Hartshead Resources (HHR) Q2 2025 TU earnings summary

Executive summary

• Confirmed changes to the UK Energy Profits Levy increase the rate to 38% and extend its end date to March 2030, impacting project economics and investment reliefs.

• Joint venture and regulatory meetings advanced the Anning and Somerville gas field development, with focus on export route optimization and project timeline.

• Six new oil and gas licenses awarded in the 33rd UK Licensing Round, adding significant contingent and prospective resources.

Financial highlights

• Net current assets exceed A$20 million, including cash, equivalents, and bonds net of payables.

• Exploration and evaluation expenditure for the quarter was A$0.2 million post joint venture contributions.

• Payments to related parties during the quarter totaled A$346,335, covering salaries and directors' fees.

• Cash and cash equivalents at quarter end were A$17.9 million.

• Net cash used in operating activities for the quarter was A$718,000; net cash used in investing activities was A$3.94 million.

Outlook and guidance

• Project development for Anning and Somerville is progressing toward a final investment decision, with ongoing schedule optimization to align with market opportunities.

• Estimated quarters of funding available is 19.6, indicating strong liquidity for future operations.