Nostrum Oil & Gas (NOG) Q1 2024 earnings summary

Executive summary

• Q1 2024 revenues rose to $31.8m, up from $17.4m in Q1 2023 and $30.8m in Q4 2023, driven by increased third-party processing and stable oil prices.

• EBITDA reached $10.6m, up from $4.6m in Q1 2023 and $9.1m in Q4 2023, with a margin of 33.3%.

• Daily production averaged 11,943 boepd, boosted by third-party volumes and gas-lift expansion.

• Stepnoy Leopard appraisal confirmed commercial potential, leading to a final investment decision for initial development.

Financial highlights

• Revenues included $1.7m from processing third-party hydrocarbons.

• Unrestricted cash balance was $157.6m as of 31 March 2024, down from $161.7m at year-end, mainly due to drilling and appraisal investments.

• Restricted cash remained at $25.2m.

Outlook and guidance

• Capital allocation will focus on growing midstream business and progressing Stepnoy Leopard development.

• Stepnoy Leopard's initial development phase targets 30–50 mmboe recoverable resources, with a $100m capital budget over three years and startup by end-2026.