Genel Energy Reports FY25 Net Loss Below Fears, EBITDAX Beats Forecasts

Genel Energy (LON: GENL) posted a net loss of $9 million for the full year 2025, landing in line with analyst expectations and comfortably outperforming consensus estimates of a $15 million loss. The London-listed oil producer also delivered a strong EBITDAX of $43 million, surpassing the $33 million forecast, supported by robust revenue tied to full-year production of 17,500 barrels of oil per day (bopd) from its onshore Kurdistan, Iraq operations at a realized price of $32 per barrel.

Year-end net cash reached $134 million, a figure already signaled in the company's January trading update. Despite a temporary two-week production halt at the Tawke PSC due to regional hostilities, Genel confirmed it remains operationally ready to resume and has kept its 2026 production guidance unchanged, targeting 20,000 bopd from Tawke once conditions stabilize.

Drilling activity has resumed at Tawke following a two-year pause triggered by the 2023 export pipeline shutdown. The first infill well was spudded in December 2025, with additional rigs now deployed under a multi-rig investment programme approved by the Joint Venture partnership in Q4 2025.

Beyond Kurdistan, Genel is allocating $20 million toward pre-production assets, including 3D seismic work, two wells on Block 54 in Oman, and progress toward the Toosan-1 well in Somaliland, expected to be drilled in 2027. The company is also actively pursuing a path to resume international oil exports from Tawke, following arrangements between international oil companies, the Iraqi Government, and the Kurdistan Regional Government that began taking shape at the end of 2025.

On the financial side, $88 million in KRG receivables remains outstanding, partially offset by $40 million in credit balances. An arbitration appeal over $26 million in legal fees is scheduled for April in London. Over the past year, Genel streamlined its portfolio by exiting five non-core licenses across Kurdistan and Africa with no additional exit costs or liabilities, and successfully refinanced its bond.