Echelon Resources lifts profit 61% on stronger gas prices, trims debt and boosts returns

New Zealand Oil & Gas Limited ( (AU:ECH) ) has provided an announcement.

Echelon Resources reported a strong first half to 31 December 2025, with shareholder net profit after tax rising 61 percent to A$6.0 million on the back of improved gas prices, steady production and reduced exploration activity. Revenue grew 7 percent to A$57.2 million, while net tangible assets per share increased and the company declared an interim dividend of AUD 0.40 cents per share, underscoring its emphasis on shareholder returns and balance sheet strength.

Gas sales from the Amadeus Basin, particularly the Mereenie field, underpinned performance, with Mereenie revenue up 33 percent and overall natural gas and LPG revenue climbing to A$38.1 million despite weaker oil prices and constraints. Although operating cash flow eased due to timing of Mahato field receipts, Echelon reduced debt by A$12 million and highlighted an imminent Northern Territory gas sales agreement that will support drilling four new wells from mid-2026, positioning the company for further production and revenue growth.

The most recent analyst rating on (AU:ECH) stock is a Hold with a A$0.38 price target. To see the full list of analyst forecasts on New Zealand Oil & Gas Limited stock, see the AU:ECH Stock Forecast page.

More about New Zealand Oil & Gas Limited

Echelon Resources Limited (ASX: ECH) is an energy producer focused on natural gas, LPG, crude oil and condensate, with key operations in Australia’s Amadeus Basin, including the Mereenie field in the Northern Territory. The company targets gas markets through long-term gas sales agreements and manages a portfolio designed to benefit from tight regional energy conditions and improved pricing dynamics.

Average Trading Volume: 18,339

Technical Sentiment Signal: Buy

Current Market Cap: A$81.74M

See more insights into ECH stock on TipRanks’ Stock Analysis page.