PetroNor E&P (PNOR) Q3 2025 earnings summary

Executive summary

• Q3 2025 production was stable, with efficiency improvements and a completed five-well infill drilling program boosting Q4 output.

• Three new wells contributed over 5,000 bbl/day gross, with net production nearing 5,000 bbl/day and a year-end exit rate forecast above this level.

• The first oil lifting of 2025 occurred in November, selling 540,000 bbls and generating about $33 million in cash.

• The company maintains a strong balance sheet with zero debt and robust cash reserves, supported by significant shareholder distributions.

• Shareholder distributions have been prioritized, with NOK 2 and NOK 2.2 per share returned in 2024 and planned for 2025.

Financial highlights

• Revenue for the nine months ended 30 September 2025 was $38.6 million, with full year 2024 revenue at $120.9 million.

• EBITDA for the nine months ended 30 September 2025 was $43.9 million, down from $72.6 million year-over-year.

• Cash at 30 September 2025 was $45.9 million, projected to rise to $79.7 million by year-end after the November lifting.

• OpEx for the year was $17.8 million, with administrative costs down to $6.3 million.

• Total shareholder return over the last 12 months was about 47%, driven by distributions.

Outlook and guidance

• Q4 production is expected to raise the annual average above 4,300 bbl/day, with an exit rate above 5,000 bbl/day.

• CapEx for 2026 is projected below $10 million, with minimal drilling planned.

• Additional capital repayments to shareholders are planned in January and May 2025.

• Production in 2026 is expected to be higher than 2025, starting above 30,000 bbl/day gross.

• Future exploration in Gambia depends on ongoing licence extension negotiations.