International Petroleum (IPCO) Q3 2025 earnings summary

Executive summary

• Q3 2025 net production averaged 45,900 boepd, exceeding guidance; full-year guidance maintained at 43,000–45,000 boepd.

• Operating costs for Q3 were $17.9/boe, below guidance; full-year cost guidance remains $18–19/boe.

• Blackrod Phase 1 development is ahead of schedule, with first steam expected by year-end 2025 and first oil in Q3 2026.

• CapEx for 2025 revised to $340 million, up from $320 million, due to accelerated Blackrod activity.

• No material safety incidents reported; ESG focus maintained; share buyback program completed, reducing shares outstanding by over 6%.

Financial highlights

• Q3 operating cash flow was $66.1 million; year-to-date OCF reached $196 million.

• Q3 free cash flow was -$23.1 million (or +$36 million pre-Blackrod CapEx); year-to-date FCF excluding Blackrod CapEx is just under $80 million.

• Net debt at end of Q3 was $434.8 million; gross cash stood at $45 million.

• Full-year OCF guidance is $245–$255 million at $55–$65 Brent; full-year FCF forecast (including Blackrod) is -$160 to -$170 million.

• Revenues for the first nine months were nearly $510 million, with net profit of $34 million.

Outlook and guidance

• Production guidance for 2025 remains at 43,000–45,000 boepd.

• Operating cost guidance for the year is unchanged at $18–19/boe, expected to end at the lower end.

• Blackrod Phase 1 first oil now expected in Q3 2026, a quarter ahead of previous guidance.

• 2025 CapEx increased to $340 million due to accelerated Blackrod drilling.

• Free cash flow (excluding Blackrod CapEx) for 2025 expected at $80–$90 million.