Panoro Energy (PEN) Q1 2026 earnings summary

Executive summary

• Q1 2026 pro forma production reached approximately 15,000 barrels/day, meeting expectations and setting the stage for 20,000 barrels/day by 2027 as new projects and work programs complete.

• Announced transformational acquisition of a 40.375% interest in Block G, Equatorial Guinea, for $180 million, increasing total interest to 54.625% upon completion, expected in Q3 2026, with all regulatory approvals secured except for CEMAC clearance.

• Substantial 2P reserves validated at 83.8–84 million barrels (pro forma), with 2P+2C resources at 169–169.1 million barrels, supporting a 15-year reserve life and strong organic growth pipeline.

• Major projects advancing include MaBoMo Phase II in Gabon, the Estrella project in Equatorial Guinea, and a new 3D seismic survey offshore Gabon.

• NOK 50 million dividend declared for the quarter, continuing a track record of shareholder returns, with cumulative distributions reaching NOK 760 million.

Financial highlights

• Q1 2026 reported revenue was $34.9 million (IFRS), with pro forma revenue of $57.4 million; EBITDA was $10.9 million (reported) and $18.4 million (pro forma).

• Cash and restricted cash at quarter-end totaled $218–218.5 million; gross debt increased to $305.6 million, reflecting financing for the Block G acquisition.

• Q1 2026 net loss was $43.3 million, mainly due to non-cash hedge losses and impairment charges.

• Q1 2026 capital expenditure was $9.8 million, mainly for seismic surveys; full-year capex guidance is $55 million, rising to $72 million pro forma post-acquisition.

• Realized hedge settlements were $5.7 million, with a non-cash unrealized hedge loss of $22.9 million due to rising oil prices.

Outlook and guidance

• On track to deliver 20,000 barrels/day production in 2027, driven by MaBoMo Phase II and Block G projects.

• Full-year 2026 group production guidance is 15,000–17,000 barrels/day (pro forma); aggregate 2026 liftings expected at 3.1–3.5 million barrels (5.1–5.5 million pro forma), with ~80% of sales in H2.

• CapEx guidance for 2026 is $55 million, or $72 million pro forma with Block G acquisition.

• Hedging program protects 2026 liftings at a blended average of $76.50/barrel; no hedges in place for 2027.

• Next major lifting scheduled for July, with 1.1 million barrels to be lifted in Gabon and Equatorial Guinea.