Bw Energy Ltd.

Earnings Release • May 5, 2025

BW Energy: First quarter results 2025 

BW Energy: First quarter results 2025

BW Energy First quarter results 2025

HIGHLIGHTS

* Record Q1 EBITDA of USD 182.1 million, net profit of USD 83 million

* Operational cash-flow of USD 154.7 million in the quarter

* Q1 gross production of 4.2 mmbbls with 3.2 mmbbls net to BW Energy

* Highest quarterly production since inception from the Dussafu licence

* Maintained a strong balance sheet with cash position of USD 286.9 million

* Substantial oil discovery in the Bourdon prospect

* Maromba development FID unlocking path to more than doubling production and

potential for future dividends

BW Energy, operator of the Dussafu Marin licence in Gabon and the Golfinho

cluster offshore Brazil, reported a record quarterly EBITDA of USD 182.1 million

for the first quarter of 2025. This was up 31% from USD 141.6 million in the

previous quarter on increased oil sales following all-time-high production in

Gabon and higher output in Brazil. The net production was ~36,000 bbls/day,

including the Tortue, Hibiscus, and Hibiscus South fields in the Dussafu licence

(73.5% working interest or "WI") and the Golfinho field (100% WI).

"BW Energy delivers a strong first quarter with record production and EBITDA on

the back of sustained stable operations across our asset portfolio in Gabon and

Brazil," said Carl K. Arnet, the CEO of BW Energy. "The accretive start to 2025

is further underpinned by the Bourdon discovery growing our Dussafu reserves,

FID on the Golfinho Boost adding to production and reducing OPEX, and finally

the Maromba FID. This transformative project is set to unlock industry-leading

production growth and position BW Energy for future shareholder

distributions."

DUSSAFU

BW Energy completed three liftings in the first quarter at an average realised

price of USD 74.8/bbl. Net production was approximately 2.6 mmbbls of oil and

the net sold volume, the basis for revenue recognition, was approximately 3.2

mmbbls including 65,000 bbls of DMO deliveries and 320,889 bbls of state profit

oil with an over-lift position of 350,893 bbls at period-end.

Net production from the Dussafu licence averaged ~28,700 bbls/day, an increase

of 5% from the previous quarter. Operating cost (excluding royalties) decreased

to USD 9.9/bbl from USD 11.7/bbl in the fourth quarter due to operational

efficiencies and increased production. Further cost savings are expected as BW

Energy is preparing to take over the operations of the BW Adolo FPSO during the

current quarter.

On 2 January 2025, Phase 1 of the Hibiscus / Ruche development was completed

with eight producing wells, two more than planned at project sanction.

GOLFINHO

Net production from the Golfinho field averaged ~7,300 bbls/day equivalent to a

total production of 657,000 bbls in the quarter, up 12% from the previous

quarter as gaslift resumed after completion of Petrobras maintenance. One

lifting was carried out of ~500,000 bbls at a realised price of USD 75/bbl.

Remaining inventory was approximately 597,750 bbls at the end of the period.

Operating cost (excluding royalties) averaged USD 42.2/bbl barrel, down from

56.4/bbl in the fourth quarter, primarily due to higher production. In early

April, the Brazilian oil and gas regulator ANP extended the production phase

under the Golfinho concession contract, which has been extended to 2042 from

previously 2031.

OTHER ITEMS

On 28 March, BW Energy entered into an up to USD 500 million Reserve Based

Lending (RBL) facility, replacing the 2022 facility which was increased to USD

300 million in 2023. The facility has an initial commitment of USD 400 million,

which can be expanded with an additional USD 100 million subject to mutual

agreement and satisfaction of customary conditions precedent. The senior secured

long-term debt facility matures on 1 October 2030.

At 31 March 2024, BW Energy had a cash balance of USD 286.9 million, compared to

USD 221.8 million at end-December. The increase reflects cash flow from

operations less debt repayment and investments in the period. The Company had a

total drawn debt balance of USD 599 million including the MaBoMo lease, the

Dussafu RBL, the Golfinho prepayment facility and bond debt.

Production guidance for 2025 is unchanged at between 11 and 12 mmbbls net to BW

Energy. Expected full-year operating cost is maintained at USD 18 to 22/bbl (the

basis for calculating unit operating cost has been revised from 2025 onwards to

exclude royalties, tariffs, workovers, domestic market obligation purchases,

production sharing costs, and incorporates the impact of IFRS 16 adjustments,

primarily impacting Gabon operations). Net capital expenditures for 2025 are

expected at USD 650-700 million, up from USD 260 to 285 million previously. The

increased follows the FIDs for the Maromba development and the Golfinho Boost

project.

DEVELOPMENT PLANS

BW Energy confirmed a substantial oil discovery with good reservoir and fluid

quality in the Bourdon prospect offshore Gabon. Management estimates indicate

56 million barrels oil in place, of which approximately 25 million barrels are

considered recoverable, potentially through a future development cluster

following the MaBoMo blueprint. The discovery will enable the Company to book

additional reserves not included in its 2024 Statement of Reserves.

Work on optimising Golfinho production continued to focus on stabilising FPSO

performance and selected future well workovers. In mid-April, BW Energy made FID

on the Golfinho Boost project with planned investments of USD 107 million. The

project is set to add 3 kbbls/day of incremental production and 12 mmboe of

further reserves, while also increasing production uptime and reducing OPEX with

first oil planned in the second half of 2027.

BW Energy has also made FID for the Maromba development offshore Brazil based on

a capex-efficient, phased development with a wellhead platform (WHP) and FPSO.

The development targets 500 million barrels of oil in place in the highly

delineated Maastrichtian sands. First oil is planned in the second half of 2027

with expected plateau production of 60,000 barrels of oil per day, enabling

short pay-back time and more than doubling BW Energy's total net production by

In Namibia, BW Energy continued to prepare for an appraisal well targeting the

Kharas Prospect northwest in the Kudu licence with planned start-up drilling

operations in the second half of 2025. Long-lead items have been procured and

the Company is reviewing offers for rig capacity.

REPORTS AND PRESENTATION

Please find the first-quarter earnings presentation attached. The reports are

also available at:

www.bwenergy.no/investors/reports-and-presentations

(http://www.bwenergy.no/investors/reports-and-presentations)

BW Energy will today hold a live presentation at Hotel Continental, Oslo,

Norway, and conference call followed by a Q&A hosted by CEO Carl K. Arnet, CFO

Brice Morlot, CSO Thomas Young, CTO Jerome Bertheau and CCO Thomas Kolanski at

09:30 CEST.

You can follow the presentation via webcast with supporting slides, available

on:

VIEWER REGISTRATION ? Q1 2025  (https://events.webcast.no/viewer-

registration/9LwLZF1X/register)

Please note, that if you follow the webcast via the above URL, you will

experience a 30 second delay compared to the main conference call. The Web page

works best in an updated browser - Chrome is recommended.

For further information, please contact:

Brice Morlot, CFO BW Energy

+33.7.81.11.41.16, ir@bwenergy.no (mailto:ir@bwenergy.no)

About BW Energy:

BW Energy is a growth E&P company with a differentiated strategy targeting

proven offshore oil and gas reservoirs through low risk phased developments. The

Company has access to existing production facilities to reduce time to first oil

and cashflow with lower investments than traditional offshore developments. The

Company's assets are 73.5% of the producing Dussafu Marine licence offshore

Gabon, 100% interest in the Golfinho and Camarupim fields, a 76.5% interest in

the BM-ES-23 block, a 95% interest in the Maromba field in Brazil, a 95%

interest in the Kudu field in Namibia, all operated by BW Energy. In addition,

BW Energy holds approximately 6.6% of the common shares in Reconnaissance Energy

Africa Ltd. and a 20% non-operating interest in the onshore Petroleum

Exploration License 73 ("PEL 73") in Namibia. Total net 2P+2C reserves and

resources were 599 million barrels of oil equivalent at the start of 2025.

This information is subject to the disclosure requirements pursuant to Section

5-12 the Norwegian Securities Trading Act