Energean declares maiden quarterly dividend

Exploration and production company Energean declared its maiden quarterly dividend on Thursday as the group delivered a set of "strong" operational and financial results.

Energean declared a quarterly dividend of $0.30 per share, stating the accelerated timetable was due to strong cash flows from its ex-Edison E&P assets, the readiness of its Karish project, and the company's solid liquidity position.

The FTSE 250-listed firm said first-half revenues were up 65% year-on-year at $339.0m, while adjusted underlying earnings rose 165% to $198.2m. Group cash was sitting at $812.1m.

First-hand production came to an average of 35,400 barrels of oil equivalent per day - a 19.5% year-on-year reduction as a result of an anticipated natural decline at its Abu Qir asset.

On the back of its H1 performance, Energean also raised medium-term targets to annual revenues of $2.5bn and adjusted EBITDAX of $1.75bn, underpinned by the production of more than 200,000 boed.

Chief executive Mathios Rigas said: "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.

"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.

As of 0900 BST, Energean shares had shot up 9.48% to 1,370.0p.

Reporting by Iain Gilbert at Sharecast.com