Nostrum Oil & Gas PLC on Tuesday reported decreased revenue but higher production and earnings in the first three months of this year.

In response, shares in Nostrum closed 8.6% higher at 3.68 pence in London on Tuesday.

The Kazakhstan-focused oil and gas company said average daily titled production volumes totalled 16,830 barrels of oil equivalent per day for the first quarter, up 41% from 11,943 boepd the previous year. Total processed volumes rose 68% to 24,009 boepd from 14,319 boepd.

Average daily sales volumes, meanwhile, rose 47% to 14,128 boepd from 10,022 boepd.

Revenue decreased to $30.0 million in the first quarter from $31.8 million, due to ‘a temporary crude oil inventory build-up at the end of the quarter, which was subsequently sold in May 2025’. Nostrum also noted that the average price of Brent crude oil fell to $75.9 per barrel from $82.9.

Earnings before interest, tax, depreciation and amortisation, however, rose to $10.9 million from $10.6 million.

Operating expenses per barrel of processed volumes fell 40% to $4.6 from $7.6.

‘I am pleased to report a positive start to 2025,’ commented Chief Executive Officer Arfan Khan. ‘In Q1 2025, we delivered a 41% increase in average daily titled production year-over-year and total processed volumes increased by 68% to 24,009 boepd. These increases were driven by the ramp-up of Ural Oil & Gas LLP (’Ural O&G‘) production through 2024 and new production from Chinarevskoye well No.301 from May 2024.

‘We achieved a key milestone with the approval of the phased full-field development plan for the Stepnoy Leopard fields, targeting production start-up between late 2026 and early 2027. The extension of our processing agreement with Ural O&G through to May 2031 further secures the long-term value.’

Nostrum also said it is planning a limited-scale drilling campaign at Chinarevskoye in the second half of this year, ‘focused on high-value subsurface opportunities’.

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