Energean PLC has released a trading statement and operational update, highlighting its performance in the 12 months to 31 December 2023 and providing guidance for 2024. The company's CEO, Mathios Rigas, emphasized the achievement of becoming the major independent gas producer in the Mediterranean in 2023, despite challenging regional geopolitical developments. The Energean Power FPSO operated at 99% uptime during Q4 2023, and the company produced at a maximum rate of 150 kboed from its 1 billion+ boe pan-Mediterranean portfolio, in line with its latest guidance.
The company's operational highlights include the completion of the NEA/NI (Egypt) project on time and on budget, with production in line with expectations. Additionally, new areas of development are underway to expand and diversify the current business base, such as the approval of Phase 1 of the Katlan (Israel) Field Development Plan by the Israeli Government and discussions initiated to merge the Abu Qir, NEA, and NI (Egypt) concessions. Energean has also made progress in the Prinos Carbon Storage project, which is now included within the European Commission's Projects of Common Interest.
Financially, Energean reported a strong performance for the 12 months to 31 December 2023, with revenues of $1,419.4 million, a 93% increase from the previous year, and a 119% increase in adjusted EBITDAX to $925 million. The company also maintained a strong balance sheet, with a 50% reduction in Group leverage to 3x and total liquidity of $607 million as of 31 December 2023.
Looking ahead to 2024, Energean expects its working interest production to be between 155 - 175 kboed, weighted towards the second half of the year. This range is primarily driven by the company's gas demand outlook for 2024 in Israel, influenced by the coal phase-out delays and warmer than average winter temperatures. The company also anticipates significant developments in its projects across Israel, Egypt, Italy, Greece, and a new gas development in Morocco.
Overall, Energean PLC's strong operational and financial performance in 2023, along with its strategic projects and growth prospects for 2024, position the company as a leading independent gas-focused exploration, development, and production company in the region.