- Strong and consistent execution, unlocking long-term potential
- and delivering attractive shareholder returns.
- Guidance reiterated with dividend guidance trending upwards, expected to be above $500 million
Ithaca Energy has announced its unaudited financial results for the three months ended 31 March 2026.
Key Q1 2026 highlights:
- Strong quarterly production: Average Q1 production of 126 kboe/d (Q1 2025: 127 kboe/d), despite adverse weather conditions impacting operating capacity in January and the first half of February, fully reflected in FY 2026 production guidance issued in March, which is reaffirmed today. The strong operational performance is trending into Q2
- Strong financial performance and increased balance sheet strength: Q1 adjusted EBITDAX1 of $571 million (Q1 2025: $653 million) underpins the strong cash generation potential and resilience of our portfolio, supporting an increase in available liquidity1 to $1.6bn, and a reduction in net debt in the quarter. Adjusted net debt/pro forma adjusted EBITDAX ratio1 of 0.54x
- Unlocking the long-term potential of our portfolio:
- Entered long-term rig sharing agreement through to 2030 to support activity across the full life-cycle of projects from development to decommissioning
- Completion of strategic 50% farm-in to licenses P2629 and P2630, located in the West of Shetland basin, containing the Tobermory discovery, partnering with Adura
- Farm-down of 45% interest in the Fotla Development to Harbour Energy, building on existing infrastructure partnership and supporting progression of project towards FID in 2026
- Maturation of Greater Tornado Area following submission of Tornado field development plan, and supported by the continued advancement of Suilven towards concept selection, as the first expected tie-back to the hub
- Material hedge position: Extension of hedge book during current high price environment, with attractive hedge positions protecting cash flows into 2028
- Delivering attractive shareholder returns: Third interim 2025 dividend of $200 million paid in April 2026, taking total 2025 dividends to $500 million
- Reaffirmation of management guidance: Management reaffirms all previously provided guidance including the commitment to 30% post-tax CFFO for FY 2026, with dividend trending to the upper end of management's guidance range of $470-520 million, and expected to be over $500 million
Executive Chairman, Yaniv Friedman, commented: 'Ithaca Energy's strong performance in the first quarter of 2026 reflects the strength of our strategy, our continued disciplined execution and ongoing commitment to operational excellence as we reiterate our guidance for the full year. We are also seeing this strong operational performance trending into Q2. We have made meaningful progress across our key initiatives, including progress on various drilling programmes, advancement of our key development projects, while reaching successful farm-in agreements for Fotla and Tobermory, ensuring we remain well-positioned to deliver long-term value creation and attractive shareholder returns. As a result of escalated commodity prices, we now anticipate that our FY 2026 dividend will likely move to the upper end of our guidance range at over $500 million, with shareholders participating in the upside exposure to strengthened cash flow generation through our distribution policy in 2026 of 30% post-tax CFFO.'
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Source: Ithaca Energy
