Pharos Energy PLC, an independent energy company, has released its Trading and Operations Update for the first half of 2024. The company's Chief Executive Officer, Katherine Roe, expressed satisfaction with the solid operational and financial performance. The positive macro environment in Egypt has led to a significant improvement in the company's receivables position, with discussions ongoing regarding outstanding payments. The recent ratification of five petroleum agreements in Egypt demonstrates the government's commitment to the sector.
In terms of operational highlights, the Group's working interest 1H production was 5,851 boepd net, remaining within the previously set guidance. In Vietnam, the TGT Revised Field Development Plan was approved, enabling a two-well drilling program to commence in the third quarter. Positive progress has been made towards obtaining TGT and CNV license extensions. In Egypt, preparations are underway to drill an exploration commitment well on El Fayum in the third quarter, with a multi-well development drilling program planned to commence during the second half.
Financially, the Group reported 1H revenue of $65m, with cash balances at approximately $31m and a net cash position of approximately $18m as of 30 June. The Egypt receivable position at 30 June was $31.3m, with $14.8m received in 1H 2024 and an additional $4m received from EGPC on 1 July. The forecast cash capex for the Group for the full year remains unchanged at $32m.
In corporate highlights, recent changes to the Board and senior management include the appointment of Katherine Roe as the new Chief Executive Officer and member of the Board and the ESG Committee, as well as the appointment of Mohamed Sayed as the new Chief Operating Officer. The company also continues its share buyback program and approved a final dividend in respect of the year ended 31 December 2023 of 0.77 pence per share, amounting to $4.1m.
Pharos Energy PLC has also appointed Ernst & Young LLP to succeed Deloitte LLP as the external auditor to the Company with effect from the financial year commencing 1 January 2024.