Energean PLC on Thursday posted a decline in annual profit, citing impairment costs, as it reiterated its guidance for 2025.
The London-based energy production, development and exploration company that possesses a portfolio of assets across the Mediterranean and UK North Sea said pretax profit fell 2.0% to $168.3 million in 2024 from $171.7 million in 2023.
Revenue grew 25% to $1.78 billion from $1.42 billion, as average working interest production rose 24% to 153,000 barrels of oil equivalent per day in 2024 from 123,000 boepd in 2023.
Pertinently, exploration and evaluation costs shot up to $83.6 million in 2024 from $29.2 million in 2023.
Further, the company incurred a $95.4 million impairment of oil and gas assets in 2024, compared to just $342,000 in 2023.
Cost of sales for Energean Group were 22% higher, at $925 million in 2024 compared to $760 million in 2023.
Development and production costs increased 26% to $616 million from $487 million.
Energean reiterated its 2025 continuing operations guidance. It expects total production for 2025 of between 120,000 boepd and 130,000 boepd.
Chief Executive Officer Mathios Rigas said: ‘We continue to develop and optimise our assets. We took final investment decision on Katlan, which remains on track for first gas in H1 2027; commissioning of the second oil train is ongoing and is scheduled to complete in Q2 2025, this will increase the liquids production capacity of the floating production storage & offloading; and the Ministry of Energy confirmed the Drakon [License 31] and Hercules [License 23] discoveries, setting the foundations for continued growth in Israel.
He added: ’As sovereign states make energy security and affordability a top priority, the oil and gas industry is repositioning towards new growth. Our years of focus on operational excellence in development and production means we are very well placed to take advantage of a new era of oil and gas investment. We are confident that our operating capabilities and track record in deep water offshore project delivery is unique in the independent exploration & production sector.‘
Energean shares fell 1.2% to 830.61 pence each on Thursday morning in London.
Copyright 2025 Alliance News Ltd. All Rights Reserved.