OKEA (OKEA) Q3 2025 earnings summary

Executive summary

• Solid operational performance with production efficiency at 91%, maintaining stable production of 31.7 kboepd despite planned maintenance and downtime.

• Exploration success at Brage (Talisker discoveries, 16–33 mmboe) is expected to extend the economic life of Brage and Bestla, with first oil anticipated in 2027.

• Net result for the quarter was a post-tax loss of USD 37 million, driven by significant impairments mainly on Statfjord and Draugen.

• Net cash position improved to USD 123 million, with no debt maturities until mid-2028.

Financial highlights

• Petroleum revenue reached USD 218 million, with operating income of USD 224 million and EBITDA of USD 117 million for the quarter.

• Production averaged 31,700 boe/d, unchanged from the previous quarter; sales were 36,300 boe/d, including a net overlift.

• Average realized liquids price increased to USD 71.4/boe; realized gas price was USD 65.7/boe.

• Impairments totaled USD 151 million pre-tax (USD 47 million post-tax), driving a net loss of USD 37 million.

• Cash and cash equivalents stood at USD 377 million, with an additional USD 42 million in money-market funds.

Outlook and guidance

• Production guidance for 2025 raised to 32,000–33,000 boe/d (from 30,000–32,000 boe/d); 2026 guidance unchanged at 31,000–35,000 boe/d.

• CapEx guidance for 2025 and 2026 remains at USD 350–380 million and USD 300–360 million, respectively.

• Dividend payments temporarily suspended due to high near-term investment; board to revisit dividend plan when appropriate.