18th Jan 2022 09:58
(Alliance News) - Energean PLC announced on Tuesday that it had seen "record" financial results with annual revenue increasing by 47% and its average working interest production above expectations.
For 2021, the London-based hydrocarbon exploration and production company reported revenue of USD495.0 million, up 47% from USD335.9 million in 2020.
The company's earnings before interest, tax, depreciation, amortisation and exploration expense almost doubled to USD202.9 million from USD107.7 million.
Capital expenditure in 2021 was USD359.3 million, versus the revised full-year guidance range of USD415 million to USD485 million.
Energean's average working interest production for 2021 was approximately 41.0 kilobarrels of oil equivalent at 72% gas. The company said that this was above initial expectations and at the mid-point of the revised full-year guidance range of 40.0 to 42.0 kilobarrels of oil equivalent.
Looking ahead, Energean said it expects 2022 average working interest production - excluding Israel - to be between 35.0 to 40.0 kilobarrels of oil equivalent.
Israel's production rate in 2022 is expected to average between 25.0 to 30.0 kilobarrels of oil equivalent, the company added.
Energean's 2022 development and production capital expenditure is expected to be between USD710 to USD760 million. Energean said this would include completing the flagship Karish development and continued progress on other key development projects in Israel, Egypt, Greece and Italy.
Chief Executive Mathios Rigas said: "2021 was an outstanding year for Energean, one in which we delivered excellent operational and record financial results. Production came in above initial expectations and we recognised all-time-high gas prices in Italy.
"The floating production system for our flagship project, Karish, is expected to be ready for sail-away by the end of this quarter. This will kick-start an eventful 2022 with the high-impact drilling programme in Israel beginning in mid-March, first gas from Karish by the third quarter and first gas from NEA/NI in Egypt by the fourth quarter.
"With our other development projects in Israel, Italy and Greece also on track we are well positioned to reach our medium-term targets of over 200 kilobarrels of oil equivalent production, USD2 billion annual revenue and USD1.4 billion earnings before interest, tax, depreciation, amortisation and exploration expense."
Shares in Energean were up 5.4% at 965.50 pence on Tuesday morning in London.
By Heather Rydings; [email protected]
Copyright 2022 Alliance News Limited. All Rights Reserved.
Related Shares:
Energean Oil & Gas