Vaalco Energy ( (EGY) ) has released its Q4 earnings. Here is a breakdown of the information Vaalco Energy presented to its investors.
Vaalco Energy, Inc. is an independent energy company based in Houston, Texas, with a diverse portfolio of production, development, and exploration assets across Gabon, Egypt, Côte d’Ivoire, Equatorial Guinea, Nigeria, and Canada. The company operates primarily in the oil and gas sector, focusing on offshore and onshore drilling and production.
In its latest earnings report, Vaalco Energy announced a record-setting financial performance for the full year 2024, with significant increases in net income and adjusted EBITDAX. The company also reported substantial growth in production and reserves, driven by strategic acquisitions and successful drilling campaigns.
Key highlights from the report include a net income of $58.5 million for the full year 2024, a 57% increase in year-end SEC proved reserves to 45.0 million barrels of oil equivalent, and a record adjusted EBITDAX of $303.0 million. Vaalco also completed an accretive acquisition of Svenska Petroleum Exploration AB, enhancing its asset base in West Africa, and secured new production sharing contracts in Gabon.
Looking ahead, Vaalco Energy plans to continue its growth trajectory with a capital budget of $270 to $330 million for 2025, targeting significant drilling activities in Etame, Côte d’Ivoire, Egypt, and Canada. The company aims to return over $25 million to shareholders through its dividend program, supported by a new revolving credit facility.
Vaalco’s management remains optimistic about the company’s future growth prospects, emphasizing its focus on maximizing value and generating strong cash flows to support its strategic initiatives and shareholder returns.