Harbour Energy PLC has released its unaudited Trading and Operations Update for the first quarter of 2024. The company's production averaged 172 kboepd, with operating costs averaging c.$18/boe. Harbour's international growth opportunities advanced, with potential for material reserve additions in Mexico, Indonesia, and Norway. Financially, the company reported estimated revenue of c.$0.9 billion and net debt reduced to $0.1 billion at the end of March 2024. Harbour expects to be marginally free cash flow positive in 2024 and to generate significantly higher free cash flow next year, resulting in a net cash position by year-end 2025. The proposed 2023 final dividend of 13 cents per share, subject to shareholder approval, represents c.9 per cent growth year-on-year.
The acquisition of Wintershall Dea Asset Portfolio is on track to complete in Q4 2024, with significant progress made on various workstreams and approvals required for completion. Harbour expects to complete the acquisition during Q4 2024. Linda Z Cook, Chief Executive Officer, commented, "During the first quarter, we continued to deliver safe and responsible operations, maximise the value of our UK production base and advance our organic growth projects. At the same time, we made significant progress towards completion of the Wintershall Dea acquisition which will transform our portfolio and capital structure and support enhanced and sustainable shareholder returns."