BW Energy Q1 2025 Operational Update: A Detailed Analysis

Oslo, Norway – April 15, 2025 – BW Energy Limited (BWEN.OL) has released its operational update for the first quarter of 2025, showcasing robust production figures and strategic advancements across its key assets in Gabon and Brazil. The company is set to publish its full financial results for Q1 2025 and will host a presentation on Monday, May 5, 2025, at Hotel Continental in Oslo.

Production Overview

BW Energy reported a net production of 3.2 million barrels of oil (mmbbls) in Q1 2025, which translates to approximately 36,000 barrels per day. This output is derived from the Dussafu license in Gabon, where BW Energy holds a 73.5% working interest, and the Golfinho field in Brazil, wholly owned by BW Energy.

A comparative breakdown of production volumes between Q1 2025 and Q4 2024 is as follows:

Net volume sold also saw an increase, with 3.7 mmbbls in Q1 2025 compared to 3.2 mmbbls in the previous quarter. This includes State Profit Oil and Domestic Market Obligation (DMO) deliveries.

*Includes State Profit Oil and DMO deliveries

The average realized price for Dussafu was USD 74.8 per barrel, up from USD 72.5 in Q4 2024, while Golfinho fetched USD 75.0 per barrel, a decrease from USD 83.5 in the previous quarter.

Dussafu Performance

The Dussafu license achieved a record quarterly production since its inception, driven by eight producing Hibiscus/Ruche wells and all Tortue wells being online. The Floating Production, Storage, and Offloading (FPSO) unit BW Adolo demonstrated a production availability of approximately 93%, while the MaBoMo platform achieved an impressive 99% availability.

BW Energy executed three liftings, and the Gabonese Oil Company (GOC)/State received one lifting as planned. The operating cost for Dussafu was USD 9.9 per barrel. The net volume sold included 65,000 barrels of DMO deliveries and 320,889 barrels of state profit oil, resulting in an over-lift position of 350,893 barrels at the end of the period. The takeover of BW Adolo FPSO operations is ongoing, with completion expected in Q2 2025.

A substantial oil discovery was made at the Bourdon prospect, indicating the potential for a new development cluster with its own production facility.

Golfinho Operations

At the end of Q1 2025, Golfinho had an inventory of 597,750 barrels. The operating cost for Golfinho was USD 42.2 per barrel, primarily due to increased production activities. Production was positively impacted by the resumption of gas lift operations following maintenance by Petrobras. The FPSO Cidade de Vitória achieved a production availability of approximately 84%.

A final investment decision (FID) has been made for the Golfinho Boost project, which aims to enhance uptime, reduce operating expenses, and add approximately 3,000 barrels per day of incremental oil production starting in 2027.

Maromba Development

BW Energy anticipates announcing the final investment decision (FID) on the Maromba development project within the coming weeks. This project is a key component of BW Energy's growth strategy.

Hedging, Liquidity, and Debt Management

The company reported a net loss of USD 0.9 million from oil derivatives in Q1 2025, comprising a USD 2.1 million unrealized loss and a USD 1.2 million realized gain. The period-end cash balance stood at USD 286 million, compared to USD 221 million at the end of December 2024. This increase reflects cash flow from operations, debt repayment, and strategic investments. BW Energy has entered into a new and increased Dussafu Reserve Based Lending (RBL) facility.

The gross debt at the end of the period was USD 583 million, including the MaBoMo lease, Dussafu RBL, Golfinho prepayment facility, and bond debt.

About BW Energy

BW Energy is an E&P company focused on developing proven offshore oil and gas reservoirs through low-risk, phased developments. The company's strategy involves utilizing existing production facilities to expedite time to first oil and cash flow with reduced investments compared to traditional offshore developments.

BW Energy’s assets include a 73.5% interest in the producing Dussafu Marine license offshore Gabon, a 100% interest in the Golfinho and Camarupim fields, a 76.5% interest in the BM-ES-23 block, a 95% interest in the Maromba field in Brazil, and a 95% interest in the Kudu field in Namibia, all operated by BW Energy. Additionally, BW Energy holds approximately 6.6% of the common shares in Reconnaissance Energy Africa Ltd. and a 20% non-operating interest in the onshore Petroleum Exploration License 73 (“PEL 73”) in Namibia.

As of the start of 2025, BW Energy's total net 2P+2C reserves and resources were 599 million barrels of oil equivalent.

Disclaimer: This information is subject to the disclosure requirements pursuant to section 5-12 of the Norwegian Securities Trading Act. Operational costs exclude royalties, tariffs, workovers, domestic market obligation purchases, production sharing costs in Gabon, and incorporate the impact of IFRS 16 adjustments.