Energean plc (LSE: ENOG, TASE: אנאג) provides an update on recent operations and the Group’s trading performance in the 9-months to 30 September 2020 together with updated guidance for the full year. 

Energean: Karish Development 85% completed
Caption: The Energean Power FPSO at the Admiralty Yard, Singapore

Mathios Rigas, Chief Executive of Energean commented: “In the third quarter, we have continued to make solid progress on Karish, our flagship gas project in Israel, which is scheduled to deliver first gas in 4Q 2021. The project’s economics, cash-flows and returns profile have been further enhanced through increasing firm gas sales by 1.4 Bcm/yr, to 7.0 Bcm/yr, and revising the expected liquids production plateau to an average of 28 kbpd, from previous estimates of less than 10 kbpd. 

We look forward to completing our acquisition of Edison E&P in December 2020, which, alongside Karish, will further secure our long-term, resilient cash flow profile and option-rich portfolio. Following completion of the deal, approximately 70% of our future production will be sold under long-term gas sales agreements that will largely insulate our revenues against commodity price volatility and enable us to realise our medium-term ambition to pay a meaningful and sustainable dividend. We have also switched to 100% renewable energy in powering our assets in Prinos, which has driven a 100% reduction in the asset’s Scope 2 carbon emissions and an approximate 45% reduction of Scope 1 & 2. 

We are exploring opportunities to roll this strategy out across all operated assets in the post-completion portfolio, which will mark a near-term step towards our net zero goal. We are confident that we can achieve this target and are also assessing a number of other options that would leverage our upstream expertise, such as carbon capture utilisation and storage, to help to deliver a lower carbon world.” 


• The Karish development was 85% complete as of 26 October 2020 

• In Singapore, all main modules have been lifted onto the hull of the Energean Power FPSO, signalling completion of the first major milestone of the FPSO integration campaign 

• Independent Competent Persons Report (“CPR”) confirms gross (Energean 70%) 2P reserves of 98 Bcm (3.5 Tcf) of gas and 99.6 million barrels (“MMbbls”) of hydrocarbon liquids in Karish, Karish North and Tan

• Total estimated working interest 2P reserves and 2C resources across the Energean portfolio, inclusive of Edison E&P, stand at 850 million barrels of oil equivalent (“MMboe”), approximately 70% of which is gas 

• Liquids production at Karish now expected to average 28 kbpd (gross) on plateau with the uplift expected to have no discernible impact on scope 1 and scope 2 carbon emissions from the field

• Karish North Field Development Plan (“FDP”) approved by the Israel Ministry of Energy during August 2020 

• Switched to 100% renewable energy in powering our Prinos asset, which has driven a 100% reduction in its Scope 2 carbon emissions and a c.45% reduction of Scope 1 & 2 emissions 

• In August 2020, Energean was rated “A” under the MSCI’s ESG rating system and in September 2020, Sustainalytics increased its rating on the Company to “Outperformer” 

• At 30 September 2020, Energean had cash and undrawn facilities of $771 million 

• On 11 November 2020, Energean increased the facility size of its Egypt RBL by $60 million, to $280 million 

Edison E&P (subject to closing) 

• Under the amended SPA, the net consideration (net of cash acquired) that would have been payable had completion occurred on 30 September 2020, would have been $224 million 

• Energean expects to close the transaction in December 2020

Combined business results 

• 9-months to 30 September 2020 pro forma production1 was 50 kboed, compared with full year guidance of 44.5 – 51.5 kboed 

• 9-months to 30 September 2020 pro forma revenue1 was $252 million and operating cash flow1 was $94 million 


• Expected closing of the Edison E&P acquisition in December 2020 

• Completion of the subsea and onshore works associated with the Karish project is expected in 2Q 2021 

• Sailaway of the Energean Power FPSO from Singapore to Israel expected in Summer 2021 with first gas in 4Q 2021 

• Final Investment Decision (“FID”) on the Karish North (Israel) and NEA/NI (Egypt) development projects are both expected before year end 2020 

• Outcome of discussions with the Greek Government regarding a financing package to support continued investment in the Prinos area expected shortly

• Roll-out of renewable energy sourcing strategy across all operated assets, further enhancing our 3-year, 70%+ carbon intensity reduction plan, towards our net-zero commitment 

• 2020 pro forma full year production guidance is maintained at 44.5 - 51.5 kboed2

• 2020 pro forma consolidated group capital expenditure is reduced to $625 - 685 million, previously $635 – 705 million