Conrad Asia Energy (CRD) H1 2024 earnings summary

Executive summary

• Advanced the Mako project in the Duyung PSC, securing key government approvals and signing binding gas sales agreements for both domestic and export markets.

• Raised A$15.85 million through placements and SPP to fund Aceh exploration, project costs, and working capital.

• Progressed farm-down discussions for both Duyung and Aceh PSCs, with interest from potential partners.

• Well-funded with $8.86m cash as of 30 June 2024, supporting ongoing development and exploration activities.

Financial highlights

• Net loss after tax for H1 2024 was $3.50m, a significant improvement from $7.09m loss in H1 2023.

• Operating expenditure decreased by 50% to $3.57m, driven by lower legal, professional, and staff costs.

• Cash used in operating activities was $3.59m, down 42% year-over-year.

• Raised $10.34m from share issuance, increasing cash and cash equivalents to $8.86m at period end.

• Recognised a $798k gain on revaluation of warrants and a $167k impairment on a financial asset.

Outlook and guidance

• Mako project FID targeted for end 2024, with production start-up expected by late 2026 or earlier.

• Finalisation of export GSA with Sembcorp and ongoing negotiations for pipeline access and debt funding.

• 3D seismic acquisition in Aceh PSCs planned for late 2024, with environmental permits expected in Q4.

• Continued evaluation of farm-down opportunities and commercialisation options for Aceh resources.