Ithaca Energy raised its 2026 dividend forecast to between $500 million and $530 million after reporting record second-quarter production of 131,000 barrels of oil equivalent per day in the U.K. North Sea, up 4% from the prior quarter and 48% gas-weighted.
The company’s first-half net profit reached $127 million, while adjusted first-half EBITDAX totaled $1.12 billion. Net debt declined to $1.02 billion by June 30, with leverage falling to 0.49 times. Available liquidity increased to $1.9 billion, up from $1.6 billion at the end of March, supported by a €155 million bond tap executed in the second quarter.
Ithaca reaffirmed its full-year 2026 production guidance at 120,000 to 130,000 boed, matching consensus estimates. First-half output averaged 128,000 boed, compared with 124,000 boed in the same period last year. Operating expenses were reduced by $20 million to a range of $800 million to $840 million, with per-barrel costs improving to $17 to $19.
Capital expenditure guidance for 2026 was adjusted, with ex-Rosebank spending held at $600 million to $700 million. Rosebank project capex was trimmed to $250 million to $280 million, down from $280 million to $320 million, as some spending shifted into 2027. Decommissioning costs were guided at $170 million to $210 million, with cash tax payments expected between $290 million and $340 million.
Analysts at Jefferies highlighted the increase in liquidity as the most notable aspect of the report. Ithaca also reiterated its strategy to pursue mergers and acquisitions opportunities in the U.K. Continental Shelf and internationally, while maintaining a patient approach to expansion.
Shares in Ithaca Energy rose about 5% in early London trading by 07:17 GMT on Wednesday.
