Gulf Keystone Petroleum said its shares jumped 9.3% after reporting a 25% rise in adjusted EBITDA for the first half of 2026, driven by a surge in oil prices despite a sharp decline in output.
The London-listed independent oil producer posted adjusted EBITDA of $51.7 million in the six months to June 30, up from $41.1 million in the same period a year earlier. Revenue based on entitlement invoices remained broadly flat at $82.8 million, compared with $83.1 million in H1 2025, as lower volumes offset higher prices.
The average realized price for export sales climbed to $83.5 per barrel from $27.8 per barrel a year ago, reflecting a more than threefold increase. This gain was tempered by an $8.8 per barrel discount to Dated Brent. Gross average production fell 67% to 14,600 barrels of oil per day, down from 44,100 bopd in the prior-year period, due to precautionary shutdowns at the Shaikan Field.
Production was halted between February 28 and June 23 following regional security concerns, with a second shutdown between July 19 and August 15. Operations resumed on August 16, with gross volumes approaching 40,000 bopd.
Operating costs declined 25% to $20.2 million, while other general and administrative expenses fell 6% to $4.3 million. The company maintained a debt-free balance sheet with $63.5 million in cash as of August 24. A semi-annual dividend of $12.5 million was paid in April, and an interim dividend of $10 million, equivalent to $0.046 per share, was declared for payment on September 28.
Gulf Keystone said it continues to pursue full production-sharing contract entitlement for export sales at international prices. Tripartite interim export agreements have been extended through January 2027.
