Energean PLC Announces Karish North Online and New Gas Sale and Purchase Agreement

Energean PLC has announced the successful achievement of Karish North first gas, marking a significant milestone for the company. The installation of the second gas export riser has enabled the utilization of the FPSO's maximum gas capacity, with four production wells in operation, enhancing redundancy and flexibility to meet gas demand requirements. Additionally, Energean has signed a new Gas Sale and Purchase Agreement (GSPA) with Eshkol Energies Generation LTD, securing long-term cash flows for its shareholders via its long-term gas contracts.

The new GSPA with Eshkol Energies Generation LTD is for the supply of an initial 0.6 bcm/yr, rising to 1 bcm/yr from 2032 onwards. Energean will supply gas to all four IEC power stations that have been privatised, aligning with the company's strategy to bring competition and security of supply to the Israeli market. The GSPA represents approximately $2 billion in revenues over the life of the contract and includes provisions regarding floor and ceiling pricing, take or pay, and price indexation.

Mathios Rigas, Chief Executive of Energean, expressed the company's success in bringing Karish North to first production, providing operational flexibility and enabling the utilization of the FPSO's maximum gas capacity. He also highlighted the new contract with Eshkol as a testament to the trust in Energean from the Israeli electricity producers, adding significant revenues to the business and aligning with the strategy to secure long-term reliable cash flows from long-term gas contracts.

The announcement also contains forward-looking statements, emphasizing the known and unknown risks and uncertainties that may impact actual results and events. Energean PLC has committed to updating or revising publicly any forward-looking statements as required by applicable law.

Overall, Energean PLC's recent developments, including the achievement of Karish North first gas and the signing of the new GSPA, demonstrate the company's commitment to operational milestones and long-term strategic partnerships in the gas market.