Panoro Energy ASA

On a pro forma basis, first-half revenue was $130 million and pro forma EBITDA was $68 million. Q2 was described as relatively stable on an IFRS basis, with lower liftings than the previous period due to timing, and the company said it had about 1.3 million barrels of unsold inventory at June 30. Management confirmed core CapEx guidance of $55 million unchanged and full-year pro forma CapEx guidance of $72 million, with year-to-date IFRS CapEx at $12.5 million. For guidance, Panoro expects 3Q liftings of 1.3 million to 1.5 million barrels, similar volumes in 4Q, and continued second-half strength after the Block G acquisition; it did not yet provide guidance for the new Ivory Coast asset beyond saying refined pro forma guidance will come later.

Julien Balkany framed the quarter and the new deal as evidence that Panoro’s M&A-led strategy is working, calling the Ivory Coast acquisition transformational, accretive, and part of the company’s DNA. He emphasized that the portfolio has become more diversified and resilient since 2018, with production growth, reserve growth, and shareholder returns all improving over time. His tone was upbeat and confident, but he also stressed discipline on valuation, leverage, and the need to close and digest the new transaction first before pursuing further growth in Ivory Coast.

Qazi Qadeer said the first half was stable, with timing-driven differences in liftings and little else materially different on an IFRS basis. He highlighted pro forma first-half revenue of $130 million, pro forma EBITDA of $68 million, about 1.3 million barrels of unsold inventory, and year-to-date IFRS CapEx of $12.5 million versus unchanged core guidance of $55 million and pro forma full-year guidance of $72 million. He also noted a NOK 50 million shareholder distribution for the quarter, said cash returns are constrained by bond terms and oil prices, and guided to higher second-half liftings as inventory is monetized.

Analysts focused on the Ivory Coast deal economics, including the expected closing price, payback, remaining CapEx, decommissioning, and how cash flows would be remitted to Panoro. Management said the closing price should be around $70 million, the asset has been generating about $17 million to $20 million of free cash flow per year, implying roughly 3.5x payback, and the remaining drilling budget is about $220 million gross for the ongoing five-well campaign. They added that cash will flow up the chain through a formalized distribution mechanism with little lag, and said the gas price has a $6 per MMBtu minimum plus indexation, currently around $6.50, underpinned by take-or-pay. Teodor also asked whether the deal is a platform for more M&A; management said it is a first step and could support future opportunities, but not immediately.