Chris Wheaton

Chris Wheaton from Stifel inquired about the drivers behind Gabon's strong production performance despite no new wells for two years and slightly lower uptime, specifically asking if geology or particular wells were exceeding expectations. He also asked about the key priorities and flexibility for the 2026 capital budget, considering the shift of Gabon drilling and fixed Côte d'Ivoire CapEx.

Answer

CEO George Maxwell attributed Gabon's production to reduced reservoir back pressure, enhanced well performance, and successful H2S management in Eburi wells, noting that geological remapping is underway to understand production exceeding 1P decline curves. For 2026 CapEx, he explained that while the Gabon rig delay shifted spending, the program offers significant production uplift, and Côte d'Ivoire investments are on schedule with cost recovery benefits, implying less flexibility but considerable returns.

Chris Wheaton asked about the drivers behind Gabon's strong production performance despite no new wells for two years, specifically inquiring about geology, well performance, and uptime. He also questioned the key priorities and flexibility for the 2026 capital budget, given significant 'must-do' projects like Gabon drilling and Côte d'Ivoire CapEx.

Answer

CEO George Maxwell attributed Gabon's strong production to reduced back pressure from reconfiguration, continued performance of Eburi wells (2H, 4H), and successful H2S management. He noted production exceeding 1P decline curves, suggesting geological remapping is needed. For 2026 CapEx, he acknowledged less flexibility due to high-impact Gabon drilling and Côte d'Ivoire FPSO refurbishment, but emphasized these investments bring significant production additions and cost recovery benefits.

Chris Wheaton from Stifel Financial asked for an update on the turret bearing, a critical path item for the Cote D'Ivoire FPSO project, and sought to clarify working capital movements, specifically regarding the amount of receivables paid by Egypt during the quarter.

Answer

COO Thor Pruckl reported that the turret bearing is already in Dubai and the swivel is en route, with installation expected in September, keeping the project on track. CFO Ronald Bain confirmed that Egypt is keeping pace with its payment commitments, noting that while new revenues were generated, the overall receivable balance has been reduced since the start of the year.