Press Release

FY2023 Trading Update

15 February 2024


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

FY 2023 Trading Update

Robust financial performance and continued strategic delivery

Ithaca Energy, a leading UK independent exploration and production company, today provides the following unaudited trading update for the year ended 31 December 2023, ahead of announcing its Full Year Results on 21 March 2024.

  • 2023 full year production of 70.2 thousand barrels of oil equivalent per day (kboe/d), in line with previously stated guidance of 68–74 kboe/d
  • Underpinned by high levels of production efficiency across our operated asset base of 84%
  • Production split 66% liquids and 34% gas
  • Estimated 2023 net operating costs of $524 million, representing a net unit opex cost of $20.5/boe, marginally better than the lowered management guidance of $525 - $575 million
  • Internal cost optimisation project driving strong cost control in an inflationary environment
  • Estimated 2023 net producing asset capital cost of $392 million, in line with management guidance of $390 - $435 million
  • Reflects a reduction in planned activity in the year as a direct result of the Energy Profits Levy
  • Estimated 2023 net Rosebank capital spend of $97 million, in line with management guidance of $90 - $110 million and reflecting the meaningful activity in 2023 as project activity ramps up to support a targeted first oil date in 2026/27
  • Estimated 2023 adjusted EBITDAX of $1.7 billion (2022: $1.9 billion)
  • Strong cash flow generation supporting continued deleveraging of the balance sheet with net debt of $572 million at period end, representing an estimated Group leverage position of 0.3x
  • The Group’s available liquidity stands at over $1.1 billion, including undrawn RBL availability of $835 million following completion of the latest redetermination
  • Full year 2023 total dividend of $400 million reaffirmed, with remaining $134 million payment payable following the publication of the full year results
  • The Group expects to publish guidance for 2024 with the full year 2023 results on 21 March 2024 together with a full Competent Persons Report (CPR), including field economic outputs, prepared by an independent reserves auditor

Gilad Myerson, Executive Chairman, commented: “I am pleased to report a strong set of 2023 results, with trading in line with guidance. We have made significant progress across our strategic objectives in 2023, delivering against our BUY, BUILD and BOOST strategy, including the milestone sanctioning of the Rosebank development.”

Iain Lewis, Chief Financial Officer & Interim Chief Executive Officer, commented: “We begin 2024 in a position of strength with a diverse portfolio of high-quality assets and significant investment optionality. Strict cost control and strong cash flow generation in 2023 has supported the continued deleveraging of the balance sheet with significant flexibility to support our future growth plans.”


Ithaca Energy

Kathryn Reid – Head of Investor Relations, Corporate Affairs & Communications

FTI Consulting (PR Advisers to Ithaca Energy)

+44 (0)203 727 1000

Ben Brewerton / Nick Hennis / Rosie Corbett

About Ithaca Energy plc

Ithaca Energy is a leading UK independent exploration and production company focused on the UK North Sea 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 two transformational acquisitions in recent years. Today, Ithaca Energy is one of the largest independent oil and gas companies in the United Kingdom Continental Shelf (the “UKCS”), ranking second by 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 by 2040.

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