Business
Full-year results for the year to 31 December 2023
Full-year results for the year to 31 December 2023.
About this update from Harbour Energy Plc
[{"type":"text","content":"\n\nHarbour Energy plc\nFull-year results for the year to 31 December 2023\n7 March 2024\nHarbour Energy plc (\"Harbour\" or the \"Company\" or the \"Group\") today announces its results for the year ended 31 December 2023.\nHarbour operational highlights\n§ Production of 186 kboepd (2022: 208 kboepd), split 52% natural gas/48% liquids and within guidance\n§ Operating costs of $16/boe (2022: $14/boe), in line with guidance\n§ Total recordable injury rate reduced to 0.7 per million hours worked (2022: 0.8)\n§ Total 2P reserves and 2C resources increased to 880 mmboe (2022: 865 mmboe) reflecting reserve additions at our operated UK hubs and international exploration success, partially offset by production \n§ Continued momentum on Harbour's UK CCS projects, Viking and Acorn, with both projects awarded Track 2 status; estimated independently verified net CO2 storage capacity in excess of 200 million tonnes\n§ Announced transformational acquisition of the Wintershall Dea asset portfolio (the \"Acquisition\")\nHarbour financial highlights[1]\n§ Realised, post hedging oil and UK gas prices of $78/bbl and 54p/therm (2022: $78/bbl and 86p/therm)\n§ Revenue of $3.7 billion (2022: $5.4 billion), reflecting lower natural gas prices and production\n§ Profit before tax of $0.6 billion (2022: $2.5 billion); profit after tax of $32 million (2022: $8 million) reflecting an effective tax rate of 95% (2022: 100%)\n§ Free cash flow (post-tax, pre-distributions) of $1.0 billion (2022: $2.1 billion)\n§ Returned $249[2] million through share buybacks in addition to the $200 million annual dividend, resulting in $1 billion of shareholder distributions since becoming a public company in April 2021\n§ Net debt reduced to $0.2 billion (2022: $0.8 billion) with $2.7 billion of net debt reduction since April 2021; leverage reduced to 0.1x (2022: 0.2x)\n§ Proposed final dividend of $100 million, in line with $200 million annual dividend policy and equating to 13 cents per share (2022: 12 cents), reflecting dividend per share growth for the full year 2023 of c.9%\n2024 and 2025 outlook for Harbour[3]\n§ Production guidance of 150-165 kboepd reiterated; production to end February of c.172 kboepd\n§ 2024 unit operating cost guidance unchanged at c.$18/boe; total capital expenditure guidance reiterated at $1.2 billion\n§ Free cash flow is expected to be ma...