PetroTal has provided operational and financial updates. All amounts are in US dollars unless stated otherwise.
Key Highlights
- Group production averaged approximately 21,039 barrels of oil per day (“bopd”) in Q2 2025, a 15% increase over the same period last year;
- H1 2025 production averaged approximately 22,160 bopd, a 20% increase over H1 2024;
- Successfully replaced electric submersible pumps in three wells at the Bretana field, with the one remaining pump replacement scheduled for completion during the month of July, 2025;
- Paid a regular quarterly dividend of $0.015 per share on June 13, bringing YTD and cumulative returns of capital to shareholders to approximately $30 million and $140 million, respectively;
- Total cash of $142.1 million as of June 30, 2025, including $31.9 million held in escrow from the first tranche of the previously announced COFIDE term loan;
Manuel Pablo Zuniga-Pflucker, President and Chief Executive Officer, commented:
'PetroTal’s preliminary Q2 2025 results reflect continued strong operational performance from our core asset base. I am pleased to report that the Bretana field continues to produce near all-time highs, in-line with expectations. Our operations team has already replaced three out of the four electric submersible pumps that failed earlier this year, restoring approximately 3,300 bopd of production capacity that was previously offline.
'We are continuing preparations for our Block 131 drilling program, although we have experienced delays in the commissioning of our new drilling rig. Despite this delay, our YTD production continues to track directly in-line with guidance, while our capital expenditures are substantially below budget so far in 2025. We intend to provide additional details on our remaining 2025 development program, including associated production expectations, with Q2 2025 results on August 7, 2025.'
Q2 2025 Production and Operations Update
PetroTal’s group production averaged 21,039 bopd in Q2 2025, including 20,512 bopd from the Bretana field (Block 95; PetroTal 100% WI) and 526 bopd from the Los Angeles field (Block 131; PetroTal 100% WI). Bretana production declined approximately 2,150 bopd relative to the prior quarter, due to a combination of natural declines and previously disclosed pump failures in four producing wells in Q4 2024 and Q1 2025. Three of the pumps have already been replaced, restoring approximately 3,300 bopd of production capacity, while replacement of the remaining pump is expected to be completed by the end of July 2025. Los Angeles field production declined by approximately 90 bopd relative to the prior quarter, due to planned well-logging activities which required the shut-in of targeted wells. Once PetroTal has completed the pump replacements at Bretana, it will move the service rig to the Los Angeles field, where a workover program is scheduled to begin by September 2025.
PetroTal continues to advance preparations for its planned drilling program at the Los Angeles field, aiming to have its drilling rig available once the workover program is completed. Importantly, the Los Angeles field currently represents less than 5% of PetroTal’s corporate production, and the delay is not expected to materially impact 2025 production guidance.
As of June 30, PetroTal’s 2025 YTD capital expenditures were approximately $40-50 million. Over the next three to six months, pump replacements at Block 95 and the workover stimulation program at Los Angeles remain on track to support production. The Erosion Control project is also continuing as planned, with no major changes to the expected project completion date or budget. PetroTal will provide a comprehensive update on its 2025 development program, including revised timelines and production expectations, with its Q2 2025 results announcement on August 7, 2025.
Cash and Liquidity Update
PetroTal ended Q2 2025 with a total cash position of $142.1 million, of which approximately $99.3 million was unrestricted. This compares to total cash of $113.6 million at the end of Q1 2025 and $95.8 million one year ago. As disclosed previously on May 13, 2025, PetroTal entered into a term loan with a syndicate of Peruvian banks in the second quarter of 2025. The first tranche of the loan, amounting to $50 million, was drawn on May 20, 2025, to fund ongoing expenses associated with the erosion control project. Of the approximately $42.8 million that PetroTal carried as Restricted Cash on June 30, approximately $31.9 million was related to the escrow account of the COFIDE loan, as previously announced on May 12, 2025.
As of June 30, PetroTal’s unaudited accounts payable and receivable were approximately $57.1 million and $65.8 million, respectively (vs. comparable values of $60.0 million and $87.0 million as of March 31, 2025, respectively).
PetroTal maintains production hedges on approximately 35% of its forecast 2025 production volumes. The costless collars have a Brent floor price of $65.00/bbl and a ceiling of $82.50/bbl, with a cap of $102.50/bbl. As of Monday July 7, PetroTal’s production hedges had a present value of approximately $3.5 million.
Management Appointment
Jose Contreras, who served as PetroTal’s Chief Operating Officer since May 2023, departed the Company on June 13, 2025. Max Torres, previously PetroTal’s Vice President of Exploration since August 2024, has been appointed Interim Chief Operating Officer. Mr. Torres brings over 30 years of experience in the global oil and gas industry, including senior management roles at Repsol and Ecopetrol. PetroTal thanks Mr. Contreras for his contributions and wishes him well. The Company has engaged an executive search firm to find a permanent replacement for the Chief Operating Officer position.
Corporate Presentation Update
The Company has updated its Corporate Presentation, available for download or viewing at www.petrotalcorp.com.
Source: PetroTal
