Full Year 2025 Results - A year of strong strategic and operational execution

ITHACA ENERGY PLC

(“Ithaca Energy”, the "Company" or the “Group”)

Full Year 2025 Results

A year of strong strategic and operational execution

Ithaca Energy, a leading UK independent production and growth company, today announces its audited full year results for the year ended 31 December 2025.

2025 Highlights:

• Material UKCS resource holders with 2P reserves and 2C resources of 658 mmboe and attractive 2P reserves replacement ratio of over 130%
• Excellent operational performance supported average production of 119 kboe/d and 2025 exit rate of approx. 148 kboe/d, demonstrating increased installed production capacity into 2026
• Strong financial performance with adjusted EBITDAX of $2.0bn (2024: $1.4bn), net cash flow from operations of $1.7bn (2024: $0.9bn) and free cash flow of $683.3million (2024: 260.8 million)
• Enhanced liquidity position of $1.5bn (2024: $1.0bn) providing material financial firepower to support future growth
• Successful execution across the pillars of the Group’s growth strategy, supporting value creation and attractive shareholder returns:

• Material targeted organic investment supporting increased production capacity, reliability enhancement and efficiency focus alongside incremental investment in high return wells
• Material progression of West of Shetland development strategy with Rosebank entering the final stages of development towards first production in 2026/27, and the continued maturation of Cambo and Tornado through key regulatory milestones towards final investment decisions within 12 months
• Continued execution of low-risk UKCS consolidation strategy and active and patient pursuit of international expansion strategy

Yaniv Friedman, Executive Chairman, commented: “Ithaca Energy delivered another year of excellent operational and financial performance in 2025. Our acquisitions in Seagull and Cygnus contributed accretive growth, which along with organic investment in the period, achieved an exit rate of 148 kboe/d and allowed us to enter 2026 with significantly increased production capacity.

“In the West of Shetland, we saw material project activity, including at Rosebank where we are progressing in line with our development timeline towards first production in 2026/27. We also saw significant progress on the maturation of the Cambo and Tornado projects, with all activities supporting a potential FID within 12 months.

“We maintained our strong financial position throughout the year, supported by strong cash flow generation, a disciplined hedging strategy, and a successful bond issuance and an upsizing of the RBL facility, giving us an improved liquidity position. We remain committed to delivering attractive shareholder returns and I am pleased to announce the third tranche of our 2025 dividend of $200 million, taking our total return to shareholders for FY 2025 to $500 million, in line with our stated target. Moving forward, as a stronger business, we are raising the targeted shareholder returns range from 15-30% to 20-35% post-tax CFFO, with a 30% target ranging between $470-520 million in FY 2026, reflecting the strong continued performance of our diverse asset base which also supports our material capital programme as we continue to invest in organic growth opportunities.

“We enter 2026 with considerable momentum and strength, focused on upholding our strategic, operational and financial discipline, and well positioned to pursue value-driven growth and deliver sustainable returns.”

Summary of key financial metrics

Other KPIs

1. Non-GAAP measure as set out on pages 66 to 67.

2. A one-off, non-cash deferred tax charge of $327.6 million in Q1 2025, reflecting the substantive enactment of the two-year extension of EPL to 31 March 2030, resulted in a reported loss of $84.1 million (2024: profit of $153.1 million). Adjusted net income of $289.2 million (2024: $323.6 million) better reflects underlying performance.

2025 Corporate Highlights

• Successful execution across our strategic pillars with a clear vision for ‘scale, stability and strength’ and continued high-grading of investment opportunities to maximise value creation and support attractive shareholder returns
• Material UKCS resource holders with 2P Reserves of 354 mmboe and 2C Resources of 304 mmboe as at 31 December 2025 (2024: 2P: 340 mmboe, 2C: 317 mmboe) and 2P reserves replacement ratio of over 130%

Disciplined investment to sustain and optimise base production above > 120 kboe/d in the medium term

• Very high levels of activity at Captain field in 2025, from execution of 13^th well campaign to completion of significant summer shutdown supporting backlog reduction, optimisation and life extension activities. The Safe Caledonia flotel has subsequently left station having performed its activities to a high operational and safety standard, including an extension to its campaign to safeguard longer-term environmental and operational performance of the field
• Continued Cygnus infill well campaign, with well C12 achieving first production in December 2025, and three further wells sanctioned on Cygnus Alpha, and further investment opportunities for the field at Cygnus Bravo expected to reach final investment decision in 2026
• Fourth and final planned well at Seagull completed with start-up achieved in November 2025 and strong early well performance recorded
• Highest net average production rates in ten years achieved at the J Area of over 20 kboe/d, reflecting material value-led investment in short-cycle, high-return opportunities including three new wells in the area

Unlocking material organic long-term growth opportunities

• Material project activity executed at Rosebank in 2025 with project progressing in line with multi-year development timeline with estimated first production in 2026/27:
  • Successful delivery of offshore subsea installation scopes in 2025, ahead of drilling activities commencing
  • The FPSO Rosebank recently sailed away from Dubai having undertaken major refurbishment works over the past two and a half years. Remaining completion and commissioning scopes are planned during this year as part of the programme to moor and hook-up in field ahead of first production in 2026/27
  • Further environmental information was submitted for the development in 2025, and we await the decision on environmental consent
  • As we enter the final full year of development, maintaining disciplined execution will be critical to delivering the project safely, on schedule and within the project cost window
• Significant progress on the maturation of the Cambo project through key milestones toward potential FID in 2026/7, including:
  • Successful technical refresh in H1 2025 leveraging technical capabilities of Eni, via the Group’s Technical Services Agreement, delivering meaningful optimisations and risk mitigations across both subsurface and facilities project scopes
  • Updated Field Development Plan and Environmental Statement submitted in Q1 2026
  • Completing tenders for the Engineering, Procurement, Construction and Commissioning (EPCC) of the FPSO and the Engineering, Procurement, Construction and Installation (EPCI) and entering market for drilling rig, with the objective of consolidating project costs and schedule, de-risking project execution
  • Farm-in process reinvigorated in early 2026, to reflect the project’s enhanced maturity, associated derisking and the more stable fiscal and regulatory outlook
• Following NSTA approval of the Fotla and Tornado Development Concepts, Field Development Plans have been submitted, with both projects progressing towards FID
• Enhanced role as a strategic infrastructure partner in West of Shetland, with Tobermory 50% farm-in positioning the Group as part of a new northern gas hub and progression of Suilven project strengthening the Greater Tornado Area strategy, unlocking synergies and further exploration potential

Track record of delivering value-accretive M&A and creating value from efficient integration

• Continued execution of low-risk UKCS consolidation strategy with acquisitions from JAPEX UK of additional 15% stake in Seagull and 46.25% interest in the operated Cygnus field from Spirit Energy, adding equity in well-understood, high-quality assets with further upside potential
• Transactions completed at attractive valuations of approximately $10/boe (excluding tax losses) for JAPEX UK and $7/boe per 2P reserves for Cygnus
• The Group continues to maintain an active but patient pursuit of international M&A opportunities in line with our focused international expansion strategy
• Successfully concluded all integration activities in relation to our Business Combination with Eni UK in October 2024, demonstrating our strong integration capabilities

Maximising value creation and delivering attractive shareholder returns

• Material dividend distributions to shareholders in 2025 of $500 million in line with our dividend target for the year, with third interim 2025 dividend of $200 million, declared today, and payable in April 2026

2025 Operational Highlights

Safe and responsible operator

• Positive trend in safety performance in 2025, with zero Tier 1 and Tier 2 process safety events recorded in the year and significant reduction in total recordable incident frequency
• Significant improvement across all key environmental performance in 2025 driven by “perfect day” focus, benefitting from the addition of lower-intensity assets, alongside continued investment in value-led decarbonisation activity
• Group gross operated emissions intensity decreased to 17.2 kgCO₂e/boe from 23.9 kgCO₂e/boe in 2025, comparing favourably against latest basin average of approx. 24 kgCO₂e/boe

Strong Q4 performance, with positive production trend continuing into 2026

• Pro forma 2025 production of 131 kboe/d reflects organic and inorganic investment and production growth, and positions Ithaca Energy as one of the largest operators in the basin (includes production from increased stakes in Seagull and Cygnus from 1 Jan 2025, through to completion)
• 2025 full year production of 119 kboe/d, at the lower end of previously upgraded guidance driven by strong core asset performance
  • Production split approximately 56% liquids and 44% gas
  • Reflects unprecedented levels of summer turnaround activity in the year
• Enhanced operational robustness of enlarged and diversified asset base, supported by continued operational improvements, optimisations and the consistent reliable delivery across the portfolio
• 2025 exit rate of approximately 148 kboe/d achieved, with peak daily production exceeding 150 kboe/d, following the successful delivery of new wells at Cygnus, Seagull and J Area in Q4

2025 Financial Highlights

• Material dividend distributions to shareholders of $500 million, with the announcement of the Group’s third interim 2025 dividend declared today of $200 million payable in April 2026, in line with our stated target for the year
• Adjusted EBITDAX of $2.0bn (2024: $1.4bn), net cash flow from operations of $1.7bn (2024: $0.9bn) and free cash flow of $683.3 million (2024: 260.8 million)
• Profit before tax of $840.3 million (2024: $334.3 million). A one-off, non-cash deferred tax charge of $327.6 million in Q1 2025, reflecting enactment of two-year extension of EPL to 31 March 2030, resulted in a reported loss of $84.1 million (2024: profit of $153.1 million)
• Adjusted net income of $289.2 million (2024: $323.6 million), better reflecting underlying performance (see financial review)
• $184 million of hedge gains and other income in the year, reflecting a $4/boe contribution to adjusted EBITDAX. Average realised oil prices for 2025 were $70/boe before hedging results and $72/boe after hedging results (2024: $81/boe before hedging results and $82/boe after hedging results). Average realised gas prices for 2025 were $63/boe before hedging results and $66/boe after hedging results (2024: $64/boe before hedging results and $78/boe after hedging results)
• Significant available liquidity of $1.5bn (2024: $1.0bn) and low leverage position of 0.56x (2024: 0.45x), providing material financial firepower to support future growth
  • Adjusted net debt of $1.3bn (2024: $0.9bn)
  • Successful issuance of €450 million 5.5% senior notes, due 2031, and $300 million upsizing of the Group’s Reserves Based Lending (RBL) facility via the accordion
  • Group RBL accordion facility of $435 million, secured as part of the 2024 refinancing, remains available, offering incremental liquidity potential from $1.5bn to approximately $1.9bn
• Adjusted net operating costs of $817 million (2024: $570 million), representing an adjusted net unit opex cost of less than $19/boe (2024: $22/boe), at the mid-point of management guidance of $790 million to $840 million, reflecting the high netback capability of the portfolio
• Total net producing asset capital expenditure of $629 million (2024: $448 million including six months of Eni UK capital costs), below the guidance range of $630 million to $670 million
• Net capital expenditure relating to the Rosebank development totaled $224 million (2024: $198 million), below the guidance range of $230 million to $270 million
• Group cash tax paid in the year of $263 million (2024: $351 million), below the guidance range of $270 million to $300 million, relating solely to the Energy Profits Levy

Guidance and Outlook

2026

• FY 2026 production guidance range of 120–130 kboe/d reflecting enhanced installed operating capacity and full year contribution of increased stakes in the Cygnus and Seagull fields
• FY 2026 net operating cost guidance range of $820-860 million, normalised using USD: GBP exchange rate of 1.35
• FY 2026 net producing asset capital cost guidance range of $600-700 million, normalised using USD: GBP exchange rate of 1.35 (excludes pre-FID projects and Rosebank development)
• FY 2026 net Rosebank project capital cost guidance range of $280-320 million, reflecting increased activity in final phase of development
• FY 2026 net decommissioning cost guidance range of $170-210 million, based on USD: GBP exchange rate of 1.35
• FY 2026 cash tax guidance of $290-340 million
• Hedged position at 17 March 2026 of 63.8 mmboe (c.39% gas, c.61% oil) through the end of 2027 from 1 January 2026. The 2026 hedge book has been built to deliver oil price certainty with >80% of oil volumes in 2026 hedged using swaps at an average of c.$67 and with collars including some participating up to c.$90/bbl ceilings. Gas hedges in 2026 deliver material upside to the business with >40% of gas volumes in Q1 to Q3 either unhedged or hedged via collars with up to 130p/ therm average ceilings. The 2027 hedge book is expanding significantly during the current high price environment
• Refreshed capital allocation framework including increased medium-term production baseline of >120 kboe/d and upward revision of shareholder dividend return range to 20-35% of post-tax CFFO, from 15–30%, together with an equal dividend payment schedule with 50% following half year results and 50% following full year results, from a 1/3^rd and 2/3^rd schedule previously. These upward revisions reflect the strength of the Group’s enhanced portfolio and increased scale which underpins the ability to deliver attractive sustainable returns, while continuing to invest for growth
• 2026 dividend commitment of 30% post-tax CFFO, with a target range of $470-520 million

Webcast and Conference call

Ithaca Energy will host a virtual presentation and Q&A session for investors and analysts at 09:00 (GMT) today, 18 March 2026. Details are accessible via our website.

Investors and Analysts – Webcast link

https://www.investis-live.com/ithaca-energy/69b2a0005388a600223b4f5c/kyukk

Investors and Analysts – Conference call

Operator Assisted Dial-In: United Kingdom (Local): +44 20 3936 2999 United Kingdom (Toll-Free): +44 800 358 1035 Global Dial-In Numbers Access Code: 404300

FY 2025 performance in review

A year of strong strategic and operational execution

2025 has been another year of excellent operational delivery and disciplined strategic execution. With strong progress across all strategic pillars, the Group has delivered a significant increase in our installed production capacity, both through organic and inorganic investment, at the same time building momentum in unlocking material long-term growth opportunities through the advancement of our West of Shetland development strategy. Together, these achievements support our vision for ‘Scale. Stability. Strength.’ and position us to maximise long-term value creation for our shareholders.

With 2P reserves of 354 mmboe and 2C resources of 304 mmboe as at 31 December 2025 (2024: 2P: 340 mmboe; 2C: 317 mmboe), Ithaca Energy stands as one of the largest resource holders in the UKCS. Through continued organic and inorganic investment, we have delivered a 2P reserves replacement ratio of over 130%. Our own internal resources process which applies detailed Project Maturity Sub‑classifications, enabling a more comprehensive assessment of the Group’s resource base, has identified approximately 350 mmboe of unbooked contingent and prospective resource potential at year end, bringing our internal view of our resources to over 1bn barrels.

Strong operational performance, delivering on upgraded production outlook for the year

2025 represents a year of outstanding operational performance, with significant improvements delivered across all key operational metrics and most notably a marked enhancement in our HSE performance. Our commitment to responsible operations and sustainable value creation, driven by a disciplined focus on achieving the ’perfect day’ has delivered improvements in safety and environmental performance, higher production efficiency, and a reduction in operating cost per barrel.

The Group recorded zero Tier 1 and Tier 2 process safety events and delivered sustained improvements in personal safety performance with a material reduction of over 25% in the Group’s Total Recordable Injury Rate (TRIR) to 1.7 (2024: 2.3), continuing the positive trend since 2023, where the TRIR stood at 3.3.

The Group’s strong production performance in 2025 reflects the enhanced operational robustness of our enlarged and diversified asset base, supported by continued operational improvements, optimisations and the consistent reliable delivery across our portfolio. Average production for the year was 119 kboe/d (2024: 80 kboe/d), at the lower end of previously upgraded guidance driven by core asset performance in the first half of the year and reflecting unprecedented levels of summer turnaround activity in the year. Production for 2025 was split 56% oil and 44% gas, with the Group’s operated assets accounting for 38% of total production.

Production efficiency performance in 2025 of 83% consistently exceeded the Group’s 2024 average production efficiency of 80% and the industry average of 75% in 2024, including a sustained 4% improvement in unplanned production efficiency performance across our operated assets in the year.

The Group now enters 2026 with increased installed production capacity, having achieved a 2025 exit rate of approximately 148 kboe/d, and with peak daily production exceeding 150 kboe/d, following the successful delivery of new wells at Cygnus, Seagull and J Area in the final quarter of the year.

Adjusted net operating costs in 2025 of $817 million (2024: $570 million), representing an adjusted net unit opex cost of $19/boe (2024: $22/boe), was at the mid-point of management guidance of $790 million to $840 million, reflecting the high netback capability of the portfolio. Our aim is to maintain opex per boe in the low $20s in the medium-term to deliver resilient production in all commodity environments.

Total net producing asset capital expenditure of $629 million (2024: $448 million, including six months of Eni UK capital costs), came in at the lower end of the Group’s management guidance range of $630 million to $670 million. Net capital expenditure relating to the Rosebank development totalled $224 million (2024: $198 million), falling below management’s guidance range of $230 million to $270 million.

Group cash tax paid in the year of $263 million (2024: $351 million) was below the Group’s management guidance range of $270 million to $300 million, relating solely to the Energy Profits Levy.

Significant progress across all strategic pillars in 2025, supporting our vision for further ‘Scale. Stability. Strength.’

The Group has successfully executed across its organic and inorganic growth strategy in the year, with a clear vision for further ‘Scale. Stability. Strength’. As a disciplined and value-led business, we continued to high-grade investment in our diverse UK North Sea portfolio, sustaining and optimising our base production while investing to unlock material long-term growth opportunities and consolidating our positions in existing high-quality assets that offer upside potential.

Organic growth – Disciplined investment to sustain and optimise base production while unlocking material long-term growth opportunities

In 2025, we have seen the clear and immediate benefit of our strategy to invest in order to sustain and optimise our base production, with a significant increase in our installed production capacity as we exited the year. This was achieved through targeted investment toward new tie-in opportunities, asset optimisation and life extension initiatives, and infill drilling campaigns with material investment across our operated and non-operated asset base.

The Group’s operated Captain field continued to see very high levels of activity in 2025 from the execution of the 13^th well campaign to the completion of a significant summer shutdown with material backlog reduction, optimisation and life extension activities completed. In the first half of the year, the Group successfully delivered the drilling, completion and production start-up of wells C73 and C74, the work over of well C47 and in response to the Enhanced Oil Recovery Phase II project, production from the subsea wells has doubled, together contributing to the highest reported production rate for the asset in recent years.

Recognising the importance of Captain as a strategic operated asset, a major flotel campaign commenced in mid-2025 to support the long-term stability and operational performance of the asset, ensuring that the facility remains safe and reliable through its long-term field life. The decision to extend the Safe Caledonia flotel campaign was made later in the year, executing further critical scopes and investment into safeguarding longer-term environmental and operational performance. The flotel has subsequently left station having performed its activities to a high operational and safety standard.

The Cygnus infill well campaign continued through 2025, with well C12 achieving first production in late December. As we enter 2026 further investment activity has been sanctioned to sustain and optimise production at the Cygnus field, supporting the continuation of the long-term infill drilling campaign with commitments to the 14^th and 15^th wells on Cygnus Alpha. The previously sanctioned 13^th well was spudded in Q4 2025, scheduled to be followed by the 14^th well in Q2 2026, with the final firm well planned for a Q4 2026 spud. Further investment opportunities for the field, including two further infill wells at Cygnus Bravo, are expected to reach final investment decision in H1 2026.

At Seagull, the fourth and final planned well was completed, with start-up achieved in November 2025 after extended well completion operations, with strong early well performance recorded. Completion of the J4 well marks the transition of Ithaca Energy’s role as development well operator, to a non-operated owner.

Average net production in 2025 from the J Area reached over 20 kboe/d, delivering its highest average production rates in ten years and making the area the most significant contributor to the Group’s 2025 production. The area’s significant production contribution reflects the Group’s increased stakes in the area post Eni UK business combination, material value-led investment in short-cycle, high-return opportunities including three new wells in the area: Jocelyn South, a long-extended reach Judy infill well and a final well at Judy east flank delivered late December, together with strong performance of the recently brought online Talbot field and a successful well stimulation campaign at Joanne.

The Group executed unprecedented levels of turnaround activity during the summer window, with 12 out of the 15 turnarounds completed to plan or better. This major investment across our operated and non-operated base was critical to supporting the ongoing production efficiency of our diversified asset base.

The Group continues to make strong progress in unlocking material value across its long-life, high-value resource base, predominantly in the West of Shetland. The publication of the UK Government’s Scope 3 guidance in June, the North Sea Future Plan and the EPL successor regime in November, has provided increased regulatory and fiscal clarity. This evolving certainty supports the progression of key development assets towards a final investment decision, aligned with the UK’s long-term energy security objectives.

At Rosebank, material project activity was executed in 2025, including the successful delivery of offshore subsea installation scopes delivered on time and within budget, ahead of drilling activities. The FPSO Rosebank recently sailed away from Dubai having undertaken major refurbishment works over the past two and a half years. Remaining completion and commissioning scopes are planned during this year as part of the programme to moor and hook-up in field ahead of first production in 2026/27. Further environmental information was submitted for the development in 2025, and we await the decision on environmental consent. As we enter the final full year of development, maintaining disciplined execution will be critical to delivering the project safely, on schedule and within the project cost window.

We have made significant progress during 2025 in the maturation of the Cambo project toward a potential FID in 2026/27. In the first half of the year, the regulator granted an 18-month licence extension, supporting the continued progression of the project towards its licence milestones. A technical refresh of the Cambo project in H1 2025, leveraging the technical capabilities of Eni, delivered meaningful optimisation of the development concept, de-risking the project significantly and enabling the launch of tendering processes for major project packages including the FPSO Engineering, Procurement, Construction and Commissioning (EPCC) contract and EPCI contract for Subsea, Umbilicals, Risers and Flowlines package. In Q1 2026, the Group submitted an updated Field Development Plan and Environmental Statement, reflecting the project optimisations and reduction in environmental impact identified during the technical refresh. The farm-in process was reinvigorated in early 2026, to reflect the project’s enhanced maturity, associated de-risking and the more stable fiscal and regulatory outlook, with a continued expectation that a farm-in agreement would be reached prior to project sanction.

Across the broader resource base, the Group continued to advance a number of projects through key regulatory milestones, with NSTA approval secured for the Fotla and Tornado Development Concepts, and the subsequent submission of the Field Development Plans for both projects in 2025. These projects have now reached a level of maturity that positions them close to final approval, demonstrating the robustness of the technical and regulatory work carried out to date. In support of the Group’s West of Shetland gas strategy, Ithaca Energy announced its 50% farm-in to Tobermory, while continuing to progress the Suilven development, enabling potential synergies between the Tornado and Tobermory gas fields and infrastructure led exploration in the area and strengthening Ithaca Energy’s position as a strategic infrastructure partner in the area. Together, Tornado, Tobermory and Suilven significantly strengthen our position and underpin the robustness of the Group’s overall development strategy in the key West of Shetland Area.

Inorganic growth: Disciplined execution of M&A strategy

The Group successfully executed against its inorganic growth strategy, pursuing low-risk consolidation in its core UKCS basin through the acquisitions from JAPEX and Spirit Energy of an additional 15% stake in Seagull and 46.25% interest in the Group’s operated Cygnus fields respectively. The bolt-on transactions enhanced the Group’s stakes in well-understood, high-quality, long-life assets delivering near-term production growth and cash flow generation, increasing pro forma 2025 production by 17 kboe/d and adding 44 mmboe of 2P reserves and 2C resources as at 1 January 2025.

The Cygnus acquisition enhances the Group’s stake in the UKCS’s largest producing gas field, adding additional operated high-margin, low-emission gas production to its portfolio and strengthening the Group’s position as a leading UKCS gas producer, providing critical domestic energy security.

These strategic acquisitions reinforce the Group’s position as a leading consolidator in the UKCS, delivering growth through targeted, value-accretive transactions that offer tangible near-term benefits and long-term potential. Both transactions met the Group’s disciplined investment criteria and were completed at attractive valuations of approximately $10/boe (excluding tax losses) for Japex E&P UK and $7/boe per 2P reserves for Cygnus.

In line with the Group’s focused international expansion strategy, we continued to assess global M&A opportunities in an active but patient manner during 2025. Our priority as we enter 2026, is to target regions that offer meaningful follow‑on consolidation potential, allowing us to build scalable positions and maximise returns. This selective approach ensures capital is allocated to markets where we can replicate our proven model for value creation.

Following completion of the Business Combination with Eni UK in October 2024, integration activities were completed by the end of H1 2025, including a restructuring process aimed at creating an optimised organisation to support our next phase of growth. The integration process, set the enlarged business up for success, realising operational synergies as efficiently as possible, including the relocation of our workforce to our Aberdeen headquarters.

Responsible operator

Our commitment to ESG serves as our licence to operate and guides the way we create long-term sustainable value. We recognise the need to balance the reliable long-term supply of hydrocarbons, critical to delivering domestic energy security and affordability for the end user, with the necessity to lower our emissions footprint. In 2025, we supplied over 10% of the UK’s oil and gas production, highlighting both the scale of our contribution and the material imbalance between domestic supply and consumption. In a period of heightened geopolitical tension and global energy uncertainty, this reinforces the strategic importance of developing and sustaining the UK’s own resources to support energy resilience.

Our ESG mindset drives a clear commitment to value-led decarbonisation taking progressive, economically disciplined steps that strengthen the sustainability of our business. Our well-defined ESG strategy is built around three key pillars: acquiring assets that enhance our overall emissions; investing in low emission intensity assets capable of driving the meaningful long-term transition of our portfolio; while delivering targeted, economically-viable optimisation activities across our existing operations in the short-term.

In 2025, we delivered strong performance across all three pillars of our ESG strategy. Our M&A activity directly supported significant improvements to our medium-term emission profile through the acquisition of increased stakes in low-intensity assets, Cygnus and Seagull. In parallel, the progression of Rosebank towards first production alongside the continued maturation of low emission intensity developments, such as Cambo and Tornado toward FID, in addition to preparing the high-intensity Greater Stella Area and Alba fields as planned for cessation of production and decommissioning, positions the Group to materially transform the emission intensity of our portfolio in the long-term. Across our portfolio, we also made significant progress on emissions reduction initiatives aimed at optimising our footprint in the short to medium-term, including flare gas recovery projects at Captain and Cygnus and pump replacement projects and export compressor projects at Captain, supported by the extension of the Safe Caledonia flotel campaign.

The Group delivered a significant improvement in its environmental performance in 2025, reflecting changes in portfolio composition post Business Combination with Eni UK, and through further consolidation activity in 2025, with the portfolio benefitting from the addition of lower-intensity assets, alongside continued investment in value-led decarbonisation activity. The Group’s gross operated emissions intensity decreased to 17.2 kgCO₂e/boe from 23.9 kgCO₂e/boe in 2024, marking material progress towards its decarbonisation objectives and comparing favourably against the latest basin average of approximately 24 kgCO₂e/boe. The Group also reported a material reduction in the number of reportable releases to sea (spills). A reduction of 67% was recorded in the year driven by clearer procedures, asset integrity investment, training and vendor oversight.

Evolving UK regulatory and fiscal landscape

2025 has been characterised by continued fiscal and regulatory uncertainty, marked by three significant industry consultations covering the treatment of Scope 3 emissions, the Future of the North Sea and the design of a successor regime to the energy profits levy ahead of its scheduled sunset in 2030. The significance of these consultations understandably placed the sector into a holding pattern throughout the year, contributing to a continued hiatus of material long-term investment activity across the sector.

Throughout the year, we welcomed significant engagement with His Majesty’s Treasury (HMT) and His Majesty’s Revenue & Customs (HMRC) in relation to the EPL successor regime, culminating in the announcement of the Oil and Gas Price Mechanism (OGPM) as part of the Chancellor’s Autumn Statement. The revenue-based OGPM aims to establish a framework for future price shock environments, taxing windfalls at an increased commodity threshold rate of $90 per barrel for oil and 90 pence per therm for gas (inflation adjusted). The introduction of the OGPM represents an important and welcome step in providing greater fiscal certainty necessary for making long-term investment decisions. We will continue to work collaboratively with HMT and HMRC as the mechanism progresses through the legislative process, while continuing to advocate for an earlier introduction to stimulate investment in the basin.

Alongside the OGPM announcement, the UK Government also published the North Sea Future plan, setting out its response to the Future of the North Sea consultation, which closed in early 2025. Following publication of the North Sea Future Plan, we expect significant engagement with the UK Government through the legislative phase, primarily the Department of Energy Security and Net Zero, to ensure policy development reflects the significant economic and strategic value our industry brings to the UK, while supporting a just and orderly energy transition.

Material financial firepower to support growth aspirations and attractive shareholder returns

We remain firmly focused on maintaining a strong and flexible balance sheet as the foundation of our capital allocation priorities. Our enhanced financial position supports continued investment in sustaining base production, protects our low leverage profile, and enables disciplined hedging through the cycle. This approach ensures we continue to deliver attractive shareholder returns while preserving the financial agility to evolve our business by pursuing both organic and inorganic growth opportunities.

The Group further enhanced its liquidity position in the year, increasing available liquidity to $1.5bn (2024: $1.0bn), providing material financial firepower to support future growth. Our strong credit credentials were highlighted by the successful issuance of €450 million 5.5% senior notes, due 2031, which attracted significant investor demand. The proceeds were subsequently swapped to US Dollars at an effective all-in USD interest rate of approximately 6.7%.

Liquidity was strengthened further through a $300 million upsizing of the Group’s RBL facility via the accordion, with the participation of all new lending institutions. Combined, the notes issuance and RBL upsizing have optimised the Group’s financial structure and extending its debt maturity profile. The Group’s unused RBL accordion facility of $435 million, secured as part of the 2024 refinancing, also remains available, offering incremental liquidity potential from $1.5bn, up to approximately $1.9bn.

Following the bond issuance, adjusted net debt increased to $1,258.2 million (2024: $884.9 million), with the Group’s RBL facility of $1,300 million (excluding letters of credit) remaining fully undrawn at year‑end. Pro forma leverage increased modestly to 0.56x (2024: 0.45x) and remains low, providing a robust financial foundation for disciplined future growth.

Our enlarged portfolio delivered strong financial results, generating adjusted EBITDAX of $2.0bn (2024: $1.4bn), net cash flow from operations of $1.7bn (2024: $0.9bn) and free cash flow of $683.3 million (2024: 260.8 million). This step change in performance, despite a softening commodity price environment, reflects both the transformational Business Combination with Eni UK, which created a diversified and scaled portfolio, and the enhanced outlook reported mid-year as a result of sustained strong operational performance and continued optimisations and efficiencies being realised across the business.

Profit before tax for the year was $840.3 million (2024: $334.3 million). A one-off, non-cash deferred tax charge of $327.6 million in Q1 2025, reflecting the substantive enactment of the two-year extension of EPL to 31 March 2030, resulted in a reported loss of $84.1 million (2024: profit of $153.1 million). Adjusted net income of $289.2 million (2024: $323.6 million) better reflects underlying performance.

The Group’s net current liability position has improved to $303.9 million (2024: $456.5 million) largely as a result of deferred consideration payments made in 2025. The Group expects that the net current liability position will be addressed through a combination of operating cash flows and available liquidity.

The effectiveness of the Group’s disciplined hedging strategy was demonstrated during the year, with hedge gains and other income of $184 million recorded, reflecting a $4/boe contribution to adjusted EBITDAX. Our proactive approach to commodity risk management is designed to strike the right balance between maintaining exposure to commodity price upside while ensuring strong downside protection of cash flows to support planned investment and uphold commitments to shareholder returns through the cycle. Following significant proactive hedging activity in Q1 2026, taking advantage of market volatility, the Group has built a material hedge position as at 17 March 2026 of 63.8 mmboe (c.39% gas, c.61% oil) through the end of 2027 from 1 January 2026. The 2026 hedge book has been built to deliver oil price certainty with >80% of oil volumes in 2026 hedged using swaps at an average of c.$67 and with collars including some participating up to c.$90/bbl ceilings. Gas hedges in 2026 deliver material upside to the business with >40% of gas volumes in Q1 to Q3 either unhedged or hedged via collars with up to 130p/ therm average ceilings. The 2027 hedge book is expanding significantly during the current high price environment.

Our commitment to delivering attractive and sustainable shareholder returns remains unwavering. In 2025, our strong operational and cash flow performance has supported total cash dividend distributions of $500 million, including the first interim 2025 dividend of $167 million declared and paid in September 2025, and the acceleration of a second interim dividend of $133 million declared and paid in December. The Board has today declared a third interim dividend of $200 million in respect of the 2025 financial year to be paid in April 2026, bringing our total 2025 dividends declared to $500 million, in line with our stated target for the year. Since our IPO in November 2022, we have built a strong track record of delivering material returns to shareholders with $1.4bn of dividends declared and returned to shareholders across three financial years.

Looking ahead, the Board has reviewed the dividend policy, as part of the broader capital allocation framework, and increased the targeted shareholder return range to 20-35% of post-tax CFFO, up from the previous range of 15–30%. This upward revision reflects the strength of the Group’s enhanced portfolio and underpins our ability to deliver attractive sustainable returns, while continuing to invest in growth.

Outlook

Following a year of exceptional strategic and operational delivery, we enter 2026 from a position of considerable strength. We will continue to uphold our strategic, operational and financial discipline as we pursue value-driven growth, high-grading investment across our strategic pillars and operating within the parameters of our refreshed capital allocation policy to maximise value creation and deliver attractive, sustainable shareholder returns.

Management provides the following guidance for the year and medium-term outlook:

Our 2026 production guidance of 120-130 kboe/d reflects the Group’s enhanced installed operating capacity at year end and the full-year contribution of increased stakes in the Cygnus and Seagull field following continued consolidation in the year. Beyond 2026, the Group expects to maintain production above 120 kboe/d in the medium-term from its existing producing asset base, the start-up of the Rosebank development and other project investments.

Our operating cost guidance for 2026 of $820-860 million, based on USD: GBP exchange rate of 1.35, reflects a reduction in opex per barrel driven by the high netback capability of the portfolio. In the medium-term, we expect to maintain a relatively flat unit operating cost per barrel of approximately $20/boe.

Our producing asset capital cost guidance for 2026 of $600-700 million, based on USD: GBP exchange rate of 1.35, (excluding capital investment for projects awaiting FID and Rosebank), reflects our continued high levels of organic investment activity to sustain and optimise production at Captain, Cygnus, J-Area and Mariner in support of our medium-term outlook.

Rosebank development costs to be in the range of $280-320 million reflecting increased activity in the final phase of the project development, including completion of FPSO modification, drilling and hook-up and commissioning works.

Net decommissioning cost guidance of $170-210 million, based on USD: GBP exchange rate of 1.35, reflects the cessation of production of the Group’s operated Alba field and the Greater Stella Area in 2026.

Estimated 2025 cash tax payments of $290-340 million, primarily EPL related.

Our material hedge position at 17 March of 63.8 mmboe provides strong cash flow coverage into 2027, following significant proactive hedging through Q1, taking advantage of upside market volatility.

Our 2026 dividend commitment is 30% post-tax CFFO with a target range of $470-520 million.

Enquiries

Notes:

¹ Non-GAAP measure

About Ithaca Energy plc

Ithaca Energy is a leading UK independent exploration and production company with a strong track record of material value creation. In recent years, the Company has been focused on growing its portfolio of assets through both organic investment programmes and acquisitions and has seen a period of significant M&A driven growth centred upon three transformational acquisitions in recent years, including the recent Business Combination with Eni UK. Today, Ithaca Energy is one of the largest independent oil and gas companies in the United Kingdom Continental Shelf (the “UKCS”), by production and resources.

With stakes in six of the ten largest fields in the UKCS and two of UKCS’s largest pre-development fields, and with energy security currently being a key focus of the UK Government, the Group believes it can utilise its significant reserves and operational capabilities to play a key role in delivering security of domestic energy supply from the UKCS.

Ithaca Energy serves today’s needs for domestic energy through operating sustainably. The Group achieves this by harnessing Ithaca Energy’s deep operational expertise and innovative minds to collectively challenge the norm, continually seeking better ways to meet evolving demands.

Ithaca Energy’s commitment to delivering attractive and sustainable returns is supported by a well-defined emissions-reduction strategy with a target of achieving net zero ahead of targets set out in the North Sea Transition Deal.

Ithaca Energy plc was admitted to trading on the London Stock Exchange (LON: ITH) on 14 November 2022.

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