Kistos (LSE: KIST), the low carbon intensity gas producer pursuing a strategy to acquire assets with a role in energy transition, is pleased to provide the following operational and trading update ahead of the Company’s Annual General Meeting which is being held today at 11.00 a.m. as a virtual meeting.
The information contained herein has not been audited and may be subject to further review and amendment.
Highlights
· Pro forma net production for the five months to end of May 2022 was 12.0 kboe/d, unhedged as of 1 April 2022
· Cash balances on 31 May 2022 were€128.6 million
· Acquired €27.7 million (nominal) of Kistos NL2 bonds in February 2022
· Net cash on 31 May 2022 of €6.3 million
· Acquisition of 20% interest in the Greater Laggan Area (GLA) West of Shetland from TotalEnergies progressing towards completion. The transaction has an effective economic date of 1 January 2022
· Development studies are ongoing for the Q11-B gas discovery and the Orion oil discovery
· The Q10-Gamma exploration prospect and infill drilling opportunities at the producing Q10-A gas field are also being evaluated
· In line with its strategy, the Group continues to evaluate several potential growth opportunities that meet its investment criteria
Andrew Austin, Kistos’ Chairman, commented:
“Kistos has started the year strongly, delivering a solid operational performance and benefiting from high gas prices.
“With almost €130 million of cash at our disposal, we have the financial strength, capital discipline and track record to grow the business and deliver shareholder value.
We remain guided by our founding principle to play a role in the energy transition and are evaluating several attractive opportunities in the North Sea. We continue to benefit from high gas prices in the Netherlands, and we are assessing opportunities in the UK that would enable us to take full advantage of the investment allowances implicit in the recently introduced UK Energy Profits Levy.”
Enquiries:
Kistos plc
Andrew Austin
c/o Camarco Tel: 0203 757 4983
Notes to editors
Kistos plc was established to acquire and manage companies in the energy sector engaging in the energy transition trend. The Company has acquired Tulip Oil Netherlands B.V., which has a portfolio of assets, including profitable, highly cash generative natural gas production, plus appraisal and exploration opportunities. In addition, Kistos has agreed to acquire a 20% interest in the Greater Laggan Area (GLA) from TotalEnergies for US$125 million. The GLA includes four producing fields and a development project. The effective date of the transaction is 1 January 2022
Kistos is a low carbon intensity gas producer. The Q10-A gas field in the Dutch North Sea (60% operated working interest) has recorded a Scope 1 carbon emissions intensity of 13g CO2e/boe since inception. This compares to an industry average of 22kg CO2/boe for gas extracted from the UK continental shelf. The Q10-A normally unmanned installation is located approximately 20 km from the Dutch shore. It is powered sustainably via wind and solar power and is remotely operated, limiting offshore visits, which are conducted by boat.
