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LONDON - Kistos Holdings PLC (LON: KIST), an independent energy company, announced a trading and operational update in line with its year-end results for 2024. The company reported proforma production averaging 8,050 barrels of oil equivalent per day (boepd) for 2024, aligning with its full-year guidance.
Kistos, which operates in the upstream and midstream sectors, also disclosed its year-end net 2P reserves are estimated at 24.6 million barrels of oil equivalent (mmboe), according to company estimates. Looking ahead, Kistos has set its FY25 production guidance at 8,000 to 9,000 boepd.
Financial highlights include a total cash balance of $144 million as of December 31, 2024, bolstered by $84 million in tax rebates received in December 2024 related to the company's Norwegian assets. The company anticipates additional tax rebates of approximately $65 million payable in December 2025 for investments made in 2024. Proforma net debt stands at approximately $45 million, taking into account the anticipated Norwegian tax rebate. Additionally, Kistos has undrawn cash facilities of $20 million and has reduced its Hybrid Bond debt to $30 million.
Operational updates include the nearing completion of upgrades to the Jotun FPSO, with Kistos holding a 10% interest in the Balder Area. The Balder Future project, operated by Vär Energi, is expected to target gross production of 80 thousand boepd (kboepd) through the Jotun FPSO and gross 2P reserves of 150 mmboe. The Balder Phase V drilling campaign is set to commence in the first quarter of 2025, with completion expected in 2026.
Kistos has also increased the working gas capacity of its UK gas storage facility by 24% to 22.1 million therms and has plans to further expand it to 35.0 million therms. The company is evaluating this project for a final investment decision.
Executive Chairman Andrew Austin commented on the company's strong performance and cash flow in 2024, highlighting the expected tax rebates from Norway and the robust position to fund developments and growth opportunities. He emphasized the potential for organic growth through new oil production in Norway, gas developments in the Greater Laggan Area, and the expansion of the UK gas storage facility. The Board continues to assess acquisition opportunities for value accretive expansion.
This update is based on a press release statement and includes internal estimates of resources prepared in accordance with industry guidelines.
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