BW Energy

Q1 2024 trading update - Seite 2

Separately, in May, the FPSO BW Adolo will undergo annual scheduled maintenance, resulting in a planned shutdown for approximately three weeks.


GOLFINHO

Net production from the Golfinho field averaged 9,030 barrels of oil per day in the first quarter, amounting to a total production of 822,500 barrels in the period. One lifting was carried out in February of 490,000 barrels at a realised price of USD 82 per barrel. Remaining inventory was approximately 657,900 barrels at the end of the period. Production cost (excluding royalties) averaged USD 48 per barrel. This compares with Q4 production costs of USD 44 per barrel, mainly reflecting lower production.


OTHER ITEMS

During the quarter, the Company extended and increased the Golfinho prepayment facility to USD 120 million from originally USD 80 million. The facility was fully drawn at the end of the period.

The Company has also executed a sale and leaseback agreement with a Minsheng Financial Leasing Co entity for the MaBoMo production facility. The agreement will provide USD 150 million of gross sales proceeds under a ten-year lease term with an option to repurchase the unit from the end of year seven. The transaction frees up net USD 110 million of liquidity to BW Energy, which will be used to finance the execution of the growth strategy including the continuing development projects in Gabon.

BW Energy had a cash balance of approximately USD 150 million on 31 March 2024, compared to USD 194 million on 31 December 2023. The decrease reflects the net impact from oil sold in the period, drawdown on the expanded prepayment facility and investments, primarily related the ongoing Hibiscus Ruche field development. The Company had a total drawn debt balance of USD 412.8 million as of 31 March 2024 including the Golfinho prepayment facility.

The company expects to recognise a net loss of USD 3.3 million in the first quarter related to the hedging program, of which USD 3.8 million is unrealised.


For further information, please contact:

Knut R. Sæthre, CFO BW Energy, [phone]

[e-mail]

About BW Energy:

BW Energy is a growth E&P company with a differentiated strategy targeting proven offshore oil and gas reservoirs through low risk phased developments. The Company has access to existing production facilities to reduce time to first oil and cashflow with lower investments than traditional offshore developments. The Company’s assets are 73.5% of the producing Dussafu Marine licence offshore Gabon, 100% interest in the Golfinho and Camarupim fields, a 76.5% interest in the BM-ES-23 block, a 95% interest in the Maromba field in Brazil and a 95% interest in the Kudu field in Namibia, all operated by BW Energy. Total net 2P+2C reserves and resources were 580 million barrels of oil equivalent at the start of 2024.


This information is subject to the disclosure requirements pursuant to section 5-12 of the Norwegian Securities Trading Act.