REG - Ithaca Energy PLC Delek Group - DLEKG - Dividend Declaration and Trading Update

Ithaca EnergyAnnouncement

16/02/2023 12:30

For best results when printing this announcement, please click on link below:
http://newsfile.refinitiv.com/getnewsfile/v1/story?guid=urn:newsml:reuters.com:20230216:nRSP1843Qa&default-theme=true

RNS Number : 1843Q  Ithaca Energy PLC  16 February 2023

Press release

16 February 2023

 

Ithaca Energy plc ("Ithaca Energy" or the "Group")

 

FY'22 Trading Update and Announcement of Interim Dividend

FY 2022 Trading Update

The Group provides the following unaudited trading update for the year ended
31 December 2022, ahead of announcing its Full Year Results on 29 March 2023.

·    Increased 2022 production of 71.4 kboepd (2021: 56.5 kboepd)
reflecting the Group's strong operational efficiency and transactions
completed in the year, including the acquisition of Marubeni Oil & Gas UK
Limited in Q1 2022 and Summit Exploration and Production Limited and Siccar
Point Energy (Holdings) Limited in Q2 2022. The Group achieved an estimated
average production for Q4 2022 of 80.8 kboe/d, ahead of management guidance of
77-80 kboe/d

·    Q4 2022 estimated net opex 1  (#_ftn1) of $137 million, toward the
lower end of management guidance of $130 to $150 million

·    Estimated 2022 net unit opex costs 2  (#_ftn2) of $19/boe (2021:
$18/boe) substantially driven by higher cost of fuel gas and diesel

·    Estimated 2022 net capex 3  (#_ftn3) of $416 million (2021: $188
million) reflecting investment activity across the asset base including the
Captain EOR Phase II development; well-work at Erskine and Alba; appraisal
drilling at Isabella; and a development drilling campaign at Jade

·    Q4 2022 estimated net capex3 of $119 million, in-line with management
guidance of $100-$120 million

Interim Dividend Announcement

As outlined in the IPO Prospectus, Ithaca Energy expects to pay a total
dividend for FY 2023 of $400 million 4  (#_ftn4) , with an initial interim
dividend payable in the first quarter of 2023. In line with that expectation,
the Group is pleased to announce an initial interim dividend of $133 million,
representing $0.1321 per ordinary share. The initial interim dividend will be
paid on 9 March 2023 to shareholders on the share register on 24 February
2023. The initial interim dividend is expected to be followed by two further
dividend payments relating to 2023, following the first half of the financial
year and end of the financial year.

The dividend is payable in cash in Sterling to holders of the ordinary shares.
Sterling dividends payable will be converted from US dollars at an average of
the market exchange rate over the three dealing days between 22 and 24
February 2023. Accordingly, the Group will confirm the foreign exchange rate
and the amount of the Sterling dividend payable in pence per share on Monday
27 February 2023.

 

 

 

Enquiries

 

 Ithaca Energy
 Kathryn Reid - Head of Investor Relations, Corporate Affairs &      kathryn.reid@ithacaenergy.com (mailto:kathryn.reid@ithacaenergy.com)
 Communications

 FTI Consulting (PR Advisers to Ithaca Energy)                       +44 (0)203 727 1000
 Ben Brewerton / Nick Hennis                                         ithaca@fticonsulting.com (mailto:ithaca@fticonsulting.com)

 

About Ithaca Energy plc

 

Ithaca Energy is a leading UK independent exploration and production company
focused on the UK North Sea with a strong track record of material value
creation. In recent years, the Company has been focused on growing its
portfolio of assets through both organic investment programmes and
acquisitions and has seen a period of significant M&A driven growth
centred upon two transformational acquisitions in recent years. Today, Ithaca
Energy is one of the largest independent oil and gas companies in the United
Kingdom Continental Shelf (the "UKCS"), ranking second by resources.

 

With stakes in six of the ten largest fields in the UKCS and two of UKCS's
largest pre-development fields, and with energy security currently being a key
focus of the UK Government, the Group believes it can utilise its significant
reserves and operational capabilities to play a key role in delivering
security of domestic energy supply from the UKCS.

 

Ithaca Energy serves today's needs for domestic energy through operating
sustainably. The Group achieves this by harnessing Ithaca Energy's deep
operational expertise and innovative minds to collectively challenge the norm,
continually seeking better ways to meet evolving demands.

 

Ithaca Energy's commitment to delivering attractive and sustainable returns is
supported by a well-defined emissions-reduction strategy with a target of
achieving net zero by 2040.

 

Ithaca Energy plc was admitted to trading on the London Stock Exchange (LON:
ITH) on 14 November 2022.

 

-ENDS-

 

 1  (#_ftnref1) Subject to audit and defined as "operating costs (excluding
over/underlift) including tariff expense, less tariff income and tanker costs"

 2  (#_ftnref2) Subject to audit and defined as "operating costs (excluding
over/underlift) including tariff expense, less tariff income and tanker costs,
divided by net total production for the respective period."

 3  (#_ftnref3) Subject to audit

 4  (#_ftnref4) subject to RBL liquidity test, HY Bond restrictions and other
customary restrictions

This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact
rns@lseg.com (mailto:rns@lseg.com)
 or visit
www.rns.com (http://www.rns.com/)
.

RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our
Privacy Policy (https://www.lseg.com/privacy-and-cookie-policy)
.   END  DIVBDGDDDDBDGXL