Strong Operational and Financial Progress
Central Petroleum achieved significant milestones, including a multiyear gas sales agreement, two new production wells completed ahead of schedule and under budget, and a debt restructuring extending to 2030, enhancing financial flexibility.
Impressive Turnaround in Profits
The company reported a statutory profit of $7.7 million, with an underlying profit of $6.5 million compared to an underlying loss of $1.4 million in the previous year.
Revenue and Margin Growth
Revenues increased by 17% to $43.6 million, with realized prices up 19%. Underlying EBITDAX rose 43% to $19.6 million, and gross margins improved by 26%.
Shareholder Returns Initiated
Central Petroleum commenced its first on-market share buyback program, planning to buy back up to 10% of issued capital over the next 12 months.
Successful Gas Contracting Strategy
New gas contracts led to more reliable volumes and higher prices, with a 27% jump in second-half average prices.
Record Demand and Production
Record demand for gas from the Dingo field and two new Mereenie wells contributed to increased volumes, with oil production up 14%.
Cost Control and Financial Position
Corporate and administration costs decreased by 39%, and the company reported its highest net cash position in over a decade at $3.9 million.
Reserves Upgrade
The company effectively replaced 96% of its FY 2025 production with an upgrade of proved and probable reserves.