Gulf Keystone ups buyback after "positive year"
By Benjamin Chiou
Date: Wednesday 11 Dec 2024
(Sharecast News) - Kurdistan-focused oil producer Gulf Keystone Petroleum has said it remains committed to returning excess cash to shareholders despite a difficult operating environment, as the company raised its share buyback plan by $10m.
GKP said it would extend its buyback plan which will run to the date of its full-year results on 20 March 2025 at the latest, extending a previous deadline of 31 December. It has declared $55m of aggregate dividends and share buybacks so far this year.
In a trading update ahead of the year-end, chief executive Jon Harris said the company has had a "positive year [...] characterised by excellent safety performance and strong operational and financial delivery, despite the challenging operating environment".
Production has averaged 40,200 barrels of oil per day over the year to date, down slightly from the rate of 41,400bopd reported at the half-year stage.
Harris said the company, which is still grappling with the suspension of Kurdistan oil exports in March 2023 following the closure of the Iraq-Turkey pipeline due to political disputes, has been able to generate free cash flow from the local sales market in Kurdistan, "facilitating the restart of shareholder distributions and the preservation of our debt-free balance sheet".
He added: "Looking ahead, we remain focused on maximising shareholder value from local sales, with a sustained commitment to capital and cost control while safely maintaining the production capacity of the Shaikan Field. We also continue to engage with government stakeholders, as a company and industry, to unlock an exports restart solution."
The stock was more or less flat at 139.1p by 0920 GMT.
Email this article to a friend
or share it with one of these popular networks:
You are here: news
10 Lower Thames St,
London EC3R 6EN