REG - Prospex Energy PLC - Q1 2026 Overview &Unaudited Group Financial Update

Prospex EnergyAnnouncement

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RNS Number : 4297E  Prospex Energy PLC  15 May 2026

Prospex Energy plc / Index: AIM / Epic: PXEN / Sector: Oil and Gas

 

15 May 2026

 

Prospex Energy plc

("Prospex" or the "Company")

 

First Quarter 2026 Overview and Unaudited Group Financial Update

 

Prospex Energy PLC (AIM: PXEN), the AIM quoted investment company focused on
European natural gas and power projects, provides the following Q1 overview
and unaudited quarterly cash-flow updated for the Prospex group of companies
(the "Group"), including group cash balances under the Company's direct
control, net results of financing activities, additions to investments and
receipts from gas sales for the first quarter of 2026.

 

Q1 2026 Overview

·    £912,000 (Q4 2025: £769,000) of gas sales revenue from Selva
Malvezzi. Although the Group benefited from higher European gas prices in
March, sales proceeds are received in the following month, so this will be
reflected in Q2 receipts.

·    The Group closed Q1 with £907,000 (Q4 2025: £42,000) in cash,
providing funding for near-term requirements following the oversubscribed
Convertible Loan Note ("CLN") issuance during the quarter.

·    Appointment of new CEO, to position the Group for growth, liquidity
and asset monetisation.

·    Completed £2 million CLN fundraise, 25% above the original target of
£1.6 million.

·    Restart of production at El Romeral gas power plant in Andalucia,
Spain, following the delivery and installation of a rental transformer.

·    Advanced expansion into Poland with the award of the San and Dunajec
onshore licences.

 

Prospex Energy Group - Unaudited

 

                                                        2026     2025
 All GBP 000's                                          Q1       Total     Q4     Q3     Q2     Q1
                                                  Note
  Group Cash on Hand at Beginning of period       1     42       1,192     189    569    1,438  1,192

  Share of Gross Operating Revenue                2     912      3,798     769    927    1,028  1,074
  Tarba Cash Take-on in acquisition                     -        332       -      -      332    -
  Equity Raise Proceeds Net of costs                    -        1,118     -      835    283    -
  Debt Raise net Cash Proceeds (CLN)              3     1,355    378       378    -      -      -
  Interest and other financing receipts                 29       122       25     43     32     23
  Total Group Cash Receipts                             2,297    5,749     1,172  1,805  1,675  1,097

  OPEX                                            4     802      2,303     452    632    489    730
  Development Costs                               5     300      593       368    104    42     79
  Investments - Tarba Acquisition                       -        474       -      -      432    42
  Investments - Interest bearing loans to Tarba   6     292      748       252    226    270    -
  Investments - Viura                                   -        2,003     -      1,117  886    -
  Debt Servicing and Repayments                         -        -         -      -      -      -
  License fees & Taxes                                  38       778       248    106    425    -
  Total Group Cash Outgoings                            1,432    6,899     1,319  2,184  2,544  851

  Group Cash on Hand at End of period                   907      42        42     189    569    1,438

 

Notes

 1  Group cash represents the cash resources within the Company's control and
    therefore excludes any cash balances held by HEYCO Energy Iberia, in which
    Prospex owns 7.5%.
 2  Gross operating revenues only include receipts into group entities under
    Prospex control and therefore exclude Viura.
 3  Debt raise proceeds are shown net of costs & any pre-existing debt
    satisfied by issuance of CLNs.
 4  OPEX includes direct operating expenditure corresponding to Prospex's net
    share of Selva Malvezzi, as well as Prospex overhead and administration costs.
 5  Development costs in Q1 2026 primarily relate to seismic processing on Selva
    Malvezzi.
 6  Tarba Energia Opex, net of electricity sales, is supported while the activity
    to deliver drilling permits on El Romeral is progressing.

 

Tom Reynolds, Prospex's CEO, commented:

"I am pleased to provide shareholders with an overview of Q1 2026 activities,
including unaudited group cash-flow for the period, as part of the Company's
ongoing commitment to transparency. Q1 2026 was a period of transition for the
Company following my appointment as CEO, providing an opportunity to reassess
priorities and re-evaluate our investment portfolio to ensure the Group is
positioned for long-term growth.

 

"During the quarter, we successfully raised approximately £2 million through
the CLN financing, exceeding our initial target by 25%.  This enabled us to
fund our share of investments across the portfolio, including the seismic
processing programme at the Company's Selva Malvezzi licence in Italy, at a
time of continued strength in European gas markets.

 

"As we enter the second quarter of 2026, the Company has cash on hand to fund
its new licences in Poland and to progress early assessment of prospectivity
on that acreage. Strong revenues from gas sales in Italy, driven by elevated
European gas prices, are expected to add to that cash balance. I expect Q2
2026 to be a period of consolidation with a focus on planning in support of
future investment in the Company's key assets as well as corporate development
activity.

 

"As previously shared with shareholders, activity across all assets is
expected to converge around the end of 2026, with capex required in 2027. Over
the remainder of 2026, the Company will continue to evaluate all available
funding options to support its development plans whilst limiting shareholder
dilution where possible."

 

The information contained within this announcement is deemed by the Company to
constitute inside information as stipulated under the Market Abuse Regulation
(EU) No. 596/2014 as it forms part of United Kingdom domestic law by virtue of
the European Union (Withdrawal) Act 2018, as amended by virtue of the Market
Abuse (Amendment) (EU Exit) Regulations 2019.

Prospex Energy is an Investment entity as defined by IFRS 10, and as such the
results of its subsidiaries are not consolidated up to the parent company in
its statutory and audited reporting. Those audited financial statements
therefore represent the financial position of the Company on a standalone
basis, and the Company's investments in its subsidiaries, joint ventures and
underlying assets are recognised at fair value through the profit and loss.
The unaudited figures included in this presentation, are not provided to meet
any statutory or regulatory requirement and should not be used as a basis of
an investment decision.

* * ENDS * *

 

 

For further information visit www.prospex.energy (http://www.prospex.energy)
or contact the following:

 

 Tom Reynolds                      Prospex Energy PLC            Tel: +44 (0) 20 7236 1177
 Ritchie Balmer                    Strand Hanson Limited         Tel: +44 (0) 20 7409 3494

Rory Murphy
 Andrew Monk (Corporate Broking)   VSA Capital Limited           Tel: +44 (0) 20 3005 5000

Andrew Raca (Corporate Finance)
 Neil Passmore                     Hannam & Partners             Tel: +44 (0) 20 7907 8500

 Leif Powis
 Ana Ribeiro / Charlotte Page      St Brides Partners Limited    Tel: +44 (0) 20 7236 1177

 

About Prospex Energy

Prospex Energy plc is an AIM-quoted investing company focused on high-impact
onshore and shallow offshore European opportunities with short timelines to
production.  The Company's strategy is to acquire undervalued projects with
multiple, tangible value trigger points that can be realised within 12 months
of acquisition and then apply low-cost re-evaluation techniques to identify
and de-risk prospects.  The Company will rapidly scale up gas production in
the short term to generate internal revenue, which can then be deployed to
develop the asset base and further increase production.

 

 

 

 

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