Jadestone Energy (JSE) Q2 2026 TU earnings summary

Executive summary

• Achieved significant progress in Vietnam with field development plan approval and gas sales agreement for Nam Du/U Minh, advancing toward project sanction by year-end.

• Completed oversubscribed $200 million bond refinancing, strengthening the balance sheet and enabling growth focus.

• Malaysia drilling campaign delivered three wells at over 20% below budget, tripling East Belumut field output.

• External factors, including Cyclone Narelle and CWLH FPSO delays, impacted H1 production, leading to revised 2026 guidance.

Financial highlights

• H1 2026 revenue (post-hedging) rose 3% year-over-year to $234.0 million, driven by higher realized oil prices despite lower liftings.

• Operating costs increased to $142.2 million (H1 2025: $112.8 million), mainly due to one-off maintenance, FX, and logistics costs.

• Net debt reduced to $25.7 million at 30 June 2026 (31 Dec 2025: $89.1 million), with $174.3 million cash and $200 million debt.

• H1 2026 capital expenditure was $35.3 million, mainly for Malaysia drilling, down from $69.4 million in H1 2025.

• Average realized oil price was $90.43/bbl, up 17% year-over-year; gas price averaged $5.96/mcf.

Outlook and guidance

• 2026 production guidance revised to 16,000–18,000 boepd (from 18,000–21,000 boepd) due to Stag and CWLH outages.

• Operating cost guidance unchanged at $260–300 million, likely to finish in the upper half due to FX and oil price impacts.

• Capital expenditure guidance remains $50–80 million, with Malaysia drilling costs below budget offsetting additional well.

• Free cash flow guidance for 2025–2027 unchanged at $200–240 million (pre-debt servicing).