REG - Pharos Energy PLC - 2025 AGM Trading and Operations Update

Pharos EnergyAnnouncement

15/05/2025 07:00

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RNS Number : 7328I  Pharos Energy PLC  15 May 2025

Pharos Energy plc

("Pharos" or the "Company" or, together with its subsidiaries, the "Group")

2025 AGM Trading and Operations Update

Pharos Energy plc, an independent energy company with assets in Vietnam and
Egypt, provides the following Trading and Operations Update ahead of the
Company's annual general meeting (AGM) on 22 May 2025 at 14.00 (BST). The
information contained herein has not been audited and may be subject to
further review and amendment.

 

Katherine Roe, Chief Executive Officer, commented:

 

"We have had a strong start to 2025, with production on track and solid free
cash flow generation, underpinned by our high-quality asset base, debt-free
position, and continued financial discipline. In Vietnam, our business remains
robust with a low breakeven oil price, and we see significant potential for
growth in production. Following the approval of the TGT and CNV licence
extensions in December 2024, preparations are now well underway for the
drilling of TGT and CNV appraisal wells. With the recent securing of rig
contracts, we are progressing with our priority of appraising important new
areas of our two fields to drive further growth and value from our producing
assets.

 

"In Egypt, we are making steady progress across our self-funded assets and are
focused on completing the concession consolidation negotiations as soon as
possible following the signing of an MOU with EGPC in February 2025 and recent
positive traction.

 

"We remain committed to our strategic priority to deliver growth, scale and
attractive returns to shareholders, and believe the steps we are taking will
drive meaningful production growth in 2026 and beyond."

 

Highlights
 

·      Group working interest production for the four months ended 30
April 2025 was 5,757 boepd net, in line with Group working interest 2025
production guidance of 5,000 - 6,200 boepd:

o  Vietnam 4,216 boepd. Vietnam 2025 production guidance 3,600 - 4,600 boepd
net

o  Egypt 1,541 bopd. Egypt 2025 production guidance 1,400 - 1,600 bopd

·      Vietnam:

o  TGT: Preparations underway with the recent securing of rig contracts to
drill the appraisal well 18X, targeting the block's western area, and three
infill wells expected to commence in 4Q

o  CNV: Planning continues for the drilling of one appraisal well 5X,
unlocking the northern part of the field, and one infill well expected to
commence in 4Q

o  3D seismic reprocessing on both assets continues, expected completion in
3Q

o  Blocks 125 & 126: Application submitted for a two-year PSC exploration
phase extension in February, now well advanced; active engagement in seeking a
farm-out partner continues

·      Egypt:

o  El Fayum: Application for a new development lease submitted to EGPC in May
following the commercial discovery made by the exploration commitment well in
February. Planning underway to commence two-well drilling programme in 2H

o  North Beni Suef (NBS): Ongoing processing of 3D seismic data expected to
complete in 3Q, with mapping and interpretation to follow

o  Discussions with EGPC continue to progress positively following the
signing of the MOU in February 2025 in relation to the proposed consolidation
of the El Fayum and NBS concessions, with all parties committed to concluding
negotiations as soon as possible

·      Group revenue for January to April 2025 c.$45m

·      Cash balances as at 30 April 2025 c.$22m; continued debt free
position

·      Egypt receivable balance $31.7m, having received $4.9m in the
four months to 30 April 2025

·      Forecast full year cash capex for the Group is narrowed to
between $33m and c.$40m with an additional c.$17m expected to fall into early
2026. The timing of the work programme is dependent upon drilling schedules in
Vietnam and the approval of a consolidated concession agreement in Egypt

·      Approximately 12% of the Group's 2025 forecast production from
June to December 2025 hedged, securing floor and ceiling prices at $63.3/bbl
and $83.6/bbl, respectively

·      The Board continues to consider and review additional
opportunities to expand on the current asset base that can build scale and
generate additional returns for shareholders

 

 

 

 

Glossary of Terms

 

CNV

Ca Ngu Vang field located in Block 9-2, Vietnam

Company

Pharos Energy plc

EGPC

Egyptian General Petroleum Corporation, an Egyptian state oil and gas company
and the industry regulator

Group

Pharos and its direct and indirect subsidiary undertakings

MOU

Memorandum of Understanding

PSC

Production sharing contract or production sharing agreement

TGT

Te Giac Trang field located in Block 16-1, Vietnam

 

 

 

 

 

Enquiries

 

Pharos Energy plc
 
Tel: 020 7747 2000

Katherine Roe, Chief Executive Officer

Sue Rivett, Chief Financial Officer

 

Camarco
 
Tel: 020 3757 4980

Billy Clegg | Georgia Edmonds | Violet Wilson | Tamsin Howard

 

 

Notes to editors

Pharos Energy plc is an independent energy company focused on delivering
sustainable growth and returns to stakeholders, with a portfolio of stable
production, development and exploration assets in Vietnam and Egypt. Led by an
experienced team, Pharos is a cash generative business with a robust balance
sheet and an established platform to deliver both organic growth and inorganic
opportunities.

 

Pharos is listed on the Main Market of the London Stock Exchange. For further
information please visit www.pharos.energy.

 

 

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