $541 million (H1 2024:
$504 million) due to higher Italian volumes sold at higher prices compared to
other countries.
Liquids sales totalled $250 million (H1 2024: $361 million), with the weighted
average realised price declining to $61.6/boe (H1 2024: $74.8/boe). The
reduction of oil liquids sales was driven by both lower prices in all
countries of operations and reduced volumes, mainly in Israel due to the
temporary suspension.
Adjusted EBITDAX was $505 million (H1 2024: $568 million), an 11% decrease,
primarily reflecting lower revenue driven by the reduced production volumes
and lower oil prices in H1 2025.
Cash production costs
Total cash production costs for the period were broadly stable at $272 million
(H1 2024: $271 million), with Israel accounting for 55% of the total costs.
Excluding Israel, costs rose to $123 million (H1 2024: $107 million),
reflecting the start up of Cassiopea in August 2024. Group unit costs
increased to $11/boe (H1 2024: $10/boe), primarily due to lower production in
Israel, which was partly offset by lower unit costs in Italy and Egypt. As
outlined in note 5, royalties in Italy and Israel remain a significant
component of production costs. Excluding royalties, production costs were $175
million (H1 2024: $155 million), equating to $7/boe (H1 2024: $6/boe).
Depreciation
Depreciation on production and development assets remained broadly consistent
compared to the prior year at $194 million in H1 2025 (H1 2024: $184 million).
Exploration and evaluation expenditure and new ventures
During the period, the Group expensed $2 million (H1 2024: $79 million) for
exploration and new venture evaluation activities in Italy.
Other income and expenses
Other expenses decreased to $4 million (H1 2024: $5 million), mainly
comprising $3 million in transaction costs related to the anticipated ECL 14
disposal. Other income rose to $33 million (H1 2024: $2 million), mainly due
to the reversal of a $19 million prior-period accrual in Egypt and $10 million
of insurance proceeds in Israel. The Group also recognised an additional $2
million expected credit loss provision in Egypt, reflecting a higher overdue
receivables balance since year-end.
Finance income/costs
Total finance costs in H1 2025 decreased to $128 million (H1 2024: $138
million) due to the higher level of interest capitalised in Israel. Total
financing costs before capitalisation were $144 million (H1 2024: $143
million). The finance costs mainly included $103 million in interest expense
on Senior Secured notes, $10 million on debt facilities, $27 million from the
unwinding of discounts on deferred consideration, long-term payables, and
decommissioning provisions. Net finance costs also reflect foreign exchange
loss of $27 million driven by the depreciation of the US dollar against the
euro, and finance income of $3 million, which includes interest income from
time deposits.
Net loss on derivatives
To manage currency risk related to $ - denominated payments in Italy, the
Group entered into EUR put and call option contracts during H1 2025. The
options were allowed to expire by 30 June 2025, resulting in a realised loss
of $3 million, which is reflected in the period's results.
Taxation
The Group had a tax expense of $64 million in H1 2025 (H1 2024: $86 million),
comprising of a current tax expense of $39 million and a deferred tax expense
of $25 million. This resulted in an effective tax rate of 37% (down from 49%
in H1 2024). The lower overall tax expense compared with last year was mainly
due to reduced taxable profits and changes in deferred tax, which were largely
driven by the adjustments on the Italian decommissioning provision deferred
tax assets.
Taxation charges in H1 2025 also included $13 million (H1 2024: $19 million)
related to non-cash taxes deducted at source in Egypt.
Profit after tax
Profit after tax was $110 million (H1 2024: $89 million), reflecting the
absence of impairments in H1 2025 (compared to a $79 million impairment of
exploration and evaluation assets in the prior year). This benefit was partly
offset by lower taxable profits from a 7% revenue decline and a $27 million
foreign exchange loss (H1 2024: $11 million gain).
Profit before tax of $174 million remained broadly consistent compared to the
prior year (H1 2024: $175 million). The effective tax rate in H1 2025 went
down to 37% compared to 49% in H1 2024 resulting in tax expense of $64 million
(H1 2024: $86 million).
Earnings per share
In H1 2025, earnings per share were $0.60 (H1 2024: $0.48), with diluted
earnings per share being $0.59 (H1 2024: $0.48).
Operating cash flow
In H1 2025, the Group generated net operating cash inflows of $555 million
compared with $527 million in H1 2024. The 5% increase was driven by a
combination of $50 million drawn under the letter of credit for payment of the
Non-Completion Payable, an average 18% decrease in realised liquids prices
across all countries of operation offset by higher gas revenues compared to
the prior year in Italy, supported by increased sales volumes from Cassiopea
and higher European gas price versus the previous year.
Capital Expenditures
Capital expenditures totalled $297 million in the period (H1 2024: $393
million), primarily directed towards development projects. This included $213
million for the Katlan development, $23 million for the Karish and Karish
North fields, and $14 million and $10 million for the Cassiopea and Santo
Stefano Mare fields in Italy, respectively. Exploration and appraisal spend in
H1 2025 was minimal, reflecting mainly a re-estimate of previously recognised
costs for the North East Hap'y prospect in Egypt following final invoicing.
Decommissioning provision
During the period, the decommissioning provision increased by $21 million due
to the updates to decommissioning cost estimates and revision of other
relevant assumptions such as discount and inflation rates. A $4 million
increase in the decommissioning provision (H1 2024: less than $1 million) was
expensed during the period, primarily relating to Italy, due to a modest
increase in the discount rate since year-end across all
decommissioning-related assets. $17 million of the increase in decommissioning
provision were capitalised in H1 2025, including $12 million related to
non-operated Scott and Telford fields. Pre-cessation of production well plug
and abandonment decommissioning activities on Scott are anticipated to
commence in 2028 with cessation of production forecasted by 2030.
In H1 2025, the Group invested $31 million in decommissioning works,
comprising $11 million and $7 million for the Wenlock and Tors projects in the
UK respectively, and $12 million in Italy, primarily for the Candela and Santo
Stefano Mare projects.
Net debt
As at 30 June 2025, net debt was $3,000 million (FY24: $2,949 million),
consisting of total borrowings offset by deferred amortised fees, bank
deposits, and total cash of $488 million, including $87 million of restricted
cash.
Total borrowings include the following:
· $2,625 million in Israeli senior secured notes;
· $450 million in corporate senior secured notes;
· $105 million from the Greek Black Sea Trade and Development Bank
(BSTDB) loan;
· $75 million drawn from Bank Leumi in H1 2025 under the new term
loan agreement; and
· $258 million in other short-term borrowings including under the
corporate RCF.
Energean's floating interest rate exposure is limited to certain arrangements,
namely the Greek BSTDB loan, the $750 millon Bank Leumi term loan, the
corporate RCF and other short-term bilateral agreements. All Senior Secured
Notes, including both at Energean Plc and Energean Israel, carry fixed
interest rates.
Shareholder Distributions
In line with the Group's dividend policy, Energean returned US$0.60 per share
to shareholders in H1 2025, totalling $110 million, representing two-quarters
of dividend payments. In H1 2024, Energean also returned US$0.60 per share.
Non-IFRS measures
The Group uses certain measures of performance that are not specifically
defined under IFRS or other generally accepted accounting principles. These
non-IFRS measures include adjusted EBITDAX, underlying cash cost of production
and G&A, capital expenditure, net debt and leveraging.
Adjusted EBITDAX
Adjusted EBITDAX is a non-IFRS measure used by the Group to measure business
performance. It is calculated as profit or loss for the period, adjusted for
discontinued operations, taxation, depreciation and amortisation, share-based
payment charge, impairment of property, plant and equipment, other income and
expenses, net finance costs and exploration costs. The Group presents adjusted
EBITDAX as it is used in assessing the Group's growth and operational
efficiencies because it illustrates the underlying performance of the Group's
business by excluding items not considered by management to reflect the
underlying operations of the Group.
H1 2025 H1 2024
Energean Group Energean Group
$m $m
Adjusted EBITDAX 505 568
Reconciliation to profit for the period:
Depreciation and amortisation (194) (184)
Share-based payment charge (4) (4)
Exploration and evaluation expense (2) (79)
Change in decommissioning provision (4) -
Expected credit loss (2) (1)
Other (expenses)/income 30 (3)
Finance income 3 5
Finance cost (128) (138)
Net loss on derivatives (3) -
Net foreign exchange loss (27) 11
Taxation income / (expense) (64) (86)
Profit for the period 110 89
Cash Cost of Production
Cash Cost of Production is a non-IFRS measure that is used by the Group as a
useful indicator of the Group's underlying cash costs to produce hydrocarbons.
The Group uses the measure to compare operational performance
period-to-period, to monitor cost and assess operational efficiency. Cash cost
of production is calculated as cost of sales, adjusted for depreciation and
hydrocarbon inventory movements.
H1 2025 H1 2024
Energean Group Energean Group
$m $m
Cost of sales 469 461
Adjusted for:
Depreciation (191) (181)
Change in inventory (6) (9)
Cash Cost of production 272 271
Total production for the period (MMboe) 24,913 26,650
Cash Cost of production per boe ($/boe) 10.9 10.2
Cash General & Administrative Expense (G&A)
Cash G&A excludes certain non-cash accounting items from the Group's
reported G&A. Cash G&A is calculated as follows: administrative and
distribution expenses, excluding depletion and amortisation of assets and
share-based payment charge that are included in G&A.
H1 2025 H1 2024
Energean Group Energean Group
$m $m
Administrative expenses 28 26
Less:
Depreciation (3) (3)
Share-based payment charge included in G&A (4) (4)
Cash G&A 21 19
The Group's total cash G&A expenses for H1 2025 amounted to $21 million.
This reflects a 11% overall increase from the previous period. The rise in
costs is primarily driven by an increase in staff headcount in Israel due to
the Katlan project.
Capital Expenditure
Capital expenditure is a useful indicator of the Group's organic expenditure
on oil and gas assets and exploration and appraisal assets incurred during a
period. Capital expenditure is defined as additions to property, plant and
equipment and intangible exploration and evaluation assets less
decommissioning asset additions, right-of-use asset additions, capitalised
share-based payment charge and capitalised borrowing costs:
H1 2025 H1 2024
Energean Group Energean Group
$m $m
Additions to property, plant and equipment 284 172
Additions to intangible exploration and evaluation assets (2) 193
Less:
Capitalised borrowing costs (15) 5
Leased assets additions and modifications (37) 1
Lease payments related to capital activities (9) (10)
Change in decommissioning provision 17 (25)
Total capital expenditures 297 393
Movement in working capital 88 (51)
Cash capital expenditures per the cash flow statement 385 342
Net Debt
Net debt is defined as the Group's total borrowings less cash and cash
equivalents. Management believes that net debt serves as a valuable indicator
of the Group's indebtedness, financial flexibility, and capital structure
because it reflects the level of borrowings after accounting for any cash and
cash equivalents that could be utilised to reduce borrowings.
Net debt reconciliation H1 2025 FY 2024
Energean Group Energean Group
$m $m
Current borrowings 880 128
Non-current borrowings 2,608 3,142
Total borrowings 3,488 3,270
Less: Cash and cash equivalents (401) (236)
Less: Restricted cash held for loan repayment (87) (85)
Net Debt 15 3,000 2,949
Going Concern
The Directors assessed the Group's ability to continue as a going concern over
a going concern assessment period to 31 December 2026. As a result of this
assessment, the Directors are satisfied that the Group has sufficient
financial resources to continue in operation for the foreseeable future and
for this reason they continue to adopt the going concern basis in preparing
the condensed consolidated interim financial statements. Detail of the Group's
going concern assessment for the period can be found within note 2.2 of the
condensed consolidated interim financial statements.
Principal risks at half-year 2025 and key developments since the 2024 Annual
Report
Effective risk management is fundamental to achieving Energean's strategic
objectives and protecting its personnel, assets, shareholder value and
reputation. Energean's risk management framework and process is described in
detail between pages 71-75 in its 2024 Annual Report and Accounts. The
principal risks and uncertainties facing the business are monitored on an
ongoing basis in line with the UK Corporate Governance Code 2024. The Board
has overall responsibility for determining the nature and extent of the risks
it is willing to take in achieving the strategic objectives of the Group and
ensuring that such risks are managed effectively.
Principal risks and uncertainties
The Board of Directors have reviewed the principal risks facing the Company
and have identified, as noted below, certain changes to the headline principal
risks from those disclosed in the 2024 Annual Report between pages 76 - 84.
Key developments in relation to Energean's risks
Termination of Egypt, Italy and Croatia portfolio sale
As discussed in the financial review and in note 2 of the financial
statements, on 21 March 2025, Energean terminated the proposed sale of its
portfolio in Egypt, Italy and Croatia as per the binding Sale and Purchase
Agreement ("SPA") signed on 19 June 2024. As a result, certain risks
associated with these assets have reemerged, including:
(1) Receivables risk in Egypt, which is now captured within the 'Financial
risk: insufficient liquidity and funding capacity, including macroeconomic
factors'. Energean has a number of solutions in place to manage its collection
policy and continues to engage with the Egyptian government and Ministry of
Petroleum on a regular basis.
(2) Non-operated assets and JVs risk. Energean has joint-venture
operations and non-operated positions at certain licences in Egypt, Italy,
Croatia and the UK. Energean places strong emphasis on maintaining effective
governance and transparent cooperation in all of its joint venture
partnerships. It actively pursues its contractual rights to ensure full
transparency, timely information sharing and participation on key
decision-making processes, as set out in its joint venture framework. Failure
to do so could, among other things, negatively impact asset value.
In addition, as a result of the retention of the Group's Egypt, Italy and
Croatia staff, coupled with targeted initiatives and engagement that have
strengthened the wider workforce, e.g. greater share of local employment in
Israel, the Board has determined that the 'Organisational and HR risk: failure
to attract, retain and develop staff' is no longer a headline principal risk.
Talent management will continue to remain embedded in the Group's risk
governance and strategic planning process, and monthly reports on recruitment
and retention indicators submitted to the Board will enable oversight of
emerging trends and early identification of potential challenges. Should any
of the reported indicators deteriorate, the Board will consider re‑elevating
and re-establishing targeted mitigation measures.
Geopolitical and security risks in Israel
Operations in Israel remain subject to elevated geopolitical and security
risks. On 13 June 2025, production and operations were temporarily suspended
following a directive from the Ministry of Energy and Infrastructure after
geopolitical escalation in the region. A notice was subsequently received on
25 June 2025 instructing the safe restart and resumption of production and
operations. Energean continues to monitor the situation closely and maintains
contingency plans, including security protocols for its workforce and
personnel that prioritises the safety of its staff and contract personnel,
diversified logistic routes and insurance coverage.
The principal risks are now summarised as:
· Strategic risk: Geopolitical and security risks in Israel
· Operational risk: Production uptime reliability and operating
efficiency (including reliability of the production systems, i.e. FPSO, subsea
and wells).
· Operational risk: Delayed delivery of further growth projects,
mainly considering Katlan in Israel
· Strategic risk: Insufficient commercial discoveries and reserves
replacement
· Financial risk: Insufficient liquidity and funding capacity,
including macroeconomic factors
· Health, safety and environment risk
· Legal and compliance risk
· Operational resilience: Significant IT and OT cyber risk,
including a security breach of internal systems or a cyber attack
· Climate change risk: (a) failure to manage the risk of climate
change and to adapt to the energy transition and (b) physical climate change
risk
· Non-operated assets and JVs risk.
Emerging risks
Within the Company's enterprise risk management framework, emerging risks are
considered as part of the identification phase. These are risks that cannot
yet be fully assessed, risks that are known but are not likely to have an
impact for several years, or risks which are unknown but could have
implications for the business moving forward. During the second half of 2025,
management will continue to monitor any relevant trends, enhancing proactive
monitoring and scenario planning while exploring new opportunities.
Statement of Directors' responsibilities
The Directors confirm that, to the best of their knowledge:
· The condensed consolidated interim financial statements have been
prepared in accordance with IAS 34 'Interim Financial Reporting' as adopted in
the United Kingdom.
· The interim management report includes a fair review of the
information required by the Disclosure Transparency Rules (DTR) 4.2.7R, namely
an indication of important events during the six months ended 30 June 2025 and
a description of the principal risks and uncertainties for the remaining six
months of the financial year.
· The interim management report includes a true and fair view of
the information required by the DTR 4.2.8R, including disclosure of related
party transactions and any changes therein during the reporting period.
Mathios Rigas Panos Benos
Chief Executive Officer Chief Financial Officer
10 September 2025 10 September 2025
Forward looking statements
This announcement contains statements that are, or are deemed to be,
forward-looking statements. In some instances, forward-looking statements can
be identified by the use of terms such as "projects", "forecasts", "on track",
"anticipates", "expects", "believes", "intends", "may", "will", or "should"
or, in each case, their negative or other variations or comparable
terminology. Forward-looking statements are subject to a number of known and
unknown risks and uncertainties that may cause actual results and events to
differ materially from those expressed in or implied by such forward-looking
statements, including, but not limited to: general economic and business
conditions; demand for the Company's products and services; competitive
factors in the industries in which the Company operates; exchange rate
fluctuations; legislative, fiscal and regulatory developments; political
risks; terrorism, acts of war and pandemics; changes in law and legal
interpretations; and the impact of technological change. Forward-looking
statements speak only as of the date of such statements and, except as
required by applicable law, the Company undertakes no obligation to update or
revise publicly any forward-looking statements, whether as a result of new
information, future events or otherwise. The information contained in this
announcement is subject to change without notice.
Casting in tables
Numbers outside of the unaudited consolidated interim financial statements,
where applicable, are rounded to the nearest million US$ and therefore totals
may differ in the order of a million US$.
INDEPENDENT REVIEW REPORT TO ENERGEAN PLC
Conclusion
We have been engaged by the Company to review the condensed set of financial
statements in the half-yearly financial report for the six months ended 30
June 2025 which comprises the interim consolidated income statement, the
interim consolidated statement of comprehensive income, the interim
consolidated statement of financial position, interim consolidated statement
of changes in equity, the interim consolidated statement of cash flows and the
related explanatory notes 1 to 30. We have read the other information
contained in the half yearly financial report and considered whether it
contains any apparent misstatements or material inconsistencies with the
information in the condensed set of financial statements.
Based on our review, nothing has come to our attention that causes us to
believe that the condensed set of financial statements in the half-yearly
financial report for the six months ended 30 June 2025 is not prepared, in all
material respects, in accordance with UK-adopted International Accounting
Standard 34 and the Disclosure Guidance and Transparency Rules of the United
Kingdom's Financial Conduct Authority.
Basis for Conclusion
We conducted our review in accordance with International Standard on Review
Engagements 2410 (UK) "Review of Interim Financial Information Performed by
the Independent Auditor of the Entity" (ISRE) issued by the Financial
Reporting Council. A review of interim financial information consists of
making enquiries, primarily of persons responsible for financial and
accounting matters, and applying analytical and other review procedures. A
review is substantially less in scope than an audit conducted in accordance
with International Standards on Auditing (UK) and consequently does not enable
us to obtain assurance that we would become aware of all significant matters
that might be identified in an audit. Accordingly, we do not express an audit
opinion.
As disclosed in note 2, the annual financial statements of the group are
prepared in accordance with UK - adopted international accounting standards.
The condensed set of financial statements included in this half-yearly
financial report has been prepared in accordance with UK-adopted International
Accounting Standard 34, "Interim Financial Reporting".
Conclusions Relating to Going Concern
Based on our review procedures, which are less extensive than those performed
in an audit as described in the Basis for Conclusion section of this report,
nothing has come to our attention to suggest that management have
inappropriately adopted the going concern basis of accounting or that
management have identified material uncertainties relating to going concern
that are not appropriately disclosed.
This conclusion is based on the review procedures performed in accordance with
this ISRE, however future events or conditions may cause the entity to cease
to continue as a going concern.
Responsibilities of the directors
The directors are responsible for preparing the half-yearly financial report
in accordance with the Disclosure Guidance and Transparency Rules of the
United Kingdom's Financial Conduct Authority.
In preparing the half-yearly financial report, the directors are responsible
for assessing the company's ability to continue as a going concern,
disclosing, as applicable, matters related to going concern and using the
going concern basis of accounting unless the directors either intend to
liquidate the company or to cease operations, or have no realistic alternative
but to do so.
Auditor's Responsibilities for the review of the financial information
In reviewing the half-yearly report, we are responsible for expressing to the
Company a conclusion on the condensed set of financial statements in the
half-yearly financial report. Our conclusion, including our Conclusions
Relating to Going Concern, are based on procedures that are less extensive
than audit procedures, as described in the Basis for Conclusion paragraph of
this report.
Use of our report
This report is made solely to the company in accordance with guidance
contained in International Standard on Review Engagements 2410 (UK) "Review of
Interim Financial Information Performed by the Independent Auditor of the
Entity" issued by the Financial Reporting Council. To the fullest extent
permitted by law, we do not accept or assume responsibility to anyone other
than the company, for our work, for this report, or for the conclusions we
have formed.
Ernst & Young LLP
London
10 September 2025
Interim Consolidated Income Statement
Six months ended 30 June 2025 (Unaudited)
30 June 2025 30 June 2024
(Restated *)
$'000 $'000
Note
Revenue 4 803,780 866,591
Cost of sales 5(a) (469,078) (460,888)
Gross profit 334,702 405,703
Administration expenses 5(b) (27,541) (25,871)
Change in decommissioning provision 22 (3,927) 385
Exploration and evaluation expenses 5(c) (1,573) (78,994)
Expected credit loss 5(d) (2,205) (961)
Other expenses 5(e) (3,990) (5,485)
Other income 5(f) 33,593 1,842
Operating profit 329,059 296,619
Finance income 6 3,202 5,120
Finance costs 6 (128,276) (137,892)
Loss on derivatives 7 (2,983) (7)
Net foreign exchange (loss)/gain 6 (26,853) 11,145
Profit before tax 174,149 174,985
Taxation expense 8 (63,665) (86,448)
Profit for the period after taxation 110,484 88,537
Attributable to:
Owners of the parent 110,484 88,537
110,484 88,537
Basic and diluted earnings per share ($ per share)
Basic $0.60 $0.48
Diluted $0.59 $0.48
* Restated for discontinued operations reclassified to continuing operations,
refer to note 26 for further detail.
Interim Consolidated Statement of Comprehensive Income
Six months ended 30 June 2025 (Unaudited)
30 June 2025 30 June 2024 (Restated *)
$'000 $'000
Profit for the period after taxation 110,484 88,537
Other comprehensive income:
Items that may be reclassified subsequently to profit or loss
Cash Flow hedges:
Income/(Loss) arising in the period 37,415 (407)
Income tax relating to items that may be reclassified to profit or loss (8,626) 94
Exchange difference on the translation of foreign operations, net of tax 36,407 (14,701)
Items that will not be reclassified subsequently to profit or loss
Remeasurement of defined benefit plan - 13
Income taxes on items that will not be reclassified to profit and loss - (3)
Other comprehensive profit/(loss) after tax 65,196 (15,004)
Total comprehensive profit for the period 175,680 73,533
Total comprehensive profit attributable to:
Owners of the parent 175,680 73,533
175,680 73,533
*Restated for discontinued operations reclassified to continuing operations,
refer to note 26 for further detail.
Interim Consolidated Statement of Financial Position
As at 30 June 2025 (Unaudited)
30 June 2025 31 December 2024
(Restated*)
Note $'000 $'000
ASSETS
Non-current assets
Property, plant and equipment 10 4,726,518 4,515,359
Intangible assets 11 219,125 216,378
Equity-accounted investments 4 4
Other non-current assets 17 36,150 33,452
Derivative assets 7 21,833 -
Deferred tax asset 12 265,842 254,064
Restricted cash 14 3,332 2,950
5,272,804 5,022,207
Current assets
Inventories 15 90,323 101,848
Trade and other receivables 16 446,295 422,248
Derivative asset 7 15,323 -
Restricted cash 14 83,257 82,427
Cash and cash equivalents 13 400,650 235,270
1,035,848 841,793
Total assets 6,308,652 5,864,000
EQUITY AND LIABILITIES
Equity attributable to owners of the parent
Share capital 18 2,459 2,449
Share premium 18 465,331 465,331
Merger reserve 139,903 139,903
Other reserves 34,585 5,796
Foreign currency translation reserve 12,860 (23,547)
Share-based payment reserve 45,664 41,996
Retained earnings (54,246) (54,463)
Total equity 646,556 577,465
Non-current liabilities
Borrowings 20 2,607,183 3,141,904
Deferred tax liabilities 12 156,116 141,403
Retirement benefit liability 21 1,789 1,551
Provisions 22 813,462 722,016
Other payables 24 66,489 122,384
3,645,039 4,129,258
Current liabilities
Trade and other payables 23 979,689 847,805
Current portion of borrowings 20 880,046 128,000
Current tax liability 7,699 84,847
Derivative liability 7 87 345
Provisions 22 149,536 96,280
2,017,057 1,157,277
Total equity and liabilities 6,308,652 5,864,000
30 June 2025
31 December 2024
(Restated*)
Note
$'000
$'000
ASSETS
Non-current assets
Property, plant and equipment
10
4,726,518
4,515,359
Intangible assets
11
219,125
216,378
Equity-accounted investments
4
4
Other non-current assets
17
36,150
33,452
Derivative assets
7
21,833
-
Deferred tax asset
12
265,842
254,064
Restricted cash
14
3,332
2,950
5,272,804
5,022,207
Current assets
Inventories
15
90,323
101,848
Trade and other receivables
16
446,295
422,248
Derivative asset
7
15,323
-
Restricted cash
14
83,257
82,427
Cash and cash equivalents
13
400,650
235,270
1,035,848
841,793
Total assets
6,308,652
5,864,000
EQUITY AND LIABILITIES
Equity attributable to owners of the parent
Share capital
18
2,459
2,449
Share premium
18
465,331
465,331
Merger reserve
139,903
139,903
Other reserves
34,585
5,796
Foreign currency translation reserve
12,860
(23,547)
Share-based payment reserve
45,664
41,996
Retained earnings
(54,246)
(54,463)
Total equity
646,556
577,465
Non-current liabilities
Borrowings
20
2,607,183
3,141,904
Deferred tax liabilities
12
156,116
141,403
Retirement benefit liability
21
1,789
1,551
Provisions
22
813,462
722,016
Other payables
24
66,489
122,384
3,645,039
4,129,258
Current liabilities
Trade and other payables
23
979,689
847,805
Current portion of borrowings
20
880,046
128,000
Current tax liability
7,699
84,847
Derivative liability
7
87
345
Provisions
22
149,536
96,280
2,017,057
1,157,277
Total equity and liabilities
6,308,652
5,864,000
*Restated to classify the assets and liabilities previously classified as held
for sale back to their original balance sheet line items, refer to note 26 for
further detail.
Mathios Rigas Panos Benos
Chief Executive Officer Chief Financial Officer
10 September 2025 10 September 2025
Interim Consolidated Statement of Changes in Equity
Six months ended 30 June 2025 (Unaudited)
Share Capital Share Premium(21) Hedges and defined benefit plans reserve(22) Share based payment reserve (23) Translation reserve(24) Retained earnings Merger reserve Total
$'000 $'000 $'000 $'000 $'000 $'000 $'000 $'000
At 1 January 2025 (Restated*) 2,449 465,331 5,796 41,996 (23,547) (54,463) 139,903 577,465
Profit for the period - - - - - 110,484 - 110,484
Remeasurement of defined benefit pension plan, net of tax - - - - - - - -
Cashflow hedge, net of tax - - 28,789 - - - - 28,789
Exchange difference on the translation of foreign operations - - - - 36,407 - - 36,407
Total comprehensive income - - 28,789 - 36,407 110,484 - 175,680
Transactions with owners of the company
Share based payment charges (note 25) - - - 3,678 - - - 3,678
Exercise of employee share options 10 - - (10) - - - -
Dividends (note 19) - - - - - (110,267) - (110,267)
At 30 June 2025 2,459 465,331 34,585 45,664 12,860 (54,246) 139,903 646,556
(21) The share premium account represents the total net proceeds on issue of
the Company's shares in excess of their nominal value of £0.01 per share less
amounts transferred to any other reserves.
(22) The reserve is used to recognise remeasurement gain or loss on cash flow
hedges and actuarial gain or loss from the defined retirement benefit plan. In
the Interim Consolidated Statement of Financial Position this reserve is
included in the caption 'Other reserves'.
(23) The share-based payment reserve is used to recognise the value of
equity-settled share-based payments granted to parties including employees and
key management personnel, as part of their remuneration.
(24) The translation reserve is used to record unrealised exchange differences
arising from the translation of the financial statements of entities within
the Group that have a functional currency other than US dollar.
* Restated for discontinued operations reclassified to continuing operations,
refer to note 26 for further detail.
Interim Consolidated Statement of Changes in Equity
Six months ended 30 June 2024 (Unaudited)
Share Capital Share Premium(21) Hedges and defined benefit plans reserve(22) Share based payment reserve (24) Translation reserve(25) Retained earnings Merger reserve Total
$'000 $'000 $'000 $'000 $'000 $'000 $'000 $'000
At 1 January 2024 2,449 465,331 5,975 32,917 1,636 37,904 139,903 686,115
Profit for the period - - - - - 88,537 - 88,537
Remeasurement of defined benefit pension plan, net of tax - - 10 - - - - 10
Cashflow hedge, net of tax - - (313) - - - - (313)
Exchange difference on the translation of foreign operations - - - - (14,701) - - (14,701)
Total comprehensive income - - (303) - (14,701) 88,537 - 73,533
Transactions with owners of the company
Share based payment charges (note 25) - - - 4,110 - - - 4,110
Dividends (note 19) - - - - - (109,835) - (109,835)
At 30 June 2024 2,449 465,331 5,672 37,027 (13,065) 16,606 139,903 653,923
Interim Consolidated Statement of Cash Flows
Six months ended 30 June 2025 (Unaudited)
30 June
2025 2024 (Restated*)
Note $'000 $'000
Operating activities
Profit before taxation 174,149 174,985
Adjustments to reconcile profit before taxation to net cash provided by
operating activities:
Depreciation, depletion and amortisation 10, 11 194,431 183,917
Impairment (reversal)/loss on exploration and evaluation assets 10, 11 (656) 76,189
Change in decommissioning provision estimates 22 3,927 (16,129)
Loss from the sale of property, plant and equipment - 27
Defined benefit loss 10 19
Movement in other provisions (829) 1,767
ECL on trade receivables 5d 2,205 961
Other income (1,270) -
Finance income 6 (3,202) (5,120)
Finance 6 128,276 137,892
costs
Non-cash revenues from Egypt(25) (12,957) (19,269)
Share-based payment charge 25 3,678 4,110
Net loss on derivative instruments 7 2,983 -
Net foreign exchange (income)/loss 6 26,853 (11,145)
Cash flow from operations before working capital adjustments 517,598 528,204
(Increase)/ decrease in inventories 17,279 (198)
(Increase)/ decrease in trade and other receivables (17,110) (62,801)
Increase/(Decrease) in trade and other payables 147,591 63,822
Cash inflow from operations 665,358 529,027
Income tax paid (110,460) (1,948)
Net cash inflow from operating activities 554,898 527,079
Investing activities
Payment for purchase of property, plant and equipment 10 (331,109) (262,419)
Payment for exploration and evaluation, and other intangible assets 11 (53,412) (79,798)
Payment for other non-current assets - (87)
Proceeds from disposal of exploration and evaluation and other intangible 668 1,464
assets
Movement in restricted cash 14 (834) (60,065)
Proceeds from insurance 9,500 -
Amounts received from INGL related to the transfer of property, plant and - 1,801
equipment
Interest received 4,160 5,647
Net cash outflow for investing activities (371,027) (393,457)
Financing activities
Drawdown of borrowings 20 238,000 65,000
Repayment of borrowings 20 (33,000) (40,000)
Dividend Paid 19 (110,267) (109,835)
Repayment of obligations under leases 20 (9,191) (10,253)
Finance costs paid 20 (121,599) (125,717)
Net cash outflow from financing activities (36,057) (220,805)
Net increase/(decrease) in cash and cash equivalents 147,814 (87,183)
Cash and cash equivalents at beginning of the period 235,270 346,772
Effect of exchange rate fluctuations on cash held 17,566 (412)
Cash and cash equivalents at end of the period 13 400,650 259,177
(25) Non-cash revenues from Egypt arise due to taxes being deducted at source
from invoices, as such revenue and tax charges are grossed up to reflect this
deduction but no cash inflow or outflow results.
*Restated for discontinued operations reclassified to continuing operations,
refer to note 26 for further detail.
1. Corporate Information
Energean plc (the 'Company') was incorporated in England & Wales on 8 May
2017 as a public company limited by shares, under the Companies Act 2006. Its
registered office is at 44 Baker Street, London W1U 7AL, United Kingdom. The
Company and all subsidiaries controlled by the Company, are together referred
to as 'the Group'.
The Group has been established with the objective of exploration, production
and commercialisation of crude oil, hydrocarbon liquids and natural gas in
Greece, Israel, Italy, North Africa, United Kingdom ('UK') and the wider
Eastern Mediterranean.
The Group's subsidiaries and core assets, as of 30 June 2025, are presented in
notes 29 and 30.
2. Basis of preparation
2.1 Basis of preparation
The unaudited condensed consolidated interim financial statements for the six
months ended 30 June 2025 included in this interim report have been prepared
in accordance with UK-adopted International Accounting Standard 34 'Interim
Financial Reporting' ('IAS 34'), and, unless otherwise disclosed, have been
prepared on the basis of the same accounting policies and methods of
computation as applied in the Group's Annual Report for the year ended 31
December 2024 subject to the following:
A. Accounting for non-current assets held for sale and discontinued
operations
On 20 June 2024, the Group publicly announced its Board of Directors' decision
to sell its portfolio in Egypt, Italy, and Croatia, collectively referred to
as 'Energean Capital Limited Group' (ECL), which is fully owned and controlled
by the Group. The sale of ECL was expected to be completed within 12 months.
The Group assessed whether ECL met the definition of being held for sale and
discontinued operations and presented them as discontinued operations in its
2024 Interim and annual consolidated financial statements accordingly.
On 21 March 2025, the planned transaction was cancelled, and the business
previously classified as a discontinued operation was reclassified to
continuing operations. Accordingly:
- Results of ECL previously presented within discontinued
operations have been reclassified to continuing operations for all periods
presented.
- The comparative amounts for the six months ended 30 June 2024
have been restated.
- Comparative figures for assets and liabilities of disposal groups
classified as held for sale in the statement of financial position have also
been restated (refer to note 26).
Following the cessation of "held for sale" classification, the measurement of
ECL reverted to the basis that would have applied had the classification never
occurred (being lower than the recoverable amount). This resulted in a
catch-up depreciation charge, recognised for the period from the original date
of classification, together with the related deferred tax adjustment. To
ensure consistency in presentation and measurement, the comparative financial
information has been restated as if ECL had never met the criteria to be
classified as held for sale.
The unaudited condensed consolidated interim financial statements have been
prepared on a historical cost basis and are presented in US Dollars, which is
also the Company's functional currency, rounded to the nearest thousand
dollars ($'000) except as otherwise indicated. The US dollar is the currency
that mainly influences sales prices and revenue estimates, and also highly
affects the Group's operations. The functional currencies of the Group's main
subsidiaries are as follows: for Energean Oil & Gas S.A, Energean EnEarth
Greece Limited, Energean Sicilia S.r.l. and Energean Italy S.p.a. the
functional currency is Euro; for Energean Group Services Ltd., Energean
E&P Holdings Ltd., Energean International Limited, Energean Capital Ltd.,
Energean Egypt Ltd., Energean Investments Limited and Energean Israel Ltd. the
functional currency is US$; for Energean UK Ltd. and Energean Exploration Ltd.
is GBP.
The unaudited condensed consolidated interim financial statements do not
constitute statutory accounts of the Group within the meaning of Section 435
of the Companies Act 2006 and do not include all the information and
disclosures required in the annual financial statements. These financial
statements should be read in conjunction with the Group's Annual Report for
the year ended 31 December 2024, which were prepared UK-adopted International
Accounting Standards ('UK-adopted IAS'). The auditor's report on those
financial statements was unqualified with a reference to the uncertainty
regarding the completion of the ECL sale to which the auditor drew attention
by way of emphasis and no statement under s498(2) or s498(3) of the Companies
Act 2006.
2.2 Going concern
The Group carefully manages the risk of a shortage of funds by closely
monitoring its funding position and its liquidity risk. The Going Concern
assessment covers the period up to 31 December 2026 'the forecast period'.
As of 30 June 2025, the Group's available liquidity was approximately $1,175
million. In addition to $487 million of cash and cash equivalents and
restricted cash held by the Group at 30 June 2025, this available liquidity
figure includes: (i) $675 million available under Leumi loan facility and $13
million under RCF (Revolving Credit Facility).
The going concern assessment is founded on a cashflow forecast prepared by
management, which is based on a number of assumptions, most notably the
Group's latest life of field production forecasts, budgeted expenditure
forecasts, estimated of future commodity prices (based on recent published
forward curves) and available headroom under the Group's debt facilities. The
going concern assessment contains a "Base Case" and a "Reasonable Worst Case"
("RWC") scenario.
The Base Case scenario assumes Brent at $70/bbl in 2025 and 2026 and PSV
(Italian gas price) at €35/MWH in 2025 and 2026 assumed throughout the going
concern assessment period, with prices for gas sold assumed at contractually
agreed prices for Egypt and Israel. Under the Base Case, sufficient liquidity
is maintained throughout the going concern period.
The Group also routinely performs sensitivity tests of its liquidity position
to evaluate adverse impacts that may result from changes to the macro-economic
environment, such as a reduction in commodity prices. These downsides are
considered in the RWC scenario. In the light of the 10 year, senior-secured
term loan with Bank Leumi as the Facility Agent and Arranger for $750 million
signed by the Group in February 2025 the Group increased its exposure to the
floating interest rates in the assessment period. This risk has been timely
addressed by the hedging put in place, refer to note 7 for further detail. The
group also looks at the impact of changes or deferral of key projects and
downside scenarios to budgeted production forecasts in the RWC.
The two primary downside sensitivities considered in the RWC are: (i) reduced
commodity prices; (ii) reduced production - these downsides are applied to
assess the robustness of the Group's liquidity position over the Assessment
Period. In a RWC downside case, there are appropriate and timely mitigation
strategies, within the Group's control, to manage the risk of funding
shortfalls and to ensure the Group's ability to continue as a going concern.
Mitigation strategies, within management's control, modelled in the RWC
include deferral of capital expenditure on operated assets and/or management
of operating expenses to improve the liquidity. Under the RWC scenario, after
considering mitigation strategies, liquidity is maintained throughout the
going concern period.
Reverse stress testing was also performed to determine what production
shortfall could need to occur for liquidity headroom to be eliminated. The
conditions necessary for liquidity headroom to be eliminated are judged to
have a remote possibility of occurring, given the diversified nature of the
Group's portfolio and the "natural hedge" provided by virtue of the Group's
fixed-price gas contracts in Israel. In the event a remote downside scenario
occurred, prudent mitigating strategies, consistent with those described
above, could also be executed in the necessary timeframe to preserve
liquidity. There is no material impact of climate change within the Assessment
Period and therefore, it does not form part of the reverse stress testing
performed by management.
In forming its assessment of the Group's ability to continue as a going
concern, including its review of the forecasted cashflow of the Group over the
Forecast Period, the Board has made judgements about:
• Reasonable sensitivities appropriate for the current status of the
business and the wider macro environment; and
• the Group's ability to implement the mitigating actions within the Group's
control, in the event these actions were required.
After careful consideration, the Directors are satisfied that the Group has
sufficient financial resources to continue in operation for the foreseeable
future, for the Assessment Period from the date of approval of these unaudited
condensed consolidated interim financial statements on 10 September 2025 to 31
December 2026. For this reason, they continue to adopt the going concern basis
in preparing these condensed consolidated interim financial statements.
2.3 New and amended accounting standards and interpretations
The following amendments became effective as at 1 January 2025:
· Amendments to IAS 21 - Lack of exchangeability
The adoption of the above amendments to UK-adopted IAS did not result in any
material changes to the Group's accounting policies and did not have any
material impact on the financial position or performance of the Group.
2.4 Approval of unaudited condensed consolidated interim financial statements
by Directors
These unaudited condensed consolidated interim financial statements were
approved by the Board of Directors on 10 September 2025.
3. Segmental Reporting
The information reported to the Group's Chief Executive Officer and Chief
Financial Officer (together the Chief Operating Decision Makers) for the
purposes of resource allocation and assessment of segment performance is
focused on four operating segments: Europe (including Greece, Italy, UK and
Croatia), Israel, Egypt and New Ventures. The Group's reportable segments
under IFRS 8 Operating Segments are Europe, Israel and Egypt. Segments that do
not exceed the quantitative thresholds for reporting information about
operating segments have been included in Other.
Information regarding the results of each reportable segment is included below
and prior periods are represented to reflect discontinued operations
reclassified within the continuing operations to provide comparability.
Discontinued operations as disclosed in the 2024 annual consolidated financial
statements consist of the Egypt segment, the Italian and Croatian operations
included in the Europe reportable segment.
Segment revenues, results and reconciliation to profit before tax
The following is an analysis of the Group's revenue, results and
reconciliation to profit/ (loss) before tax by reportable segment:
Six months ended 30 June 2025 (unaudited) Europe Israel Egypt Other & inter-segment transactions Total
$'000 $'000 $'000 $'000 $'000
Revenue from gas sales 124,634 345,718 70,578 - 540,930
Revenue from hydrocarbon liquids sales 249 136,909 - - 137,158
Revenue from crude oil sales 82,532 - 23,054 - 105,586
Revenue from LPG sales 168 - 7,577 - 7,745
Rendering of services 719 - - - 719
Other revenue 35 - - - 35
Other operating income-lost production insurance proceeds 11,607 - - - 11,607
Total revenue 219,944 482,627 101,209 - 803,780
Adjusted EBITDAX(27) 97,903 328,226 82,735 (3,593) 505,271
Reconciliation to profit before tax:
Depreciation and amortisation expenses (36,766) (115,907) (40,406) (1,353) (194,432)
Share-based payment charge (2,370) (614) - (694) (3,678)
Exploration and evaluation expenses (1,721) (1,994) 2,651 (509) (1,573)
Change in decommissioning provision (3,927) - - - (3,927)
Expected credit (loss) - - (2,205) - (2,205)
Other expense (1,097) (9) (136) (2,748) (3,990)
Other income 2,101 9,794 19,857 1,841 33,593
Finance income 185 2,355 142 520 3,202
Finance costs (22,080) (80,851) (235) (25,110) (128,276)
Net loss on derivative instruments - 134 - (3,117) (2,983)
Net foreign exchange gain/(loss) (34,230) (11,814) (1,237) 20,428 (26,853)
Profit/(loss) before income tax (2,002) 129,320 61,166 (14,335) 174,149
Taxation expense (21,934) (28,937) (12,957) 163 (63,665)
Profit/(loss) for the period after taxation (23,936) 100,383 48,209 (14,172) 110,484
Six months ended 30 June 2024 (unaudited) (Restated*) Europe Israel Egypt Other & inter-segment transactions Total
$'000 $'000 $'000 $'000 $'000
Revenue from gas sales 34,721 388,459 80,381 - 503,561
Revenue from hydrocarbon liquids sales 168 213,719 21,703 - 235,590
Revenue from crude oil sales 118,265 - - - 118,265
Revenue from LPG sales 227 - 7,241 - 7,468
Other revenue 8,975 - - (7,268) 1,707
Total revenue 162,356 602,178 109,325 (7,268) 866,591
Adjusted EBITDAX(26) 49,838 429,977 88,032 12 567,859
Reconciliation to profit before tax:
Depreciation and amortisation expenses (18,605) (123,559) (45,502) 3,749 (183,917)
Share-based payment charge (932) (518) 257 (2,917) (4,110)
Exploration and evaluation expenses (17,130) - (61,248) (616) (78,994)
Change in decommissioning provision 385 - - - 385
Expected credit (loss) 191 - (1,152) - (961)
Other expense (1,457) (4) (134) (3,890) (5,485)
Other income 1,655 - 103 84 1,842
Finance income 3,734 4,485 274 (3,373) 5,120
Finance costs (22,526) (93,847) (468) (21,051) (137,892)
Unrealised loss on derivatives - (7) - - (7)
Net foreign exchange gain/(loss) 10,464 (290) 1,493 (522) 11,145
Profit/(loss) before income tax 5,617 216,237 (18,345) (28,524) 174,985
Taxation expense (17,970) (48,981) (19,271) (226) (86,448)
Profit/(loss) for the period after taxation (12,353) 167,256 (37,616) (28,750) 88,537
*Restated for discontinued operations reclassified to continuing operations,
refer to note 26 for further detail.
(26)Adjusted EBITDAX is a non-IFRS measure used by the Group to measure
business performance. It is calculated as profit or loss for the period,
adjusted for discontinued operations, taxation, depreciation and amortisation,
share-based payment charge, impairment of property, plant and equipment, other
income and expenses (including the impact of derivative financial instruments
and foreign exchange), net finance costs and exploration and evaluation
expenses.
Segment financial position
The following tables present assets and liabilities information for the
Group's operating segments as at 30 June 2025 and 31 December 2024,
respectively:
Six months ended 30 June 2025 (unaudited) Europe Israel Egypt Other & inter-segment transactions Total
$'000 $'000 $'000 $'000 $'000
Oil & Gas properties 942,158 3,341,235 399,132 - 4,682,525
Other fixed assets 24,619 4,522 3,205 11,647 43,993
Intangible assets 43,485 169,299 6,043 298 219,125
Trade and other receivables 85,223 108,943 248,048 4,081 446,295
Derivative asset - 37,156 - - 37,156
Deferred tax asset 265,606 - - 236 265,842
Cash and cash equivalents 62,713 100,879 19,528 217,530 400,650
Restricted cash 3,332 83,257 - - 86,589
Other assets 62,798 31,800 31,863 16 126,477
Total assets 1,489,934 3,877,091 707,819 233,808 6,308,652
Trade and other payables 489,785 389,434 43,778 123,181 1,046,178
Borrowings 115,215 2,668,431 - 703,583 3,487,229
Decommissioning provision 817,622 87,595 - - 905,217
Current tax payable 7,544 - - 155 7,699
Derivative liability - - - 87 87
Deferred tax liability - 156,116 - - 156,116
Other provisions 7,565 - 2,005 50,000 59,570
Total liabilities 1,437,731 3,301,576 45,783 877,006 5,662,096
Other segment information
Capital expenditure:
- Property, plant and equipment 50,709 240,773 4,647 1,970 298,099
- Intangible, exploration and evaluation assets (791) 1,522 (2,330) 65 (1,534)
Year ended 31 December 2024 (Restated*) Europe Israel Egypt Other & inter-segment transactions Total
$'000 $'000 $'000 $'000 $'000
Oil & Gas properties 817,127 3,221,613 436,201 (19,364) 4,455,577
Other fixed assets 25,739 10,259 22,565 1,219 59,782
Intangible assets 12,795 171,902 18,719 12,962 216,378
Trade and other receivables 133,588 131,128 203,662 (12,678) 455,700
Deferred tax asset 254,064 - - - 254,064
Other assets 163,249 197,110 70,056 (7,916) 422,499
Total assets 1,406,562 3,732,012 751,203 (25,777) 5,864,000
Trade and other payables 517,513 329,969 100,552 22,155 970,189
Borrowings 101,816 2,594,212 - 573,876 3,269,904
Decommissioning provision 725,301 85,357 - - 810,658
Current tax payable 3,813 81,034 - - 84,847
Deferred tax liability - 141,403 - - 141,403
Other liabilities 120,092 277 1,870 (112,705) 9,534
Total liabilities 1,468,535 3,232,252 102,422 483,326 5,286,535
Other segment information
Capital Expenditure:
- Property, plant and equipment 260,791 177,377 51,145 564 489,877
- Intangible, exploration and evaluation assets 23,637 132,441 22,162 64,944 243,184
* Restated for restated to classify the assets and liabilities previously
classified as held for sale back to their original balance sheet line items,
refer to note 26 for further detail.
Segment Cash flows
The following tables present cash flow information for the Group's operating
segments for six months ended 30 June:
Europe Israel Egypt Other & inter-segment transactions Total
$'000 $'000 $'000 $'000 $'000
Six months ended 30 June 2025 (unaudited)
Net cash from / (used in) operating activities 244,190 237,466 29,079 44,163 554,898
Net cash (used in) investing activities (127,889) (172,575) (36,328) (34,235) (371,027)
Net cash from financing activities (94,114) (124,637) (904) 183,598 (36,057)
Net increase/(decrease) in cash and cash equivalents, and restricted cash 22,187 (59,746) (8,153) 193,526 147,814
Cash and cash equivalents at beginning of the period 35,576 157,728 27,710 14,256 235,270
Effect of exchange rate fluctuations on cash held 4,950 2,897 (29) 9,748 17,566
Cash and cash equivalents at the end of the period 62,713 100,879 19,528 217,530 400,650
Six months ended 30 June 2024 (unaudited)* Europe Israel Egypt Other & inter-segment transactions Total
$'000 $'000 $'000 $'000 $'000
Net cash from / (used in) operating activities 69,030 430,651 28,063 (665) 527,079
Net cash (used in) investing activities (126,935) (253,309) (4,788) (8,425) (393,457)
Net cash from financing activities 73,529 (254,326) (27,957) (12,051) (220,805)
Net increase/(decrease) in cash and cash equivalents, and restricted cash 15,624 (76,984) (4,682) (21,141) (87,183)
Cash and cash equivalents at beginning of the period 18,674 286,625 11,232 30,241 346,772
Effect of exchange rate fluctuations on cash held (216) 1,025 (724) (497) (412)
Cash and cash equivalents at the end of the period 34,082 210,666 5,826 8,603 259,177
*Restated for discontinued operations reclassified to continuing operations,
refer to note 26 for further detail.
4. Revenue
30 June (Unaudited)
2025 2024 (Restated)*
$'000 $'000
Revenue from gas sales 540,930 503,562
Revenue from hydrocarbon liquids sales 137,158 235,589
Revenue from crude oil sales 105,586 118,265
Revenue from LPG sales 7,745 7,468
Rendering of services 719 1,707
Other revenue 35 -
Revenue from contracts with customers 792,173 866,591
Other operating income-lost production insurance proceeds 11,607 -
Total revenue 803,780 866,591
*Restated for discontinued operations reclassified to continuing operations,
refer to note 26 for further detail.
Sales volumes for the six months to 30 June 30 June (Unaudited)
2025 2024 (Restated)*
kboe kboe
Egypt (net entitlement) 3,103 3,144
Gas 2,599 2,709
Hydrocarbon liquids 504 435
Italy 2,469 1,599
Gas 1,499 575
Crude Oil 970 1,024
Israel 16,964 19,009
Gas 14,907 16,323
Hydrocarbon liquids 2,057 2,686
UK 144 265
Gas 12 17
Crude Oil 132 248
Croatia 3 13
Gas 3 13
Greece 131 219
Crude Oil 131 219
Total sales volumes 22,814 24,249
*Restated for discontinued operations reclassified to continuing operations,
refer to note 26 for further detail.
5. Operating profit before taxation
30 June (Unaudited)
2025 2024 (Restated)*
$'000 $'000
(a) Cost of sales
Staff costs 31,714 29,698
Energy cost 13,513 10,314
Royalty payable 96,925 115,651
Flux cost 16,609 15,346
Other operating costs(27) 113,297 99,950
Depreciation and amortisation(28) 191,409 181,372
Oil stock movement 11,441 3,902
Stock (underlift)/overlift movement (5,830) 4,655
Total cost of sales 469,078 460,888
(b) Administration expenses
Staff costs 14,725 13,377
Share-based payment charge included in administration expenses 3,678 4,110
Depreciation and amortisation 3,022 2,546
Audit fees 1,403 1,206
Other general & administration expenses 4,713 4,632
Total administration expenses 27,541 25,871
(c) Exploration and evaluation expenses
Staff costs for Exploration and evaluation activities 1,684 2,169
Exploration costs written off(29) 1,994 76,209
Reversal of prior year exploration costs write off(29) (2,650) -
Other exploration and evaluation expenses 545 616
Total exploration and evaluation expenses 1,573 78,994
(d) Expected credit loss
Expected credit loss expense 2,205 961
Total expected credit loss 2,205 961
(e) Other expenses
Transaction expenses (30) 2,698 3,861
Loss from disposal of Property, plant & Equipment - 28
Litigation claim provision 134 134
Other expenses 1,158 1,462
Total other expenses 3,990 5,485
(f) Other income
Insurance compensation 9,500 -
Other income 3,830 1,842
Reversal of prior period accrual(31) 20,263 -
Total other income 33,593 1,842
*Restated for discontinued operations reclassified to continuing operations,
refer to note 26 for further detail.
(27) Other operating costs comprise of insurance costs, gas transportation and
treatment fees, concession fees and planned maintenance costs.
(28) Depreciation charge includes a catch-up adjustment caused by the
reclassification of assets held for sale back to the continuing operations,
refer to note 26 for further details.
(29) Exploration expenses write-off in H1 2025 refers to termination of Block
21 license in Israel in January 2025. Exploration expenses write-off in H1
2024 pertains to the cessation of exploration activities in the Ioannina area
in Greece by the Group during the reporting period ($14.8 million) and the
unsatisfactory exploration results of Orion X1 well in Egypt ($61.2
million). $2.65 million recorded in 2025 relates to the release of accruals
for previously incurred expenditure based on the actual amounts invoiced
subsequent to year-end. .
(30)Transaction expenses consist of costs associated with the expected sale of
the Group's portfolio in Egypt, Italy, and Croatia. Pre-sale activities
resulted in additional expenses recognised in Q1 2025, including consulting
($0.6 million) and legal fees ($2.1 million).
(31)Other income from reversal of prior period accrual mainly relates to $18.9
million reversed accrued expense no longer required in Egypt, following the
lapse of the statute of limitations period under the Egyptian Commercial law.
6. Net finance cost
30 June (Unaudited)
2025 2024 (Restated)*
$'000 $'000
Interest on bank borrowings 9,549 7,589
Interest on Senior Secured Notes 102,595 100,236
Interest expense on long term payables 1,498 1,249
Interest expense on short term liabilities 676 -
Less amounts included in the cost of qualifying assets (15,498) (4,655)
98,820 104,419
Finance and arrangement fees 55 1,677
Commission charges for bank guarantees 2,507 1,369
Other finance costs and bank charges 822 905
Unwinding of discount on right of use asset 1,087 1,659
Unwinding of discount on long-term trade payables 5,146 7,804
Unwinding of discount on provision for decommissioning 18,295 16,046
Unwinding of discount on deferred consideration 2,085 4,358
Less amounts included in the cost of qualifying assets (541) (345)
Total finance costs 128,276 137,892
Interest income from time deposits (3,202) (5,120)
Total finance income (3,202) (5,120)
Net loss on derivative instruments 2,983 7
Total net loss on derivative instruments 2,983 7
Net foreign exchange losses/(profits) 26,853 (11,145)
Net financing costs 154,910 121,634
*Restated for discontinued operations reclassified to continuing operations,
refer to note 26 for further detail.
7. Fair value measurements and financial instruments
Set out below is information about how the Group determines the fair values of
various financial assets and liabilities.
a) Deferred and contingent consideration
The share purchase agreement dated 4 July 2019 between Energean and Edison Spa
provides for a contingent consideration of up to $100 million. The amount of
the Cassiopea contingent payment varies between nil and $100 million,
depending on future gas prices in Italy at the point at which first gas
production is delivered from the field. The consideration was contingent on
the basis of future gas prices (PSV) recorded at the time of the first gas,
which was achieved on 19 August 2024. No payment was to be due if the
arithmetic average of the year one (i.e., the first year after first gas
production) and year two (i.e., the second year after first gas production)
Italian PSV Natural Gas Futures prices was less than €10/MWh when first gas
production was delivered from the field. $100 million was payable if that
average price exceeded €20/MWh, with a range of outcomes between $0 million
and $100 million if the average price was between €10/MWh and €20/MWh.
According to the SPA, the Group's payment obligation is due 90 days after the
later of the first day of the month following the first month in which
production from the Cassiopea field has continued on a regular basis for at
least 25 days or the date upon which formal notice of production from
Cassiopea has been accepted by the relevant competent authority in Italy (or
failing which once production has continued on a regular basis for 90 days).
The first gas production commenced in August 2024, with four wells fully
operational by the end of December 2024. This operational milestone led to a
recognition of $97.9 million deferred consideration as of 31 December 2024. In
2024 the fair value of the consideration payable was estimated by reference to
the terms of the SPA and discounted at a cost of debt. The fair value of the
consideration payable was recognised at level 3 in the fair value hierarchy.
The continued production on a regular basis was established in March 2025
resulting in the consideration of $100 million becoming payable on 3 June
2025. It was subsequently settled by the Group on 1 July 2025.
b) Cash Flow Hedging
The Group is exposed to certain risks relating to its ongoing business
operations. The primary risks managed using derivative instruments during the
reporting period are foreign currency risk and commodity price risk:
I. Foreign currency risk
Foreign currency forward contracts are designated as hedging instruments in
cash flow hedges of forecast transactions in currencies other than US$. Thus,
in January 2025 the Group entered into the forward contracts with the bank in
Israel to manage the foreign currency risk related to EUR, NOK and GBP
payments to suppliers under the Katlan EPCI contract. The forward contracts
are subject to different maturity dates and are designed to match the payments
for completion of Katlan Subsea development milestones under the host
contract. Multi-currency instruments are effective from April 2025 to August
2027.
Looking to protect its exposure to EUR/USD fluctuations associated with the
deferred consideration payment (refer to note 7 (a)), the Group also entered
into the EUR put and call options with the bank in the UK. The contracts
were to expire by 30 June 2025 and the hedged exposure matched the payable
amount.
II. Commodity price risk
All gas sales contracts in Italy are linked to the PSV price index and
therefore the associated revenue proceeds are subject to PSV price
fluctuations. The increased volatility in PSV price over the past 12 months
has led to the decision to enter into commodity forward contracts with the
bank in the UK. In April and May 2025 the Group entered in a series of put and
call options to hedge about 30% of anticipated gas production in Italy for the
following 12 months (until May 2026). Hedging the price volatility of forecast
gas sales is in accordance with the risk management strategy outlined by the
Board of Directors.
There is an economic relationship between the hedged items and the hedging
instruments as the terms of the foreign exchange and commodity forward
contracts match the terms of the expected highly probable forecast
transactions (i.e., notional amount and expected payment date, based on the
nature of the underlying host instruments). The Group has established a hedge
ratio of 1:1 for the hedging relationships as the underlying risk of the
foreign exchange and commodity forward contracts are identical to the hedged
risk components.
The Group considered foreign exchange and commodity price collars not meeting
the definition of net written options and therefore those were designated as
joint hedging instruments.
The Group is holding the following foreign exchange and commodity forward
contracts on 30 June 2025:
Less than 1 month 1 to 3 months 3 to 6 months 6 to 9 months 9 to 12 months 13 to 24 months 3 to 5 years Total
Foreign exchange forward contracts highly probable forecast purchases:
- Notional amount (in $'000) 8,678 14,279 34,023 43,791 42,224 85,657 127,457 356,109
- Average forward rate (USD/EUR) 1.05230 1.05445 1.05977 1.06620 1.07163 1.07663 1.08488 -
- Average forward rate (USD/GBP) 1.23695 1.24546 1.23675 1.24549 1.23675 1.23675 1.23681 -
- Average forward rate (USD/NOK) 11.21550 11.21500 11.21083 - - 11.19150 11.17025 -
Commodity forward contracts:
- Notional amount (in $'000) 9,680 29,040 29,040 21,760 - - - 89,520
- Notional amount (in MWh) 240 720 720 560 - - - 2,240
The impact of hedging instruments on the statement of financial position is,
as follows:
Notional amount Carrying amount Line item in the statement of financial position Change in fair value used for measuring ineffectiveness for the period
$'000 $'000 $'000
Foreign exchange forward contracts 213,114 21,833 Derivative asset, non-current -
Foreign exchange forward contracts 142,995 15,323 Derivative asset, current -
Commodity forward contracts 89,520 (87) Derivative liability, current -
445,629 37,069
The impact of hedged items on the statement of financial position is, as
follows:
Hedged Item Change in fair value used for measuring ineffectiveness for the period Cash flow hedge reserve
$'000 $'000
Highly probable forecast purchases - 28,611
Highly probable forecast gas sales - 87
The effect of the cash flow hedge in the statement of profit or loss and other
comprehensive income is, as follows:
Hedged Item Total hedging gain/(loss) recognised in OCI Ineffectiveness recognised in profit or (loss) Line item in the statement of profit or (loss) Amount reclassified from OCI to profit or (loss) Line item in the statement of profit or (loss)
$'000 $'000 $'000 $'000
Highly probable forecast purchases 42,845 - - 5,990 Was then capitalised in property, plant and equipment (BS)
Highly probable forecast purchases 781 - - 134 Net loss on derivative (PL)
Highly probable forecast deferred consideration payment - (3,117) Net loss on derivative (PL) - -
Highly probable forecast gas sales (87) - Cash Flow Hedge (OCI) - -
c) Fair values of other financial instruments
The following financial instruments are measured at amortised cost and are
considered to have fair values different to their book values:
30 June 2025 (Unaudited) 31 December 2024
$'000 Carrying value Fair value Carrying value Fair value
Senior Secured notes 3,043,634 3,007,175 3,040,010 2,934,170
The fair value of the notes is within level 1 of the fair value hierarchy and
has been determined with the reference to market prices at the reporting date.
The fair value of other financial instruments not measured at fair value
including cash and short - term deposits, trade receivables and other payables
equate approximately to their carrying values. There were no transfers between
the levels during the reporting period.
8. Taxation
30 June (Unaudited)
2025 2024 (Restated)*
$'000 $'000
Corporation tax - current period (38,903) (52,160)
Adjustments in respect of current income tax of previous year(s) - (32)
Total current tax charge (38,903) (52,192)
Deferred tax relating to origination and reversal of temporary differences (24,762) (34,256)
Income tax expense reported in the Income statement (63,665) (86,448)
*Restated for discontinued operations reclassified to continuing operations,
refer to note 26 for further detail.
(b) Reconciliation of the total tax charge
The tax rate applied to the Group's profits in preparing the reconciliation
below is the main corporation tax rate of 25.0% applicable in the United
Kingdom.
The effective tax rate for the period is 37% (30 June 2024: 49%). The tax
(charge)/ credit of the period can be reconciled to the profit per the
unaudited interim consolidated income statement as follows:
30 June (Unaudited)
2025 2024 (Restated)*
$'000 $'000
Accounting profit before tax 174,179 174,985
Tax calculated at 25.0% weighted average rate (H1 2024 (Restated): 25.0%)
(43,537) (43,746)
Impact of different tax rates (4,557) 5,358
Non recognition of deferred tax on current year tax losses and other temporary (20,450) (11,712)
differences(32)
Derecognition of previously recognised deferred tax 372 (10,987)
Permanent differences (2,057) (28,166)
Foreign taxes - (29)
Tax effect of non-taxable income and allowances 6,514 936
Other adjustments 50 (169)
Prior year tax - 2,067
Total taxation expense (63,665) (86,448)
* Restated for discontinued operations reclassified to continuing operations,
refer to note 26 for further detail.
(32) The Group did not recognise deferred tax on current year's tax losses and
other temporary differences coming from the UK ($11.4 million), Greece ($4.9
million), Italy ($3.0 million) and Cyprus ($1.2 million) in line with the
latest forecasts and assumptions.
There are no income tax consequences attached to the payment of dividends in
either 2025 or 2024 by the Group to its shareholders.
OECD's Pillar Two legislation has been enacted or substantively enacted in
certain jurisdictions in which the Group operates. The Group exceeded the
applicable threshold of €750 million for two subsequent years (FY2023 and
FY2024) and therefore, it shall be within the Pillar Two rules from accounting
years starting as of 1 January 2025. The Group has performed a preliminary
assessment of the potential implications of the OECD's Pillar Two Global
Anti‑Base Erosion (GloBE) rules, which introduce a global minimum tax of 15%
on income in jurisdictions where effective tax rates fall below that
threshold. Under the Transitional Country-by‑Country Reporting (CbCR) Safe
Harbour regulations, the Group has analysed jurisdictional forecasted profits
and taxes as reported in its financial statements, in line with the relevant
administrative guidance. Based on this analysis, the Group expects to satisfy
the criteria of the temporary safe harbour tests, including the simplified
effective tax rate (ETR) test, as described in the OECD guidance. Accordingly,
the Group does not expect to incur any Pillar 2 top‑up tax for the financial
year ending 31 December 2025. The Group will continue to monitor any
developments in local and international legislation and guidance and will
update its assessment as required.
In line with the amendments to IAS 12, the exception from recognising and
disclosing information about deferred tax assets and liabilities related to
Pillar Two income taxes has been applied.
9. Earnings per share
Basic earnings per ordinary share amounts are calculated by dividing net
income for the year attributable to ordinary equity holders of the parent by
the weighted average number of ordinary shares outstanding during the year.
Diluted income per ordinary share amounts is calculated by dividing net income
for the year attributable to ordinary equity holders of the parent by the
weighted average number of ordinary shares outstanding during the year plus
the weighted average number of ordinary shares that would be issued if
dilutive employee share options were converted into ordinary shares.
30 June (Unaudited)
2025 2024 (Restated)*
$'000 $'000
Total profit from continuing operations attributable to equity shareholders 110,484 88,537
Effect of dilutive potential ordinary shares - -
110,484 88,537
Number of shares
Basic weighted average number of shares 183,947,626 183,480,959
Dilutive potential ordinary shares 2,648,155 1,070,515
Diluted weighted average number of shares 186,595,781 184,551,474
Basic earnings per share $0.60 $0.48
Diluted earnings per share $0.59 $0.48
* Restated for discontinued operations reclassified to continuing operations,
refer to note 26 for further detail.
10. Property, plant and equipment
Oil and gas properties Leased assets Other property, plant and equipment Total
Property, plant and equipment $'000 $'000 $'000 $'000
Cost
At 1 January 2024 5,201,651 108,278 64,104 5,374,033
Additions 460,870 11,360 8,557 480,787
Lease modification - 603 - 603
Disposal of assets (3,167) - (287) (3,454)
Capitalised borrowing cost 15,348 - - 15,348
Change in decommissioning provision 3,535 - - 3,535
Transfer to inventory (448) - - (448)
Transfer from intangible assets 204,589 - - 204,589
Foreign exchange impact (176,630) (4,593) (3,927) (185,150)
At 31 December 2024 (Restated*) 5,705,748 115,648 68,447 5,889,843
Additions 284,520 341 4,047 288,908
Lease modification(33) - (37,099) - (37,099)
Disposal of assets - - (1) (1)
Capitalised borrowing cost 15,498 - - 15,498
Change in decommissioning provision 16,579 - - 16,579
Foreign exchange impact 415,333 5,434 12,071 432,838
At 30 June 2025 (Unaudited) 6,437,678 84,324 84,564 6,606,566
Accumulated Depreciation
At 1 January 2024 898,549 46,337 57,822 1,002,708
Charge for the period 331,685 13,630 1,516 346,831
Depreciation catch-up adjustment (note 26) 62,125 1,919 982 65,026
Impairment 95,607 - - 95,607
Disposal - - (170) (170)
Foreign exchange impact (129,636) (2,715) (3,167) (135,518)
At 31 December 2024 (Restated*) 1,258,330 59,171 56,983 1,374,484
Charge for the period expensed 185,245 7,346 1,015 193,606
Impairment 18 - - 18
Lease modification(34) - (13,498) - (13,498)
Foreign exchange impact 311,563 7,243 6,632 325,438
At 30 June 2025 (Unaudited) 1,755,156 60,262 64,630 1,880,048
Net carrying amount
At 31 December 2024 (Restated*) 4,447,418 56,477 11,464 4,515,359
At 30 June 2025 (Unaudited) 4,682,522 24,062 19,934 4,726,518
* Restated for discontinued operations reclassified to continuing operations,
refer to note 26 for further detail.
(33,34) Lease modification mainly refers to the termination of vessel lease
contracts in Egypt and Israel. They are to be replaced with new lease
agreements in the second half of the year.
Included in the carrying amount of leased assets at 30 June 2025 are right of
use assets related to Oil and gas properties and Other property, plant and
equipment of $15.3 million and $8.7 million respectively (31 December 2024:
$12.7 million and $1.3 million excluding right of the use assets presented as
discontinued, $40.4 million). The depreciation charged on these classes for
the six-month ending 30 June 2025 were $6.5 million and $2.8 million
respectively (six months ended 30 June 2024 (restated): $8.3 million and $1.9
million).
The additions to Oil & gas properties for the period of six months ended
30 June 2025 are mainly due to development costs of Katlan ($213 million) and
the Karish North and the second oil train ($22.5 million) in Israel, the
Cassiopea and Santo Stefano Mare projects in Italy at the amount of $14
million and $10 million respectively.
On 21 March 2025, property, plant, and equipment owned by the ECL disposal
group, with a carrying value of $1,196 million (primarily in Italy and Egypt),
were reclassified back to continuing operations. Those assets were recorded at
their carrying value including the depreciation adjustment retrospectively
made for the period they were classified as held for sale.
Borrowing costs capitalised for qualifying assets, included in oil & gas
properties, for the six months ended 30 June 2025 amounted to $15.5 million
(30 June 2024: $5 million). The weighted average interest rates used was 5.34%
for the six months ended 30 June 2025 (30 June 2024: 1.58%).
No indicators of property, plant and equipment impairment were noted on 30
June 2025.
11. Intangible assets
Exploration and evaluation assets Goodwill Other Intangible assets Total
$'000 $'000 $'000 $'000
Intangibles at Cost
At 1 January 2024 397,716 101,146 11,543 510,405
Additions 241,950 - 1,233 243,183
Transfer to property, plant and equipment (205,324) - 735 (204,589)
Exchange differences (8,946) - (742) (9,688)
At 31 December 2024 (Restated*) 425,396 101,146 12,769 539,311
Additions (2,035) - 501 (1,534)
Exchange differences 27,921 - 1,202 29,123
At 30 June 2025 (Unaudited) 451,282 101,146 14,472 566,900
Accumulated amortisation and impairments
At 1 January 2024 158,274 20,485 6,257 185,016
Charge for the period - - 923 923
Amortisation catch-up adjustment (note 26) - - 45 45
Impairment 144,236 - 42 144,278
Exchange differences (7,052) - (277) (7,329)
At 31 December 2024 (Restated*) 295,458 20,485 6,990 322,933
Charge for the period - - 825 825
Impairment 656 - - 656
Exchange differences 22,080 - 1,281 23,361
At 30 June 2025 (Unaudited) 318,194 20,485 9,096 347,775
Net Carrying Amount
At 31 December 2024 (Restated*) 129,938 80,661 5,779 216,378
At 30 June 2025 (Unaudited) 133,088 80,661 5,376 219,125
* Restated for discontinued operations reclassified to continuing operations,
refer to note 26 for further detail.
Goodwill arises principally because of the requirement to recognise deferred
tax assets and liabilities for the difference between the assigned values and
the tax bases of assets acquired and liabilities assumed in a business
combination.
In 2024 the Group made significant additions to key ongoing projects,
including $133.2 million mainly related to the Katlan project in Israel prior
to the final investment decision being taken in July 2024, $65.2 million for
the Company's partnership with Chariot Limited in Morocco's Anchois gas
development (was fully impaired in 2024), and $48.0 million for the Location B
project in Egypt and the Orion exploration (was fully impaired in 2024). On 13
May 2025 the Group sold its rights to Lixus and Risanna licenses (Anchois gas
development) to Chariot Limited for $1 consideration with any related
guarantee issued by the Group been terminated.
On 21 March 2025, intangible assets owned by the ECL disposal group, with a
carrying value of $30.8 million (primarily in Italy and Egypt), were
reclassified back to continuing operations. Those assets were recorded at
their carrying value including the amortisation adjustment retrospectively
made for the period they were classified as held for sale.
No indicators of intangible assets impairment were noted on 30 June 2025.
12. Net deferred tax (liability)/ asset
Deferred tax (liabilities)/assets Property, plant and equipment Right of use asset IFRS 16 Decommi-ssioning Prepaid expenses and other receivables Inventory Tax losses Retire-ment benefit liability Accrued expenses and other short‑term liabilities Total
Deferred expenses for tax
$'000 $'000 $'000 $'000 $'000 $'000 $'000 $'000 $'000 $'000
At 1 January 2024 (163,994) (3,737) 103,560 (2,051) 6 144,866 5,578 369 10,122 94,719
Increase / (decrease) for the period through, restated*:
Profit or loss (3,286) 634 17,296 (764) 413 20,580 (633) (39) (2,096) 32,105
Other comprehensive income - - - - - - - 79 10 89
Exchange difference 739 44 (6,315) 35 (17) (8,433) - (7) (298) (14,252)
At 31 December 2024 (Restated*) (166,541) (3,059) 114,541 (2,780) 402 157,013 4,945 402 7,738 112,661
Increase / (decrease) for the period through:
Profit or loss (19,989) 2,448 (7,660) (123) - 1,918 (314) 64 (1,107) (24,763)
Other comprehensive income - - - - - - - (8,626) - (8,626)
Exchange difference (2,828) (95) 13,599 (72) 52 19,102 - 17 679 30,454
At 30 June 2025 (Unaudited) (189,358) (706) 120,480 (2,975) 454 178,033 4,631 (8,143) 7,310 109,726
30 June 2025 (Unaudited) 31 December 2024 (Restated*)
$'000 $'000
Deferred tax liabilities (156,116) (141,403)
Deferred tax assets 265,842 254,064
Net deferred tax (liabilities)/ assets 109,726 112,661
* Restated for discontinued operations reclassified to continuing operations,
refer to note 26 for further detail.
As of June 2025 the Group had gross total unused tax losses of $1,055.6
million (as of 31 December 2024: $957.0 million) available to offset against
future profits and other temporary differences. The Group has not recognised
deferred tax on tax losses and other differences of $782.5 million.
In Greece and the UK, the net DTA for carried forward losses recognised in
excess of the other net taxable temporary differences was $114.5 million and
$39.3 million (2024: $101.5 million and $29.8 million) respectively.
Greek tax losses (Prinos area) can be carried forward without limitation up
until the relevant concession agreement expires (by 2049), whereas, the tax
losses in Israel, Italy and the United Kingdom can be carried forward
indefinitely. Based on the Prinos area forecasts (including the Epsilon
development), the deferred tax asset is fully utilised by 2038. Finally, in
the UK, decommissioning losses is expected to be tax relieved up until 2029 in
accordance with the latest taxable profits forecasts.
At June 2025, the gross amount and expiry dates of losses available for carry
forward are as follows:
Expiring within 5 years Expiring beyond 6 years Unlimited Total
(Note A) (Note B) (Note C)
$'000 $'000 $'000 $'000
Losses for which a deferred tax asset is recognised - 465,700 155,800 621,500
Losses for which no deferred tax asset is recognised 89,300 - 344,800 434,100
89,300 465,700 500,600 1,055,600
Note A: Mainly tax losses generated in the Republic of Cyprus ($62 million)
and Greece ($27 million) of trading losses which cannot be utilised against
profits from Prinos asset)
Note B: Tax losses ring-fenced to the Prinos asset in Greece which can be
carried forward until the expiry of the relevant licences i.e. by 2049.
Note C: Unlimited losses for which a deferred tax asset is recognised comprise
Italian tax losses of $93m and UK tax losses of $63m which can be carried
forward indefinitely. Unlimited losses for which no deferred tax asset is
recognised relate to remaining UK tax losses.
There are no income tax consequences attached to the payment of dividends by
the Group to its shareholders. As a result of exemptions on dividend from
subsidiaries and capital gains on disposal there are no significant taxable
temporary differences associated with investments in subsidiaries, branches,
associates and interests in joint arrangements.
13. Cash and cash equivalents
30 June 31 December
2025 (Unaudited) 2024 (Restated*)
$'000 $'000
Cash and bank deposits 400,650 235,270
400,650 235,270
* Restated for restated to classify the assets and liabilities previously
classified as held for sale back to their original balance sheet line items,
refer to note 26 for further detail.
Bank deposits comprise deposits and other short-term money market deposit
accounts that are readily convertible into known amounts of cash. The annual
average interest rate on short‑term bank deposits was 3.984% for the six
months period ended 30 June 2025 (12 months ended 31 December 2024: 4.82%).
14. Restricted Cash
Restricted cash comprises cash retained under the Israel Senior Secured Notes
and the Greek State Loan requirement as follows:
Current
The current portion of restricted cash at 30 June 2025 was $83.26 million (31
December 2024: $82.43 million). It mainly relates to the September 2025 coupon
payment on Senior Secured Notes.
Non-Current
The cash restricted for more than 12 months after the reporting date was $3.3
million (31 December 2024: $2.95 million) mainly comprising $2.4 million (31
December 2024: $2.15 million) held on the Interest Service Reserve Account
('ISRA') in relation to the Greek Loan Notes and $0.9 million (31 December
2024: $0.8 million) for Prinos Guarantee.
15. Inventories
30 June 31 December
2025 (Unaudited) 2024 (Restated*)
$'000 $'000
Crude oil 16,002 33,887
Hydrocarbon liquids 4,551 3,581
Gas 519 502
Raw materials and supplies 69,251 63,878
Total inventories 90,323 101,848
* Restated for restated to classify the assets and liabilities previously
classified as held for sale back to their original balance sheet line items,
refer to note 26 for further detail.
16. Trade and other receivables
30 June 31 December
2025 (Unaudited) 2024 (Restated*)
$'000 $'000
Trade and other receivables, current
Financial items:
Trade receivables 346,684 341,339
Receivables from partners under JOA 6,260 290
Other receivables 8,414 8,131
Refundable VAT 45,491 49,438
Accrued interest income 4,191 1,048
411,040 400,246
Non-financial items:
Deposits and prepayments(35) 21,655 19,886
Other taxes receivable 13,442 -
Other deferred expenses 158 2,116
35,255 22,002
446,295 422,248
* Restated for restated to classify the assets and liabilities previously
classified as held for sale back to their original balance sheet line items,
refer to note 26 for further detail.
(35) Included in deposits and prepayments, are mainly prepayments for goods
and services under the GSP Engineering, Procurement, Construction and
Installation Contract (EPCIC) for Epsilon project.
17. Other non-current assets
30 June 31 December
2025 (Unaudited) 2024 (Restated*)
$'000 $'000
Other non-current assets
Non-financial items:
Other tax recoverable 17,125 15,693
Deposits and prepayments 16,779 15,399
Other non-current assets 2,246 2,360
36,150 33,452
* Restated for restated to classify the assets and liabilities previously
classified as held for sale back to their original balance sheet line items,
refer to note 26 for further detail.
18. Share capital
The below tables outline the share capital of the Company.
Equity share capital allotted and fully paid Share capital Share premium
Number $'000 $'000
Issued and authorized
At 1 January 2024 183,480,959 2,449 465,331
Issued during the year
- New shares - - -
- Share based payment - - -
At 31 December 2024 183,480,959 2,449 465,331
Issued during the period
- Share based payment 800,000 10 -
At 30 June 2025 (Unaudited) 184,280,959 2,459 465,331
19. Dividends
In line with the Group's dividend policy, Energean returned $0.60/share to
shareholders during the reporting period, representing two-quarters of
dividend payments (6 months ended 30 June 2024: $0.60/ share).
$ cents per share 30 June, in $' 000
Dividends announced and paid in cash 2025 2024 2025 2024
March 30 30 54,990 54,844
June 30 30 55,277 54,991
60 60 110,267 109,835
20. Borrowings
30 June 31 December
2025 (Unaudited) 2024 (Restated*)
$'000 $'000
Non-current
Bank borrowings - after two years but within five years
4.875% Senior Secured notes due 2026 ($625 million) - 622,102
6.5% Senior Secured notes due 2027 ($450 million) 446,756 445,797
5.375% Senior Secured notes due 2028 ($625 million) 620,362 619,602
Bank borrowings - more than five years
5.875% Senior Secured notes due 2031 ($625 million) 618,174 617,689
8.50% Senior Secured notes due 2033 ($750 million) 735,123 734,820
Bank Leumi Loan 71,553 -
BSTDB Loan and Greek State Loan Notes 115,215 101,894
Carrying value of non-current borrowings 2,607,183 3,141,904
Current
4.875% Senior Secured notes due 2026 ($625 million) 623,219 -
Revolving credit facility 133,000 128,000
Other borrowings 123,827 -
Carrying value of current borrowings 880,046 128,000
Carrying value of total borrowings 3,487,229 3,269,904
* Restated for restated to classify the assets and liabilities previously
classified as held for sale back to their original balance sheet line items,
refer to note 26 for further detail.
The Group has provided security in respect of certain borrowings in the form
of share pledges, as well as fixed and floating charges over certain assets of
the Group.
At 30 June 2025, the Group holds $2.625 billion in aggregate principal amount
of senior secured notes, issued in four series as follows:
· $625 million, issued on 24 March 2021, maturing on 30 March 2026,
with a fixed annual interest rate of 4.875%.
· $625 million, issued on 24 March 2021, maturing on 30 March 2028,
with a fixed annual interest rate of 5.375%.
· $625 million, issued on 24 March 2021, maturing on 30 March 2031,
with a fixed annual interest rate of 5.875%.
· $750 million, issued on 11 July 2023, maturing on 30 September
2033, with a fixed annual interest rate of 8.5%.
The interest on each series is paid semi-annually on 30 March and 30
September. The notes are listed for trading on the TACT Institutional of the
Tel Aviv Stock Exchange Ltd (TASE), and the TASE-UP for the 2023 issuance.
Additionally, the Group issued $450 million in senior secured notes on 18
November 2021, maturing on 30 April 2027 with a fixed annual interest rate of
6.5%. These notes are listed on the Official List of the International Stock
Exchange (TISE), with interest paid semi-annually on 30 April and 30 October.
Energean Oil and Gas SA entered into a loan agreement on 27 December 2021 with
Black Sea Trade and Development Bank for €90.5 million for the development
of the Epsilon Oil Field, with an interest rate of EURIBOR plus margins, and
another agreement with the Greek State for €9.5 million maturing in 8 years
with a fixed rate plus margin.
The Group has provided various collateral, including fixed charges over
shares, leases, sales agreements, bank accounts, operating permits, insurance
policies, exploration licenses, and the Energean Power FPSO. Floating charges
cover present and future assets of relevant subsidiaries.
In February 2025, the Group signed a 10 year, senior-secured term loan with
Bank Leumi as the Facility Agent and Arranger for $750 million. The term loan
will be available to refinance the 2026 Energean Israel Limited Notes and to
provide additional liquidity for the Katlan development. It has a 12-month
availability period, during which multiple drawdowns can be made, providing
flexibility to optimise finance costs. Up to $475 million is available in US
dollars and up to $275 million is available in New Israeli Shekel. The
interest rate for the loan is floating. The term loan is secured on the assets
of Energean Israel, pari passu with the Energean Israel Limited notes,
non-recourse to Energean and has a bullet repayment in 2035. $75 million has
been withdrawn by the Group on 30 June 2025 under this loan agreement.
Finally, the Group signed a three-year $275 million Revolving Credit Facility
(RCF) on 8 September 2022, increased to $300 million in May 2023, led by ING
Bank N.V. The RCF provides additional liquidity for corporate needs, including
for issuing LCs for decommissioning in the UK, with an interest rate on loans
of 5% plus SOFR on drawn amounts. $154 million was drawn by way of Letters of
Credit and $133 million was drawn by way of loans on 30 June 2025. $93 million
were subsequently repaid in July 2025.
In March 2025, the Group signed new documentation to extend $300 million
Revolving Credit Facility by three years until September 2028. The loan
extension was conditional upon certain precedents, all of which were satisfied
in August 2025.
In April 2025 the Group also obtained a $125 million one - year unsecured loan
from a third party. It is subject to SOFR + 3.95% interest charge. It has been
fully drawn down during the reporting period.
Capital management
The Group defines capital as the total equity and net debt of the Group.
Capital is managed in order to provide returns for shareholders and benefits
to stakeholders and to safeguard the Group's ability to continue as a going
concern.
Energean is not subject to any externally imposed capital requirements. To
maintain or adjust the capital structure, the Group may put in place new debt
facilities, issue new shares for cash, repay debt, engage in active portfolio
management, adjust the dividend payment to shareholders, or undertake other
such restructuring activities as appropriate.
30 June 2025 (Unaudited) 31 December 2024 (Restated*)
$'000 $'000
Net Debt
Current borrowings 880,046 128,000
Non-current borrowings 2,607,183 3,141,904
Total borrowings 3,487,229 3,269,904
Less: Cash and cash equivalents (400,650) (235,270)
Restricted cash (86,589) (85,377)
Net Debt 2,999,990 2,949,257
Total equity 646,556 577,465
* Restated for restated to classify the assets and liabilities previously
classified as held for sale back to their original balance sheet line items,
refer to note 26 for further detail.
Reconciliation of liabilities arising from financing activities
1 January 2025 (Restated*) Cash inflows Cash outflows Reclassification Additions Lease modification Borrowing costs including amortisation of arrangement fees Foreign exchange impact 30 June 2025 (Unaudited)
$'000 $'000 $'000 $'000 $'000 $'000 $'000 $'000 Fair value changes $'000
2025 3,425,762 238,000 (161,114) (1,644) 353 (23,913) 116,781 22,135 (837) 3,615,523
Secured Senior Notes 3,040,010 75,000 (107,194) (624,856) 102,595 6,333 - 2,491,888
Current Borrowings: Convertible loan notes - - - - - - - - - -
Revolving credit facility 128,000 38,000 (39,121) 401 5,720 - 133,000
Other current borrowings - 125,000 (1,527) (314) 668 123,827
Long - term borrowings 101,895 - (4,081) 279 - - 3,857 13,345 - 115,295
Current portion of long-term borrowings - - - 623,219 - - - - - 623,219
Lease liabilities 57,942 - (9,191) (373) 353 (23,913) 1,181 2,457 (837) 27,619
Deferred consideration 97,915 - - - - 2,760 - - 100,675
* Restated for restated to classify the assets and liabilities previously
classified as held for sale back to their original balance sheet line items,
refer to note 26 for further detail.
21. Retirement benefit liability
21.1 Provision for retirement benefits
30 June 2025 (Unaudited) 31 December 2024 (Restated*)
$'000 $'000
Defined benefit obligation 1,789 1,551
Provision for retirement benefits recognised 1,789 1,551
Allocated as:
Non-current portion 1,789 1,551
* Restated for restated to classify the assets and liabilities previously
classified as held for sale back to their original balance sheet line items,
refer to note 26 for further detail.
21.2 Defined benefit obligation
30 June 2025 (Unaudited) 31 December 2024 (Restated*)
$'000 $'000
At 1 January 1,551 1,595
Current service cost 67 109
Interest cost 24 51
Extra payments or expenses 1 19
Actuarial gains from changes in financial assumptions 0 114
Benefits paid (56) (239)
Exchange differences 202 (98)
At 30 June / 31 December 1,789 1,551
* Restated for discontinued operations reclassified to continuing operations,
refer to note 26 for further detail.
22. Provisions
Decommissioning provision Litigation and other provisions Total
$'000 $'000 $'000
At 1 January 2025 (Restated*) 810,659 7,637 818,296
Additions (note 26) - 50,000 50,000
Change in estimates 20,506 (829) 19,677
Recognised in property, plant and equipment 16,579 - 16,579
Recognised in operating profit 3,927 (829) 3,098
Spend (3,718) - (3,718)
Reclassification (26,959) - (26,959)
Unwinding of discount 18,295 - 18,295
Currency translation adjustment 86,434 973 87,407
At 30 June 2025 (Unaudited) 905,217 57,781 962,998
Current provisions 97,531 52,005 149,536
Non-current provisions 807,686 5,776 813,462
* Restated for restated to classify the assets and liabilities previously
classified as held for sale back to their original balance sheet line items,
refer to note 26 for further detail.
Decommissioning provision:
The decommissioning provision represents the present value of decommissioning
costs relating to oil and gas properties, which are expected to be incurred up
to 2045, when the producing oil and gas properties are expected to cease
operations. The increase in the estimate is primarily due to changes in the
discount rate and inflation assumptions as of 30 June 2025 and utilisation of
provision during the reporting period.
The key assumptions underpinning the estimated decommissioning provision are
as follows:
Inflation Discount rate Cessation of Spend in 2025 30 June 31 December 2024
assumption assumption production $'000 2025 (Unaudited) $'000
30 June 2025 30 June 2025 assumption $'000
Greece 2.04% - 2.00% 3.59% 2045 - 16,311 12,966
UK 2.27% 4.24% 2030 3,718 211,961 193,972
Israel(36) 2.17% - 2.70% 4.78% 2044 - 87,595 85,357
Italy 2.00% - 2.82% 3.91% 2025 - 2038 - 564,513 496,984
Croatia 2.00% - 2.82% 3.91% 2025 - 24,837 21,380
Total 3,718 905,217 810,659
(36)US inflation rate and US Bond rates have been used.
23. Trade and other payables
30 June 2025 (Unaudited) 31 December 2024 (Restated*)
$'000 $'000
Trade and other payables, current
Financial items:
Trade accounts payable 321,624 255,495
Payables to partners under JOA(37) 214,059 240,876
Other payables(39) 62,742 84,973
Accrued expenses 101,690 91,759
Deferred consideration 100,000 97,915
Short term lease liability 10,457 16,370
Deferred income(38) 107,210 -
VAT payable 3,197 4,228
920,979 791,616
Non-financial items:
Other finance costs accrued 53,008 51,460
Social insurance and other taxes 5,702 4,729
58,710 56,189
979,689 847,805
* Restated for restated to classify the assets and liabilities previously
classified as held for sale back to their original balance sheet line items,
refer to note 26 for further detail.
( )
(37) Payables to partners under the JOA include both payables and working
capital estimates provided by the operators.
(38) Deferred income mainly comprises 'take-or-pay' payments received in
Israel ($5.5 million) and an advance prepayment in Italy ($100 million).
(39) Other payables primarily consist of royalties accrued in Israel (H1 2025:
$25 million, H1 2024: $41 million) and in Italy (H1 2025: $35 million, H1
2024: $20 million).
24. Other non-current liabilities
30 June 2025 (Unaudited) 31 December 2024 (Restated*)
$'000 $'000
Other non-current liabilities
Financial items:
Trade and other payables(40) 49,134 80,020
Long term lease liability 17,162 41,572
66,296 121,592
Non-financial items:
Social insurance 193 792
193 792
66,489 122,384
* Restated for restated to classify the assets and liabilities previously
classified as held for sale back to their original balance sheet line items,
refer to note 26 for further detail.
( )
(40) The amount represents a long-term amount payable in terms of the EPCIC
contract. Following the amendment to the terms of the deferred payment
agreement with Technip signed in February 2024 the remaining amount payable
under the EPCIC contract reduced to $210 million. The amount is payable in
twelve equal quarterly deferred payments starting in March and therefore has
been discounted at 8.668%. p.a. (being the yield rate of the senior secured
loan notes, maturing in 2026, at the date of agreeing the payment terms). As
of 30 June 2025, six instalments have been paid.
25. Share based payments
Analysis of share-based payment charge:
30 June (Unaudited)
2025 2024 (Restated)*
$'000 $'000
Energean Deferred Bonus Plan (DSBP) 822 1,083
Energean Long Term Incentive Plans (LTIP) 2,856 3,027
Total share-based payment charge 3,678 4,110
Expensed as administration expenses 3,678 4,110
Total share-based payment charge 3,678 4,110
* Restated for restated to classify the assets and liabilities previously
classified as held for sale back to their original balance sheet line items,
refer to note 26 for further detail.
Energean Long Term Incentive Plan (LTIP)
Under the Energean plc's 2018 LTIP rules, senior executives may be granted
conditional awards of shares or nil cost options. Nil cost options are
normally exercisable from three to ten years following grant provided an
individual remains in employment. Awards are subject to performance conditions
(including Total Shareholder Return (TSR) normally measured over a period of
three years. Vesting of awards or exercise of nil cost options is generally
subject to an individual remaining in employment except in certain
circumstances such as good leaver and change of control. Awards may be subject
to a holding period following vesting. No dividends are paid over the vesting
period; however, Energean's Board may decide at any time prior to the issue or
transfer of the shares in respect of which an award is released that the
participant will receive an amount (in cash and/or additional shares) equal in
value to any dividends that would have been paid on those shares on such terms
and over such period (ending no later than the Release Date) as the Board may
determine. This amount may assume the reinvestment of dividends (on such basis
as the Board may determine) and may exclude or include special dividends.
The weighted average remaining contractual life for LTIP awards outstanding at
30 June 2025 was 1.5 years, number of shares outstanding 2,311,256 and
weighted average price of $13.63.
Deferred Share Bonus Plan (DSBP)
Under the DSBP, a portion of any annual bonus of a Senior Executive nominated
by the Remuneration & Talent Committee, may be deferred into shares.
Deferred awards are usually granted in the form of conditional share awards or
nil-cost options (or, exceptionally, as cash-settled equivalents). Deferred
awards usually vest two years after award although may vest early on leaving
employment or on a change of control.
The weighted average remaining contractual life for DSBP awards outstanding at
30 June 2025 was 1.24 years, number of shares outstanding 330,917 and weighted
average price of $13.01.
26. Discontinued operations
On 19 June 2024, the Company entered into a binding sale and purchase
agreement for the sale of its portfolio in Egypt, Italy and Croatia
(together referred to as "Energean Capital Limited Group", "ECL" or "ECL
Group"), to an entity controlled by Carlyle International Energy Partners
(the "Transaction") (the "SPA"). The sale of ECL was expected to be completed
within 12 months.
At 30 June 2024, ECL Group was classified as a disposal group held for sale
("HFS") and as a discontinued operation. The business of ECL Group represented
the entirety of the Group's Egypt operating segment until 20 June 2024. With
ECL being classified as discontinued operations, the Egypt segment was no
longer presented in the segment note. ECL operations in Italy and Croatia were
previously included in the Group's Europe operating segment, they were no
longer presented within this segment.
Completion of the Transaction was conditional upon customary regulatory
approvals in Italy and Egypt together with antitrust approvals in Italy, Egypt
and Common Market for Eastern and Southern Africa, to be satisfied by a
longstop date of 20 March 2025. As of the longstop date, certain regulatory
approvals in Italy and Egypt were not obtained by Carlyle (or waived), in
accordance with the terms of the SPA. Additionally, the Company was not able
to reach agreement with Carlyle to extend the longstop date beyond 20 March
2025. Accordingly, on 21 March 2025, the Company terminated the SPA.
Subsequently, on 25 April 2025, the Company drew the amount of $50 million
under the letter of credit for payment of the Non-Completion Payable pursuant
to the terms of the SPA. The Company fully provided for it on receipt.
Following the cessation of "held for sale" classification, the measurement of
ECL reverted to the basis that would have applied had the classification never
occurred (being lower than the recoverable amount). This resulted in a
catch-up depreciation charge, recognised for the period from the original date
of classification, together with the related deferred tax adjustment. To
ensure consistency in presentation and measurement, the comparative financial
information has been restated as if ECL had never met the criteria to be
classified as held for sale.
ECL results previously presented in discontinued operations are reclassified
and included in income from continuing operations for all periods presented.
The amounts for six months ended 30 June 2024 have been re-presented.
The amounts presented for the assets and liabilities of disposal groups
classified as held for sale in the comparative statement of financial position
have been also restated accordingly. Each of the affected financial
statement line items has been restated and the impact is summarised in the
following table:
31 December 2024 Adjustments 31 December 2024 (Restated*)
(As previously reported)
$'000 $'000 $'000
Non-current assets
Other property, plant and equipment 3,378,752 1,136,607 4,515,359
Other intangible assets & goodwill 185,310 31,068 216,378
Equity-accounted investments - 4 4
Other receivables 32,973 479 33,452
Deferred tax asset 128,368 125,696 254,064
Restricted cash 2,950 - 2,950
3,728,353 1,293,854 5,022,207
Current assets
Inventories 29,233 72,615 101,848
Trade and other receivables 132,454 289,794 422,248
Restricted cash 82,427 - 82,427
Cash and cash equivalents 182,251 53,019 235,270
Assets held for sale 1,769,906 (1,769,906) -
2,196,271 (1,354,478) 841,793
Total assets 5,924,624 (60,624) 5,864,000
Non-Current Liabilities
Borrowings 3,141,904 - 3,141,904
Deferred tax liability 141,403 - 141,403
Retirement benefit liability 518 1,033 1,551
Provisions 234,035 487,981 722,016
Other payables 89,283 33,101 122,384
3,607,143 522,115 4,129,258
Current Liabilities
Trade and other payables 335,841 511,964 847,805
Borrowings 128,000 - 128,000
Current tax liability 81,034 3,813 84,847
Derivative financial instruments 345 - 345
Provisions 58,260 38,020 96,280
Liabilities held for sale 1,075,912 (1,075,912) -
1,679,392 (522,115) 1,157,277
Total Liabilities 5,286,535 - 5,286,535
27. Related parties
Balances and transactions between the Company and its subsidiaries, which are
related parties, have been eliminated upon consolidation and are not disclosed
in this note.
There have been no significant changes to related party transactions since 31
December 2024, refer to note 28 in the 2024 Annual Report and Accounts for
more information.
28. Commitments and contingencies
In acquiring its oil and gas interests, the Group has pledged that various
work programmes will be undertaken on each permit/interest. The exploration
and development capital commitments in the following table are an estimate of
the net cost to the Group of performing these work programmes:
30 June 2025 (Unaudited) 31 December 2024 (Restated*)
$'000 $'000
Capital Commitments:
Due within one year 34,990 51,030
Due later than one year but within two years 4,625 2,072
Due later two years but within five years - -
39,615 53,102
* Restated for restated to classify the assets and liabilities previously
classified as held for sale back to their original balance sheet line items,
refer to note 26 for further detail.
As of 30 June 2025, $1.8 million of capital commitments is towards Governments
(31 December 2024 (Restated): $2.0 million). An amount of $37.8 million (31
December 2024 (Restated): $51.1 million) pertains to $10.8 million of capital
commitments with partners based on future work programs for the development of
the Scott field in the United Kingdom ((31 December 2024: $3.0 million) and
$27.0 million in Italy (31 December 2024: $43.0 million).
30 June 2025 (Unaudited) 31 December 2024 (Restated *)
Performance guarantees:
Greece 1,138 1,009
Israel 52,076 50,629
UK 141,356 134,056
Morocco 375 375
Egypt 6,000 6,000
Italy 12,285 22,710
213,230 214,779
*Restated for discontinued operations reclassified to continuing operations,
refer to note 26 for further detail.
Open guarantees at 30 June 2025:
· Karish and Tanin Leases ($25 million) - As required by the Karish
and Tanin Lease deeds, the Group provided the Ministry of National
Infrastructures, Energy, and Water with bank guarantees for each lease. These
guarantees were renewed in June 2025 and are valid until June 2026.
· Blocks 23 and 31 ($13 million) - To meet the conditions for
obtaining exploration and appraisal licenses, the Group provided the Ministry
of National Infrastructures, Energy, and Water with bank guarantees totalling
$13 million in June 2025, covering all mentioned blocks. They are valid until
June 2026.
· Katlan lease ($10 million) - As required by the Katlan Lease
deeds, the Group provided the Ministry of National Infrastructures, Energy,
and Water with bank guarantee. This guarantee was issued in June 2025 and are
valid until January 2029.
· Israel Other ($4 million) - The Group has provided various bank
guarantees to third parties in Israel as part of ongoing operations.
· United Kingdom ($141 million) - The Group has issued letters of
credit for United Kingdom decommissioning obligations and other obligations
under the United Kingdom licenses.
· Greece ($1 million) - The Group issued letters of credit to cover
exploration obligations under the Prinos license and in regard to its gas and
electricity contracts in Greece.
· Egypt ($6 million) - The total capital commitments in Egypt
amounted to $6.0 million, with $4.2 million already spent as of 30 June 2025.
The Group is awaiting clearance from EGPC, which is expected upon the
completion of all commitments.
· Morocco ($0.4 million) - Following the sale of Lixus and Risanna
licences, the guarantee was to be replaced by a new one issued by Chariot
Limited within 60 days of the transaction completion, which occurred on 22
August 2025.
· Italy ($12 million) - The Group has issued guarantees primarily
in favour of port authorities and counterparties in Italy to secure concession
rights, field-related obligations, lease commitments and certain service
contracts.
Legal cases and contingent liabilities:
The Group had no material contingent liabilities as at 30 June 2025 (31
December 2024: nil).
29. Subsidiary undertakings
At 30 June 2025, the Group had investments in the following subsidiaries:
Name of subsidiary Country of incorporation / registered office Principal activities Shareholding Shareholding
At 30 June 2025
At 31 December 2024
(%)
(%)
Energean E&P Holdings Ltd. 22 Lefkonos Street, 2064 Nicosia, Cyprus Holding Company 100 100
Energean Capital Ltd. 22 Lefkonos Street, 2064 Nicosia, Cyprus Holding Company 100 100
Energean Group Services Ltd. 44 Baker Street, London W1U 7AL, United Kingdom Oil and gas exploration, development and production 100 100
Energean Oil & Gas S.A. 32 Kifissias Avenue, Marousi Athens, 151 25, Greece Oil and gas exploration, development and production 100 100
Energean International Ltd. 22 Lefkonos Street, 2064 Nicosia, Cyprus Oil and gas exploration, development and production 100 100
Energean Israel Ltd. 22 Lefkonos Street, 2064 Nicosia, Cyprus Oil and gas exploration, development and production 100 100
Energean Montenegro Ltd. 22 Lefkonos Street, 2064 Nicosia, Cyprus Oil and gas exploration, development and production 100 100
Energean Israel Transmission Ltd. Andre Sakharov 9, Haifa, Israel Gas transportation license holder 100 100
Energean Israel Finance Ltd. Andre Sakharov 9, Haifa, Israel Financing activities 100 100
Energean Egypt Ltd. 22 Lefkonos Street, 2064 Nicosia, Cyprus Oil and gas exploration, development and production 100 100
Energean Hellas Ltd. 22 Lefkonos Street, 2064 Nicosia, Cyprus Oil and gas exploration, development and production 100 100
Energean Italy S.p.a. 31 Foro Buonaparte, 20121 Milano, Italy Oil and gas exploration, development and production 100 100
Energean Sicilia S.r.l. Via Salvatore Quasimodo 2 - 97100 Ragusa (Ragusa) Oil and gas exploration, development and production 100 100
Energean Exploration Ltd. 44 Baker Street, London W1U 7AL, United Kingdom Oil and gas exploration, development and production 100 100
Energean UK Ltd. 44 Baker Street, London W1U 7AL, United Kingdom Oil and gas exploration, development and production 100 100
Energean Egypt Energy Services JSC Block #17, City Center, 5th Settlement, New Cairo, 11835, Egypt Oil and gas exploration, development and production 100 100
Energean Investments Ltd. 44 Baker Street, London W1U 7AL, United Kingdom Oil and gas exploration, development and production 100 100
Energean Morocco Ltd. 44 Baker Street, London W1U 7AL, United Kingdom Oil and gas exploration, development and production 0 100
Enearth Limited 22 Lefkonos Street, 2064 Nicosia, Cyprus Holding Company 100 100
Enearth Greece S.A. 32 Kifissias Avenue, Marousi Athens, 151 25, Greece Carbon Capture Storage 100 100
30. Exploration, development and production interests
Development and production:
Country Licence/unit area Fields Fiscal regime Group's working interest Joint operation Operator
Israel
Karish Karish North, Karish Main Concession 100% No NA
Tanin Tanin Concession 100% No NA
Katlan Katlan Concession 100% No NA
Egypt
Abu Qir Abu Qir, Abu Qir North, Abu Qir West, Yazzi (32.75%) PSC 100% No NA
NEA Yazzi (67.25%), Python PSC 100% No NA
NI Field A (NI-1X), Field B (NI-3X), NI-2X, Viper (NI-4X) PSC 100% No NA
Greece
Prinos Prinos, Epsilon Concession 100% No NA
South Kavala Concession 100% No NA
Katakolo Katakolo (undeveloped) Concession 100% No NA
Italy
C.C6.EO Vega A (Vega B, undeveloped) Concession 100%(( 16 (#_ftn16) )) Yes Energean
B.C8.LF Rospo Mare Concession 100%(( 17 (#_ftn17) )) Yes Energean
Fiume tenna Verdicchio Concession 100% No Energean
B.C7.LF Sarago, cozza, vongola Concession 95% Yes Energean
B.C11.AS GIANNA Gianna (undeveloped) Concession 49% Yes ENI
Garaguso Accettura Concession 50% Yes Energean
A.c14.AS Rosanna and Gaia Concession 50% Yes ENI
A.C15.AX Valentina, Raffaella, Emanuela, Melania Concession 10% Yes ENI
A.c16.AG Delia, Demetra, Sara, Dacia, Nicoletta Concession 30% Yes ENI
A.C8.ME Anemone and Azelea 18 (#_ftn18) Concession 19% and 15.675% Yes ENI
Masseria Monaco Appia and Salacaro (undeveloped) Concession 50% Yes Energean
G.C1.AG Cassiopea , Gemini, Centauro Concession 40% Yes ENI
B.C14.AS Calipso and Clara West Concession 49% Yes ENI
B.C20.AS Carlo, Clotilde e Didone (undeveloped) Concession 49% Yes ENI
Montignano Cassiano and Castellaro Concession 50% Yes Energean
B.C13.AS Clara Est, Clara Nord, Clara NW, (Cecilia undeveloped) Concession 49% Yes ENI
Comiso (EIS) Comiso Concession 100% No NA
A.c13.AS Daria, ( Manuela ,Arabella, Ramona undeveloped) Concession 49% Yes ENI
B.C10.AS Emma West and Giovanna Concession 49% Yes ENI
A.C36.AG Fauzia Concession 40% Yes ENI
Torrente menocchia Grottammare (undeveloped) Concession 76% Yes Petrorep
Montegranaro Leoni Concession 50% Yes Gas Plus
Lucera Lucera Concession 4.8% Yes GPI
Monte Urano San Lorenzo Concession 40% Yes Energean
A.C21.AG Naide Concession 49% Yes ENI
Colle di lauro Portocannone Concession 83.32% Yes Energean
Porto civitanova Porto civitanova Concession 40% Yes GPI
Quarto Quarto Concession 33% Yes Padana Energia
A.C17.AG Regina Concession 25% Yes ENI
S. Andrea Concession 50% Yes Canoel
B.C2.LF San Giorgio Mare Concession 100% Yes Energean
San Marco San Marco Concession 20% No ENI
B.C1.LF Santo Stefano Concession 95% Yes Energean
Mafalda Sinarca Concession 40% Yes Gas Plus
B.C9.AS Squalo Centrale Concession 33% Yes ENI
Massignano Talamonti Concession 50% Yes Energean
Masseria Grottavecchia Traetta Concession 14% Yes Canoel
S. Anna (EIS) Tresauro Concession 25% Yes Enimed
Torrente Celone Vigna Nocelli (Masseria Conca undeveloped) Concession 50% Yes Rockhopper Italia
UK
Tors Garrow, Kilmar Concession 68% Yes Energean
Markham 19 (#_ftn19) Concession 3% Yes Spirit Energy
Scott Concession 10% Yes CNOOC
Telford Concession 16% Yes CNOOC
Wenlock Concession 80% Yes Energean
Croatia
Izabela PSC 70% No NA
Exploration:
Country Concession Fields Fiscal regime Group's working interest Joint operation Operator
Israel
Blocks 12, 21, 23, 31 20 (#_ftn20) Hermes and Hercules Concession 100% No N/A
Egypt
East North Bir El Nus PSC 50% Yes Energean
Greece
Block-2 Concession 75% Yes Energean
Prinos Prinos CO2 Storage Concession 100% No N/A
Italy
G.R13.AG Lince prospect Concession 40% Yes ENI
G.R.14.AG Panda, Vela prospect Concession 40% Yes ENI
Croatia
Irena PSC 70% No NA
Morocco (sold on 12 May 2025, refer to note 11)
Anchois Lixus Concession 45% No NA
Anchois Rissana Concession 37.5% No NA
1 (#_ftnref1) As described in the Basis of preparation note to the condensed
consolidated interim financial statements (note 2), the business previously
classified as discontinued operation was reclassified to continuing operations
and the comparative financial information has been restated as if that
business had never met the criteria to be classified as held for sale.
2 (#_ftnref2) Cash cost of production is defined later in the financial
review.
3 (#_ftnref3) Cash G&A is defined later in the financial review.
4 (#_ftnref4) Adjusted EBITDAX is defined later in the financial review.
Energean uses adjusted EBITDAX as a core business KPI.
5 (#_ftnref5) The leverage ratio is calculated using annualised Adjusted
EBITDAX based on actual H1 2025 performance.
6 (#_ftnref6) Subject to the issuance of an export permit by the Petroleum
Commissioner and compliance with any governmental export policy.
7 (#_ftnref7) Payment date is stated as the date upon which payment is
initiated by Energean.
8 (#_ftnref8) Uptime is defined as the number of hours that the Energean
Power FPSO was operating.
9 (#_ftnref9) Dalia binding term sheet over ~18 years and Kesem GSPA over
~17 years.
10 (#_ftnref10) Summer months defined as between June to September.
11 (#_ftnref11) Subject to the issuance of an export permit by the Petroleum
Commissioner and compliance with any governmental export policy.
12 (#_ftnref12) As per the existing regulations as of the date of this
release.
13 (#_ftnref13) Total Vega West 2C volumes are 33 mmbbl per the YE24 D&M
CPR. 10 mmbbl first phase volumes, as included in the submitted work programme
amendment, are internal management estimates.
14 (#_ftnref14) The Group's portfolio in Egypt, Italy, and Croatia is
collectively referred to as 'Energean Capital Limited Group' (ECL).
15 (#_ftnref15) Inclusive of restricted cash
16 (#_ftnref16) Energean has agreed with ENI to acquire the latter's WI and
the request is pending approval from the Italian authorities. However by
means of an agreement between ENI and Energean Italy all the production and
cost are retained by Energean from 1 January 2021 and, according to the JOA,
the decommissioning costs will be borne by both parties according to their
initial WI (Energean 60%, ENI 40%).
17 (#_ftnref17) Energean has requested from the operator to exit the
licence.
18 (#_ftnref18) Energean has requested from the operator to exit the
licence.
19 (#_ftnref19) License was relinquished on 19 July 2025.
20 (#_ftnref20) In January 2025 the licences for Blocks 23 and 31 were
extended until 13 January 2027. The licence for Block 21 was not extended and
expired on 13 January 2025.
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