PetroNor E&P (PNOR) Q1 2026 earnings summary

Executive summary

• Production capacity exceeded 5,000 barrels/day net in Q1 2026, supported by new wells and reduced work-over queue, with Q1 2025 averaging 4,700 barrels/day and nearly 5,100 barrels/day in Q2 2025.

• Net loss of USD 3.7 million for Q1 2026, compared to a profit of USD 1.3 million in Q1 2025, mainly due to higher cost of sales and absence of oil sales lifting in the quarter.

• Major oil sales lifting of 965,000 barrels in April 2026 generated USD 112 million in cash, significantly boosting liquidity post-quarter.

• Shareholder distributions approved, with NOK 3.25 per share to be paid in June 2026; total shareholder return over 18 months exceeds 250%.

• Focus remains on operational delivery, core assets, and preparing for further infill drilling in 2027, with potential divestment of Nigerian Aje Field under consideration.

Financial highlights

• Q1 2026 revenue was USD 11.5 million, down from USD 13.9 million in Q1 2025, reflecting only grossed-up royalties and tax oil due to no entitlement oil lifted.

• Operating costs remain low at $12/barrel; administrative expenses fell to USD 1.9 million in Q1 2026.

• CapEx for Q1 2026 was $16.2 million; full-year 2025 CapEx expected at $8 million.

• Realized oil price for Q2 2025 and April 2026 lifting was about $116/barrel, a multi-year high.

• Cash at Q1 2026-end was USD 44 million, down from USD 58.9 million at year-end 2025.

Outlook and guidance

• Preparing for additional infill drilling investments in 2027, targeting further production growth and efficiency improvements.

• Inventory build-up of entitlement oil at 100,000 barrels/month; next major lifting anticipated in early 2027.

• No further shareholder distributions expected in 2025; next review in early 2027 unless Aje sale accelerates.

• Advisor appointed to explore commercial options for the Nigeria position.