Energean shares surged 10.9% to 1,381p in early morning trading on Thursday following a 65% increase in revenues to $339 million in HY2 2022 against $205.5 million the year before.
The energy company reported a 165% spike in adjusted EBITAX to $198.2 million compared to $74.7 million.
Energean said its sparkling financial returns were underpinned by strong commodity prices.
The group confirmed $812.1 million in group cash at 30 June 2022, including restricted amounts of $138.4 million.
The firm also noted a one-off windfall tax in Italy of $29.3 million, with 40% paid in HY1 2022 and the remainder scheduled for payment by November 2022.
Energean revised its medium-term targets following improved gas prices in Israel and Egypt, with expected annual revenues of $2.5 billion from $2 billion, and an annual adjusted EBITAX anticipated at $1.75 billion from $1.4 billion.
“During H1 2022, Energean delivered strong operational and financial results. The ex-Edison assets have outperformed our expectations and our flagship Karish project is on track to start production within weeks and will enhance energy security in Israel and the region,” said Energean CEO Mathios Rigas.
“In addition, our growth drilling and development operations offshore Israel have enhanced our portfolio by de-risking 58 bcm of natural gas, and we are evaluating multiple geographical routes to monetisation through either increased Israeli domestic sales or key regional export markets.”
Dividend
Energean declared a maiden quarterly dividend of 30c per share, in line with its commitment to return an initial $50 million per quarter by the end of 2022 and at least $1 billion by the end of 2025.
The oil and gas firm also noted its aim to provide a minimum $100 million per quarter dividend stream to shareholders once its medium-term targets are reached.
“The strong financial performance of our existing assets, the current readiness status of our Karish project, and our strong liquidity position have allowed us to, today, declare our maiden quarterly dividend, in line with our previously announced dividend policy,” said Rigas.
“We are concurrently raising our medium-term targets to annual revenues of $2.5 billion and Adjusted EBITDAX of $1.75 billion, underpinned by production of more than 200 kboed.”
