Genel Energy PLC (LSE:GENL, OTC:GEGYY), as it released full-year results for 2024, told investors that it has seen ‘progress on the journey of building towards delivering resilient, diversified cash flows’.
“Our shift from cash outflow in 2023 to cash generation in 2024 has been important, and in 2025 we expect the cash generated by the Tawke PSC to continue to cover our costs,” chief executive Paul Weir said.
“We are delighted to have established a footprint in the Sultanate of Oman, through our award of an interest in Block 54. This is the first step on our roadmap to diversification.”
He added: “For 2025, we remain focussed on three principal objectives: maintenance of a strong balance sheet; resilient cash generation from the core business; and the addition of new assets.”
Genel reported that working interest production increased by 58% to 19,650 barrels of oil per day (bopd), up from 12,410 bopd in 2023.
Revenue declined to $74.7 million from $78.4 million, while operating loss widened to $52.4 million from $10.3 million. Despite the operating loss, Genel generated $19.6 million in free cash flow, compared to an outflow of $71 million in 2023.
The company ended the year with $130.7 million in net cash, an increase from $119.7 million.
Genel added that it continues to work with the Kurdistan Regional Government (KRG) on the settlement of overdue payments.
In a separate statement, Genel announced it has engaged Pareto Securities and is arranging fixed-income investor meetings.
It will potentially issue a new senior unsecured bond with a five-year tenor, depending on market conditions. The objective is to refinance outstanding bonds due to mature in October.