HBR Harbour Energy Plc

Materially increased and diversified production, averaging 258 kboepd (2023: 186 kboepd), up c.40 per cent and in line with guidance. Production was split approximately 40% liquids, 45% European gas and 15% non-European gas. On a proforma basis, production was 479 kboepd

Unit operating costs averaged $16.5/boe (2023: $16.4/boe), in line with guidance 

Total recordable injury rate of 1.0 per million hours worked (2023: 0.7), reflecting a TRIR of 1.6 from the newly acquired assets for the last four months of 2024

Successful start-up of the Fenix (Argentina) and Talbot (UK) projects, and development wells on stream at Skarv and Njord (Norway) and Greater Britannia and AELE (UK)

Progress at new developments supporting future production, including Maria Phase 2 and Dvalin North (Norway), and commencement of a multi-pad drilling campaign at the Aguada Pichana Este licence in the unconventional Vaca Muerta play (Argentina)

Successful results from all six infrastructure-led exploration and appraisal wells drilled in the North Sea, including at Storjo and Sabina (Norway) and the Gilderoy and Jocelyn South discoveries (UK), with the latter expected on-stream in Q1 2025

Significantly increased and diversified 2P reserves and 2C resources providing a platform for organic reserve replacement; key growth projects advanced:

-    Mexico: Zama FEED nearing completion; successful appraisal drilling at the Kan discovery

-    Argentina: Acquired a 15 per cent interest in the Southern Energy FLNG export project; commercial agreements progressed ahead of a potential investment decision

-    Indonesia: Multi-well Andaman Sea exploration and appraisal campaign completed with material gas discoveries at Layaran and Tangkulo; 60% operated interest in Central Andaman licence secured

Active management of enlarged CCS portfolio with a focus on building a competitive business with long term cash flow potential. Final investment decision (FID) taken for the Greensand Future project in Denmark, marking Harbour's first CCS project to reach this milestone. Decision made to exit the Camelot licence in the UK

Post period end, agreed sale of Vietnam business to EnQuest for $84 million (effective date 1 January 2024), with completion targeted during 2025. This is consistent with ensuring our capital and resources are deployed in line with our strategy as we continue to actively manage our portfolio

Significantly higher revenue of c.$6.1 billion (2023: $3.7 billion), driven by increased production. Realised post-hedging oil, European and non-European gas prices of $82/bbl, $11/mscf and $4/mscf, respectively (2023: $78/bbl, $7/mscf, $13/mscf)

Increased EBITDAX of c.$4.1 billion (2023: $2.7 billion).  Pre- and post-tax income anticipated to be impacted by material non-cash accounting charges largely driven by adverse changes to the UK fiscal regime

Estimated total capital expenditure (of c.$1.8 billion (2023: $1.0 billion), including c.$0.3 billion of decommissioning, in line with guidance

Anticipated to be broadly free cash flow neutral in 2024, excluding one-off acquisition related costs and distributions. This reflects a material negative working capital movement and an unplanned outage at East Irish Sea in the UK in Q4

Shareholder distributions of $0.2 billion (2023: $0.4 billion) resulting in c.$1.2 billion returned to shareholders through dividends and share buybacks over the last three years

Estimated net debt of $4.7 billion at 31 December, unchanged from 30 September with a favourable foreign exchange rate movement offsetting cash outflow during Q4

Debt structure transformed with the reserves-based debt facility replaced with unsecured, lower cost and more flexible bank facilities; corporate and senior unsecured issue credit ratings upgraded to investment grade Baa2, BBB- and BBB- from Moody's, S&P and Fitch, respectively