Energean PLC on Thursday reported record revenue and a narrowed loss in 2021 on higher commodity prices and an increase in production volumes.
In 2021, the London-based hydrocarbon exploration and production company generated a pretax loss of $90.7 million, narrowed from $113.6 million in 2020.
Adjusted earnings before interest, tax, depreciation, amortization and exploration expense grew 96% to $212 million from $108 million.
This was on revenue of $495.0 million, up 47% from $335.9 million.
Energean said that its revenue and adjusted earnings in 2021 represented ‘record results.’ It credited this to higher realised commodity prices and an increase in production volumes for liquids and gas, due to the acquisition of Edison Exploration & Production Spa. The company completed the $203 million acquisition of Edison E&P in December.
Energean plans for its inaugural dividend to be paid no later than the fourth quarter of this year, following first gas from its flagship Karish project.
The company expects to begin with a quarterly dividend of at least $50 million. It targets paying dividends of at least $1 billion by the end of 2025.
Energean expects first gas from its project Karish, located in Karish North and the Tanin gas field offshore Israel, in the third quarter of this year. First gas from its first well at NEA/NI in Egypt is expected in the second half of this year.
‘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 also benefitted from an elevated market price environment. As a result, we generated full-year revenue of $497 million and adjusted Ebitdax of $212 million,’ Chief Executive Mathios Rigas commented.
‘We are well-positioned to reach our medium-term targets of over 200 kilo barrel of oil equivalent production, $2 billion annual revenue and $1.4 billion adjusted Ebitdax.’
Shares were up 2.5% at 1,160.0 pence each on Thursday afternoon in London.
Copyright 2022 Alliance News Limited. All Rights Reserved.
