Hartshead Resources (HHR) Q4 2024 TU earnings summary

Executive summary

• Advanced development of Anning and Somerville Gas Fields in the UK Southern Gas Basin, with ongoing fiscal and policy discussions post-UK general election.

• Achieved significant success in the UK 33rd Licensing Round, securing ten blocks, expanding the portfolio from a single license to multiple licenses and projects.

• Maintained a strong cash position of A$22 million at quarter-end, supporting ongoing operations and project development.

Financial highlights

• Cash and cash equivalents at quarter-end were A$23.96 million, down from A$26.49 million in the previous quarter.

• Net cash used in operating activities for the quarter was A$0.8 million; net cash used in investing activities was A$1.81 million.

• Exploration and evaluation expenditure during the quarter totaled A$3.1 million.

• Payments to related parties and associates during the quarter were A$534,000, mainly for salaries and directors' fees.

Outlook and guidance

• Awaiting clarity on the UK fiscal regime and energy policy, expected in late September or early October, before making a final investment decision on the Anning and Somerville project.

• Anticipates a busy second half of the year, leveraging strengthened UK gas prices and expanded license portfolio.