Business
Sale of Croatian geothermal company
Star Energy Group PLC has agreed to sell its Croatian geothermal subsidiary, IGeoPen d.o.o., to Enna Geo d.o.o. for an initial cash consideration of €1.5 million, of which Star Energy's share is €1.3 million, and a potential financial earn-out of €1.5 million. IGeoPen reported a pre-tax loss of €3.2 million and net liabilities of €5.5 million as of December 31, 2024, with an anticipated investment-related loss of €1.6 million for 2025. This sale, expected in H2 2026, will release €5.2 million of restricted cash, remove future capital commitments, and allow the company to refocus on its core UK oil and gas and geothermal assets, strengthening its balance sheet and financial flexibility. Disclaimer*
About this update from Star Energy Group Plc
[{"type":"text","content":"\n\n24 April 2026\n \nThis information communicated within this announcement is deemed to constitute inside information as stipulated under the Market Abuse Regulations (EU) No. 596/2014 as it forms part of UK domestic law by virtue of the European Union (Withdrawal) Act 2018 (\"MAR\"), and is disclosed in accordance with the Company's obligations under Article 17 of MAR. Upon the publication of this announcement, this inside information is now considered to be in the public domain.\n \nStar Energy Group plc\n(\"Star Energy\" or the \"Company\" or \"the Group\")\n \nSale of Croatian geothermal company\n \nStar Energy (AIM:STAR) is pleased to announce that it has signed an agreement for the sale of its Croatian subsidiary IGeoPen d.o.o. (\"IGeoPen\"), to Enna Geo d.o.o. IGeoPen's direct parent is A14 Energy Limited (\"A14 Energy\") of which Star Energy owns 71%, with 29% being owned by its JV partner, Peninsula International PTE Ltd (\"Peninsula\").\n \nIGeoPen holds three Croatian geothermal exploration licences; Ernestinovo, Sječe and Pčelić.\n \nConsideration for the sale consists of two elements:\na) An initial cash consideration of €1.5 million - Star Energy's share is €1.3 million reflecting the A14 Energy shareholder agreements; and\nb) Financial Earn-out of €0.5 million per licence which is payable on the commercial operation date of a geothermal power plant developed on each of the three licences - Star Energy's potential share is €1.5 million.\n \nIGeoPen's financial profile reflects its early-stage geothermal development activities, including a loss before tax of €3.2 million for the year ended 31 December 2024 and net liabilities of €5.5 million at that date. The forecast for the year ending 31 December 2025 includes an anticipated investment-related loss of €1.6 million.\n \nGiven the delay in the announcement of a premium price tariff for geothermal projects in Croatia by the Croatian Government, the Group believes that a sale of IGeoPen is in the best interests of its shareholders. The transaction delivers a clear strategic refocus of the Group's portfolio, allowing management to concentrate on its core UK oil and gas and geothermal assets. It releases €5.2 million of restricted cash and removes future capital commitments arising from...