BW Energy (BWE) Q3 2024 earnings summary

Executive summary

• Achieved record Q3 2024 production and financial results, with net production at 25,570 barrels per day and Dussafu gross output exceeding 40,000 barrels/day, despite planned maintenance at Golfinho.

• Dussafu achieved its highest quarterly gross production since inception, with all replaced ESPs performing well and new wells contributing to output.

• Signed PSCs and became operator of Niosi Marin and Guduma Marin exploration blocks in Gabon, expanding the resource base.

• Advanced key projects in Brazil and Namibia, including Maromba and Kudu developments.

Financial highlights

• Q3 2024 EBITDA reached $130 million, up from $75.9 million in Q2, and net profit was $48 million.

• Operating revenue for Q3 was $215.4 million, up 145% year-over-year and 31% sequentially.

• Operational cash flow hit a record $145 million, with a cash position of $210 million at quarter-end.

• OPEX per barrel decreased 17% from Q2 to $29.6, and 7.3% year-over-year.

Outlook and guidance

• 2024 net production guidance maintained at 10–11 million barrels, with cost guidance of $30–32 per barrel.

• Net capex for 2024 expected at $350 million, with G&A at $25 million.

• Dussafu Q4 production expected to be about 20% higher than Q3, with gross output in the 32,000–33,000 barrels per day range.

• Plateau production at Dussafu expected to be maintained through 2025, with potential to increase FPSO nameplate capacity.

• Maromba FID targeted for Q1 2025, with first oil expected 36 months after FID.