Zenith Energy Ltd. (LSE:ZEN; OSE:ZENA) reported that its Italian electricity generation operations delivered a 22% increase in net operating contribution during the eight months ended August 31, 2026, compared with the same period in 2025.
Canoel Italia S.p.A., Zenith’s Italian subsidiary, generated approximately EUR 820,000 in net operating contribution over the period. Electricity production remained stable at roughly 8,000 MWh total, or about 1,000 MWh per month, according to unaudited operational records.
The company attributed the improved cash flow to higher selling prices rather than increased output. The average selling price rose to approximately EUR 137 per MWh. Net electricity revenues reached around EUR 1.1 million, or roughly EUR 200,000 per month at current price and production levels. Production costs held flat at approximately EUR 35,000 per month throughout the period.
Luca Benedetto, managing director of Canoel Italia, said production had remained stable and higher electricity prices were translating directly into greater cash generation.
The improvement came against a backdrop of rising energy commodity prices. Italian day-ahead gas prices averaged approximately EUR 77 per MWh in September, up from about EUR 35 per MWh in February 2026. The Dutch TTF benchmark gas price climbed to around EUR 84 per MWh on September 14, marking its highest level since December 2022. Italian electricity prices averaged approximately EUR 208 per MWh for the first 10 days of September 2026. Brent crude also rose above USD 100 per barrel in September, reaching approximately USD 109 per barrel on September 15.
Zenith Energy stated it intends to grow its Italian energy portfolio through potential acquisitions and the development of its photovoltaic portfolio.
