HIGHLIGHTS

• H1 2023 EBITDA of USD 57.8 million and net profit of USD 0.3 million
• H1 2023 gross production of 2.0 million barrels with 1.5 million barrels net to the Company
• Operating cash flow of USD 71.3 million and cash position of USD 233 million on 30 June
• Executed USD 100 million accordion on the existing Reserve Based Lending (RBL) facility bringing the total to USD 300 million
• First oil from the Hibiscus / Ruche development achieved in early April 2023
• New gas lift compressor (GLC) on the FPSO BW Adolo which is now fully operational following start-up in July.

“Dussafu gross production more than doubled in the second quarter vs. the previous three months as we met key milestones on Hibiscus / Ruche development with two wells producing at the end of the period. The positive momentum continues into the second half with a third well in production and start-up of the additional gas lift capacity to support out from the Tortue field in July. We expect to deliver further growth in production and cash generation capacity in the coming quarters as we complete the Dussafu drilling program and finalise the field acquisitions in Brazil,” said Carl K. Arnet, the CEO of BW Energy.

Total revenues for the first half-year of 2023 amounted to USD 169.8 million, an increase of USD 46.6 million (H1 2022: USD 123.2 million). Net sold volumes in the period were 1,700,000 barrels compared to 950,000 barrels in the first half of 2022. Operating expenses were USD 112 million, an increase of USD 59.8 million (USD 52.2 million).

EBITDA for the period was USD 57.8 million (USD 71.0 million). The decrease in EBITDA was largely due to lower realised oil price compared to the same period in 2022, MaBoMo operations, and additional costs of approximately USD 15 million related to the acquisition of the Golfinho and Camarupim clusters.

Total equity on 30 June 2023 was USD 616.2 million, an increase of USD 27.3 million (USD 588.9 million).  Total available liquidity as of 30 June 2023 amounted to USD 233.5 million of which USD 43.5 million was reserved for debt service.

Dussafu uptime was 85% in the first half of 2023 with gross production averaging 11,200 barrels of oil per day, equal to 2.0 million barrels. Production was impacted by planned annual maintenance of FPSO BW Adolo in February, as well as field development activities in association with Hibiscus / Ruche first oil. In the first half of 2023, the Tortue field reached the milestone of 20 million barrels produced since first oil in 2018. The new gas lift compressor commissioning work continued through June with start-up in July.

The MaBoMo production facility received first hydrocarbons from the Hibiscus field in early April. Well performance has been in line with expectations. Dussafu combined production temporarily reached up to 30,000 barrels of oil per day after the third Hibiscus well was brought online in July.

First half production cost (excluding royalties) was approximately USD 43 per barrel. The higher production costs during the period were primarily due to planned shutdowns and the Hibiscus / Ruche development activities that resulted in lower production in the first quarter.