Energean PLC

Interim / Quarterly Report • Sep 11, 2025

National Storage Mechanism | Additional information

RNS Number : 8673Y

Energean PLC

11 September 2025

ENERGEAN ISRAEL LIMITED

UNAUDITED INTERIM CONSOLIDATED FINANCIAL STATEMENTS

30 JUNE 2025

ENERGEAN ISRAEL LIMITED

UNAUDITED INTERIM CONSOLIDATED FINANCIAL STATEMENTS

AS OF 30 JUNE 2025

INDEX

		Page
Interim Consolidated Statement of Comprehensive Income		3
Interim Consolidated Statement of Financial Position		4
Interim Consolidated Statement of Changes in Equity		5
Interim Consolidated Statement of Cash Flows		6
Notes to the Interim Consolidated Financial Statements		7-20

- - - - - - - - - - - - - - - - - - - -

INTERIM CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME

SIX MONTHS ENDED 30 JUNE 2025

				30 June 2025 (Unaudited)  $'000		30 June 2024 (Unaudited)  $'000
		Notes
Revenue		3		482,627		602,178
Cost of sales		4		(256,733)		(278,978)
Gross profit				225,894		323,200
Administrative expenses		4		(10,747)		(9,046)
Exploration and evaluation expenses		4		(1,994)		-
Other expenses		4		(9)		(448)
Other income		4		9,794		444
Operating profit				222,938		314,150
Finance income		5		2,579		4,485
Finance costs		5		(82,951)		(93,854)
Net foreign exchange losses		5		(11,814)		(291)
Profit for the period before tax				130,752		224,490
Taxation expense		6		(30,264)		(51,093)
Net profit for the period				100,488		173,397

Other comprehensive income (loss) :
Items that may be reclassified subsequently to profit or loss:		15
Income (loss) on cash flow hedge for the period				37,502		(406)
Income taxes on items that may be reclassified to profit and loss		9		(8,625)		93
Other comprehensive Income (loss) for the period				28,877		(313)
Total comprehensive income for the period				129,365		173,084

The accompanying notes are an integral part of the interim consolidated financial statements.

INTERIM CONSOLIDATED STATEMENT OF FINANCIAL POSITION

AS OF 30 JUNE 2025

				30 June 20 25 (Unaudited) $'000		31 December 2024 (Audited) $'000
		Notes
ASSETS:
NON-CURRENT ASSETS:
Property, plant and equipment		7		3,057,997		2,917,275
Intangible assets		8		95,485		96,103
Derivative financial instruments		15		21,834		-
Other receivables		10		19,077		9,848
				3,194,393		3,023,226
CURRENT ASSETS:
Trade and other receivables		10		108,823		121,280
Derivative financial instruments		15		15 ,323		-
Inventories		11		21,255		16,714
Restricted cash		1 2(e)		83,257		82,427
Cash and cash equivalents				100,878		157,728
				329,536		378,149
TOTAL ASSETS				3,523,929		3,401,375
EQUITY AND LIABILITIES:
EQUITY:
Share capital				1,708		1,708
Share Premium				212,539		212,539
Hedges Reserve		15		28,611		(266)
Retained earnings				32,137		27,499
TOTAL EQUITY				274,995		24 1,480
NON-CURRENT LIABILITIES:
Borrowings		1 2		2,044,735		2,594,213
Decommissioning provisions				87,595		85,357
Deferred tax liabilities		9		85,085		69,046
Trade and other payables		13		34,181		67,044
				2,251,596		2,815,660
CURRENT LIABILITIES:
Current portion of borrowings		12		623,219		-
Trade and other payables		13		374,119		262,924
Income tax liability		6		-		80,966
Derivative financial instruments		15		-		345
				997,338		344,235
TOTAL LIABILITIES				3 ,248,934		3,159,895
TOTAL EQUITY AND LIABILITIES				3,523,929		3,401,375

10 September 2025
Date of approval of the consolidated financial statements		Panagiotis Benos Director		Matthaios Rigas Director

The accompanying notes are an integral part of the interim consolidated financial statements.

INTERIM CONSOLIDATED STATEMENT OF CHANGES IN EQUITY

SIX MONTHS ENDED 30 JUNE 2025

		Share capital $'000		Share Premium $'000		Hedges Reserve $'000		Retained earnings $'000		Total equity $'000
Balance as of 1 January 2025 (Audited)		1,708		212,539		(266)		27,499		241,480
Transactions with shareholders:
Dividend, see note 14		-		-		-		(95,850)		(95,850)
Comprehensive Income:
Profit for the period		-		-		-		100,488		100,488
Other comprehensive income, net of tax		-		-		28,877		-		28,877
Total comprehensive income		-		-		28,877		100,488		129,365
Balance as of 30 June 2025 (Unaudited)		1,708		212,539		28,611		32,137		274,995
Balance as of 1 January 2024 (Audited)		1,708		212,539		-		74,781		289,028
Transactions with shareholders:
Dividend, see note 14		-		-		-		(150,500)		(150,500)
Comprehensive Income:
Profit for the period		-		-		-		173,397		173,397
Other comprehensive loss, net of tax		-		-		(313)		-		(313)
Total comprehensive income		-		-		(313)		173,397		173,084
Balance as of 30 June 2024 (Unaudited)		1,708		212,539		(313)		97,678		311,612

The accompanying notes are an integral part of the interim consolidated financial statements.

INTERIM CONSOLIDATED STATEMENTS OF CASH FLOWS

SIX MONTHS PERIOD ENDED 30 JUNE 2025

				30 June 2025 (Unaudited)  $'000		30 June 2024 (Unaudited)  $'000
		Notes
Operating activities
Profit for the period before tax				130,752		224,490
Adjustments to reconcile income before taxation to net cash: provided:by: operating activities:
Depreciation, depletion and amortisation		4		110,138		115,305
Loss from sale on property, plant and equipment (PP&E)		4		-		448
Impairment of exploration and evaluation asset		4		1,994		-
Other income		4		(294)		-
Finance Income		5		(2,579)		(4,485)
Finance expenses		5		82,951		93,854
Net foreign exchange loss		5		11,814		291
Cash flow from operations before working capital				334,776		429,903
Decrease/(increase) in trade and other receivables				7,920		(7,882)
Increase in inventories				(4,541)		(3,395)
Increase in trade and other payables				9,770		13,971
Cash flow from operations				347,925		432,597
Income taxes paid				(110,460)		(1,946)
Net cash inflows from operating activities				237,465		430,651
Investing activities
Payment for purchase of PP&E		7(c)		(183,521)		(132,585)
Payment for exploration and evaluation, and other intangible assets		8(b)		(897)		(67,481)
Amounts received from INGL related to transfer PP&E		7(c)		-		1,801
Proceeds from insurance		4		9,500		-
Loan granted to Related Party (1)				(28,000)		-
Movement in restricted cash, net		1 2(e)		(830)		(60,056)
Interest received				3,173		5,012
Net cash outflow used in investing activities				(200,575)		(253,309)
Financing activities
Transaction costs in relation to borrowings		12(b)		(17,647)		-
Drawdown of borrowings		12(b)		75,000		-
Borrowings - interest paid		1 2		(82,481)		(96,326)
Dividends paid (1)		14		(67,600)		(150,500)
Other finance cost paid				(1,366)		(714)
Finance costs paid for deferred license payments				-		(4,000)
Repayment of obligations under leases		13		(2,677)		(2,786)
Income on derivatives		15		134		-
Net cash outflow used in financing activities				(96,637)		(254,326)
Net decrease in cash and cash equivalents				(59,747)		(76,984)
Cash and cash equivalents at beginning of the period				157,728		286,625
Effect of exchange differences on cash and cash equivalents				2,897		1,025
Cash and cash equivalents at end of period				100,878		210,666

(1) An interim dividend of US$28.25 million was declared in May 2025 and was settled through the offset of a loan to the parent company, including accrued interest.

The accompanying notes are an integral part of the interim consolidated financial statements.

NOTE 1:        GENERAL

a.     Energean Israel Limited (the "Company") was incorporated in Cyprus on 22 July 2014 as a private company with limited liability under the Companies Law, Cap. 113. As of 1 January 2024, the Company is tax resident in the UK by virtue of having transferred its management and control from Cyprus to the UK, with its registered address being at Accurist House, 44 Baker Street, London, Q1U 7AL.

b.   The Company and its subsidiaries (the "Group") has been established with the objective of exploration, production and commercialisation of natural gas and hydrocarbon liquids. The Group's main activities are performed in Israel by its Israeli Branch.

c.   As of 30 June 2025, the Company had investments in the following subsidiaries:

Name of subsidiary	Country of incorporation / registered office	Principal activities	Shareholding At 30 June  2025 (%)	Shareholding At 31 December 2024 (%)
Energean Israel Transmission LTD	121, Menachem Begin St. Azrieli Sarona Tower, POB 24, Tel Aviv 67012039 Israel	Gas transportation license holder	100	100
Energean Israel Finance LTD	Financing activities	100	100

d.   The Group's core assets as of 30 June 2025 were comprised of:

Country	Asset	Working interest	Field phase
Israel	Karish including Karish North (1)	100%	Production
Israel	Tanin (1)	100%	Development
Israel	Katlan (Block 12) (2)	100%	Development
Israel	Blocks 23, 31 (3)	100%	Exploration

(1) The concession agreement expires in 2044.

(2) The concession agreement expires in 2054.

(3) Refer to Note 8.

e.   There have been no significant changes to related parties since 31 December 2024, refer to note 22 in the 2024 Group's annual consolidated financial statements for more information.

NOTE 2:        Accounting policies and basis of preparation

The interim financial information included in this report has been prepared in accordance with IAS 34 "Interim Financial Reporting". The results for the interim period are unaudited and, in the opinion of management, include all adjustments necessary for a fair presentation of the results for the period ended 30 June 2025. All such adjustments are of a normal recurring nature. The unaudited interim consolidated financial statements do not include all the information and disclosures that are required for the annual financial statements and must be read in conjunction with the Group's annual consolidated financial statements for the year ended 31 December 2024.

The financial statements are presented in U.S. Dollars and all values are rounded to the nearest thousand dollars except where otherwise indicated.

NOTE 2:        Accounting policies and basis of preparation (Cont.)

The financial information presented herein has been prepared in accordance with the accounting policies expected to be used in preparing the Group's annual consolidated financial statements for the year ended 31 December 2025 which are the same as those used in preparing the annual consolidated financial statements for the year ended 31 December 2024.

The directors consider it appropriate to adopt the going concern basis of accounting in preparing these interim financial statements. The Going Concern assessment covers the period up to 31 December 2026, "the forecast period".

Israel geopolitical environment - Energean highlights the following as important in relation to its principal risks. Since 7 October 2023, and the ongoing conflict in Israel, the magnitude of regional geopolitical risk remains elevated. Concerns of escalations in the Middle East have intensified the security risk in the region, as essential infrastructure systems (such as the Energean Power FPSO offshore Israel) may be targets for missile fire and sabotage operations. Any event that impacts production from these fields could have a material adverse impact on the business, results of operations, cash flows, financial condition and prospects of the Group. On June 13, 2025, the Ministry of Energy and Infrastructure ordered the temporary suspension of production and activities of the Energean Power FPSO, following geopolitical escalation in the region at the time of the notice. On June 25, 2025, the Ministry of Energy and Infrastructure instructed the safe restart and resumption of production and operations of the Energean Power FPSO, and Energean acted in accordance with the instructions. Apart from that temporary suspension, the Karish and Karish North fields have continued to produce with no disruption since the start of the conflict. In the first half of 2025, Energean has ensured that all measures are in place to continue business operations, maintain the mobility of its people and make certain that the security of information is unaffected.

New and amended accounting standards and interpretations:

The following amendments became effective as of 1 January 2025 and have been applied in the preparation of these consolidated financial statements

·      Amendments to IAS 21- Lack of exchangeability.

The adoption of the above standard and interpretations did not lead to any material changes to the Group's accounting policies and did not have any other material impact on the financial position or performance of the Group.

NOTE 3 :        Revenues

		30 June 2025 (Unaudited) $'000		30 June 2024 (Unaudited) $'000
Revenue from gas sales (1)		345,718		388,459
Revenue from hydrocarbon liquids sales (2)		136,909		213,719
Total revenue		482,627		602,178

(1) Sales gas for six months ended 30 June 2025 totaled approximately 2.3 bcm (billion cubic metres) and for six months ended 30 June 2024 totaled approximately 2.5 bcm.

(2) Sales from hydrocarbon liquids for six months ended 30 June 2025 totaled approximately 2,057 kbbl (kilo barrel) and for six months ended 30 June 2024 totaled approximately 2,686 kbbl.

NOTE 4:        Operating profit before taxation

		30 June 2025 (Unaudited)  $'000		30 June 2024 (Unaudited)  $'000
(a)   Cost of sales
Staff costs		9,000		6,702
Energy cost		1,222		1,228
Royalty payable		85,406		106,560
Depreciation and depletion (Note 7)		109,239		114,356
Other operating costs (1)		52,889		49,650
Oil stock movement		(1,023)		482
Total cost of sales		256,733		278,978
(b)   Administrative expenses
Staff costs		3,065		2,507
Share-based payment charge		614		518
Depreciation and amortisation (Note 7, 8)		899		949
Auditor fees		145		139
Other general & administration expenses (2)		6,024		4,933
Total administrative expenses		10,747		9,046
(c)    Exploration and evaluation expenses
Impairment of exploration and evaluation asset (3)		1,994		-
Total exploration and evaluation expenses		1,994		-
(d)   Other expenses
Other expenses		9		448
Total other expenses		9		448
(e)   Other income
Insurance compansation(4)		9,500		-
Other income		294		444
Total other income		9,794		444

(1) Other operating costs comprise of insurance costs and planned maintenance costs.

(2) The Administration expenses mainly consist of legal expenses, intercompany management fees and external advisors' fees.

(3)   The licence for Block 21 expired on 13 January 2025. Capitalized costs associated with Block 21 were written off. (Refer to Note 8)

(4) The amount of US$9.5 million relates to insurance compensation due to remedial work on auxiliary piping systems.

NOTE 5:        Net finance expenses /(income)

		30 June 2025 (Unaudited)  $'000		30 June 2024 (Unaudited)  $'000
Interest on Senior Secured Notes (Note 12)		86,930		84,652
Interest expense on long terms payables		-		1,248
Less amounts included in the cost of qualifying assets (Note 7(A))		(15,498)		(4,655)
		71,432		81,245
Costs related to parent company guarantees		1,378		1,780
Other finance costs and bank charges		2,367		1,057
Unwinding of discount on trade payable (Note 13(2))		5,146		7,804
Unwinding of discount on provision for decommissioning		3,026		1,873
Unwinding of discount on right of use asset (1)		277		433
Loss (income) from hedging operations		(134)		7
Less amounts included in the cost of qualifying assets  (1)		(541)		(345)
		11,519		12,609
Total finance costs		82,951		93,854
Interest income from related parties		(224)		-
Interest income from time deposits		(2,355)		(4,485)
Total finance income		(2,579)		(4,485)
Net foreign exchange losses		11,814		291
Net finance costs		92,186		89,660

(1) US$343 thousand included in intangible assets additions (See note 8) and US$198 thousand included in Oil and gas assets additions (See note 7).

NOTE 6:        Taxation

1.      Corporate Tax rates applicable to the Company:

Israel:

The Israeli corporate tax rate is 23% in 2025 and 2024.

United Kingdom:

Starting from 1 January 2024, the company's control and management was transferred from the Republic of Cyprus to the United Kingdom ("UK") and as such the company's tax residency migrated from Cyprus to UK from the first day of the accounting period. The applicable tax rate in the UK is 25%.

Under s.18A of the UK CTA 2009, the Company made an election for the branch of Energean Israel Limited (and any other branches that may open from time to time) to be exempt from UK corporation tax from its first accounting period commencing on 1 January 2024 and all subsequent accounting period.

2.      The Income and Natural Resources Taxation Law, 5771-2011 - Israel- the main provisions of the law are as follows:

In April 2011, the Knesset passed the Income and Natural Resources Tax Law, 5771-2011 ("the Law"). The imposition of oil and gas profits levy at a rate to be set as set out below. The rate of the levy will be calculated according to a proposed R factor mechanism, according to the ratio between the net accrued revenues from the project and the cumulative investments as defined in the law. A minimum levy of 20% will be levied at the stage where the R factor ratio reaches 1.5, and when the ratio increases, the levy will increase gradually until the maximum rate of 50% until the ratio reaches 2.3. In addition, it was determined that as from 2017 the maximum rate of the levy as stated will be reduced by multiplying 0.64 with the difference between the corporate tax rate prescribed in section 126 of the Income Tax Ordinance for each tax year and the rate of 18%.

NOTE 6:        Taxation (Cont.)

Additional provisions were prescribed regarding the levy, inter alia: the levy will be recognised as an expense for the purpose of calculating income tax; the limits of the levy shall not include export facilities; the levy will be calculated and imposed for each reservoir separately (ring fencing).

In accordance with the provisions of the Law, the Group is not yet required to pay any amount in respect of the said levy, and therefore no liability has been recognised in the financial statements in respect of this payment.

3.      Taxation charge:

		30 June 2025 (Unaudited) $'000	30 June 2024 (Unaudited) $'000
Current income tax charge		(22,850)	(29,925)
Deferred tax relating to origination and reversal of temporary differences (Note 9)		(7,414)	(21,168)
Total taxation expense		(30,264)	(51,093)

NOTE 7:        Property, Plant and Equipment

a.          Composition:

		Oil and gas Assets $'000		Leased assets $'000		Furniture, fixtures and equipment $'000		Total $'000
Cost:
At 1 January 2024		2,979,038		16,986		2,390		2,998,414
Additions (1)		172,421		1,363		351		174,135
Transfer from Intangible Assets (2)		205,324		-		-		205,324
Disposals		(448)		-		-		(448)
Capitalised borrowing cost (3)		15,348		-		-		15,348
Change in decommissioning provision		(11,207)		-		-		(11,207)
Total cost at 31 December 2024 (Audited)		3,360,476		18,349		2,741		3,381,566
Additions (1)		239,179		341		425		239,945
Lease modifications (4)		-		(11,237)		-		(11,237)
Capitalised borrowing cost (3)		15,498		-		-		15,498
Change in decommissioning provision		(788)		-		-		(788)
Total cost at 30 June 2025		3,614,365		7,453		3,166		3,624,984
Depreciation:
At 1 January 2024		195,124		4,425		1,034		200,583
Charge for the year		258,328		4,962		418		263,708
Total depreciation at 31 December 2024 (Audited)		453,452		9,387		1,452		464,291
Charge for the period		107,438		2,201		247		109,886
Lease modifications (4)		-		(7,190)		-		(7,190)
Total Depreciation at 30 June 2025 (Unaudited)		560,890		4,398		1,699		566,987
At 31 December 2024 (Audited)		2,907,024		8,962		1,289		2,917,275
At 30 June 2025 (Unaudited)		3,053,475		3,055		1,467		3,057,997

(1)  The additions to oil and gas assets for the period of six months ended 30 June 2025 mainly relates to Katlan development. In February 2024, Karish North first gas was achieved and the second gas export riser was completed. The second oil train lift safely and successfully performed in Q4 2024; commissioning activities are ongoing and are expected to complete in late Q4 2025, which will result in an increase in liquids production capacity.

(2)   Final Investment Decision ("FID") for Katlan was made in July 2024, and the concession agreement was granted in the same month, it expires in 2054. Refer to note 8 for further details.

(3) Borrowing costs capitalised for qualifying assets during the year are calculated by applying a weighted average interest rate of 5.34% for the period ended 30 June 2025 (for the year ended 31 December 2024: 3.93%).

(4) The lease modification pertains to the termination of vessel lease in May 2025.

NOTE 7 :         Property, Plant and Equipment (Cont.)

b.         Depreciation expense for the year has been recognised as follows:

	30 June 2025 (Unaudited) $'000		30 June 2024 (Unaudited) $'000
Cost of sales	109,239		114,356
Administration expenses	647		740
Total	109,886		115,096

c.          Cash flow statement reconciliations:

			30 June 2025 (Unaudited) $'000		30 June 2024 (Unaudited) $'000
Additions and disposals to property, plant and equipment, net			243,418		51,750
Associated cash flows
Payments and receipts for additions to property, plant and equipment, net			(183,521)		(130,784)
Non-cash movements/presented in other cash flow lines
Capitalised borrowing costs			(15,498)		(5,000)
Right-of-use asset additions			(341)		(245)
Lease modifications			11,237		-
Change in decommissioning provision			788		3,250
Lease payments related to capital activities			2,677		2,786
Movement in working capital			(58,760)		78,243

d.         Details of the Group's rights in petroleum and gas assets are presented in note 1.

NOTE 8:        Intangible Assets

a.          Composition:

		Exploration and evaluation assets $'000		Software licenses $'000		Total $'000
Cost:
At 1 January 2024		166,466		2,330		168,796
Additions		133,224		536		133,760
Transfer to Property Plant and Equipment (*)		(205,324)		-		(205,324)
31 December 2024 (Audited)		94,366		2,866		97,232
Additions		1 ,476		152		1,628
At 30 June 2025 (Unaudited)		95,842		3,018		98,860
Amortisation:
At 1 January 2024		-		631		631
Charge for the year		-		498		498
Total Amortisation at 31 December 2024 (Audited)		-		1,129		1,129
Impairment of exploration and evaluation assets (note 8(d))		1,994		-		1,994
Charge for the period		-		252		252
Total Amortisation at 30 June 2025 (Unaudited)		1,994		1,381		3,375
At 31 December 2024 (Audited)		94,366		1,737		96,103
At 30 June 2025 (Unaudited)		93,848		1,637		95,485

The additions to exploration and evaluation assets in 2024 are mainly related to pre-FID costs for Block 12 "Katlan".

(*) Katlan Final Investment Decision

In July 2024, the Ministry of Energy and Infrastructure granted the Company a 30-year concession for the Katlan area including a 20-year extension option. Following this, Energean announced in July 2024 that it had taken FID for the Katlan development project in Israel. The Katlan area is being developed in a phased approach through a subsea tieback to the existing Energean Power FPSO. First gas is planned for H1 2027. The EPCI ( Engineering, Procurement, Construction and Installation) contract for the subsea scope was awarded to Technip FMC.

b.         Cash flow statement reconciliations:

		30 June 2025 (Unaudited) $'000		30 June 2024 (Unaudited) $'000
Additions to intangible assets		1,628		130,651
Associated cash flows
Payment for additions to intangible assets		(897)		(67,481)
Non-cash movements/presented in other cash flow lines
Movement in working capital		(731)		(63,170)

NOTE 8:        Intangible Assets (Cont.)

c.          Details on the Group's rights in the intangible assets:

Right	Type of right	Valid date of the right	Group's interest as at 30 June 2025
Block 23	Exploration license	13 January 2027	100%
Block 31	Exploration license	13 January 2027	100%

d.         Additional information regarding the Exploration and Evaluation assets:

As of 30 June 2025, the Group holds two licences to explore for gas and oil, Block 23 and Block 31, which are located in the economic waters of the State of Israel. In January 2025 the licences for Blocks 23 and 31 were extended until 13 January 2027.

The licence for Block 21 was not extended and expired on 13 January 2025.

NOTE 9:         Deferred taxes

The Group is subject to corporation tax on its taxable profits in Israel at the rate of 23%. The Capital Gain Tax rates depends on the purchase date and the nature of asset. The general capital tax rate for a corporation is the standard corporate tax rate.

Tax losses can be utilised for an unlimited period, and tax losses may not be carried back.

According to Income Tax (Deductions from Income of Oil Rights Holders) Regulations, 5716-1956, the exploration and evaluation expenses of oil and gas assets are deductible in the year in which they are incurred.

Below are the items for which deferred taxes were recognised:

	Property, plant and equipment & intangible assets $'000		Right of use asset IFRS 16 $'000		Tax losses $'000		Deferred expenses for tax $'000		Staff leaving indemnities $'000		Accrued expenses and other short ‑ term liabilities and other long ‑ term liabilities $'000		Derivative asset/ liability $'000		Total $'000
At 1 January 2024	(61,050)		(2,888)		8,983		4,082		337		3,551		-		(46,985)
Increase/(decrease) for the year through:
Profit or loss	(12,040)		860		(8,983)		(1,373)		(45)		(559)		-		(22,140)
Other comprehensive income	-		-		-		-		-		-		79		79
At 31 December 2024 (Audited)	(73,090)		(2,028)		-		2,709		292		2,992		79		(69,046)
At 1 January 2025	(73,090)		(2,028)		-		2,709		292		2,992		79		(69,046)
Increase/(decrease) for the period through:
Profit or loss	(7,051)		1,359		-		(437)		64		(1,349)		-		(7,414)
Other comprehensive loss	-		-		-		-		-		-		(8,625)		(8,625)
At 30 June 2025 (Unaudited)	(80,141)		(669)		-		2,272		356		1,643		(8,546)		(85,085)

NOTE 9:         Deferred taxes (Cont.)

	30 June 2025 (Unaudited) $'000		31 December 2024 (Audited) $'000
Deferred tax liabilities	(89,356)		(75,118)
Deferred tax assets	4,271		6,072
	(85,085)		(69,046)

NOTE 10:       Trade and other receivables

		30 June 2025 (Unaudited) $'000		31 December 2024 (Audited) $'000
Current
Financial items    Trade receivables
Trade receivables		83,016		108,085
Receivables from related parties		6		330
Other receivables (1)		5,428		5,038
Accrued interest income		231		1,048
		88,681		114,501
Non-financial items
Prepayments		6,700		6,779
Income tax receivable		5,666		-
Refundable excise		7,776		-
		20,142		6,779
Total current trade and other receivables		108,823		121,280
Non-current
Non-financial items
Deposit and prepayments		9,349		8,812
Deferred expenses in relation to Loans, note 12(b)		9,728		1,036
Total non-current other receivables		19,077		9,848

(1) The balance relates mainly to the final amount related the agreement with Israel Natural Gas Lines ("INGL") for the transfer of title (the "Hand Over") of the near shore and onshore segments of the infrastructure that delivers gas from the Energean Power FPSO into the Israeli national gas transmission grid of approximately US$5 million in total and is expected to be received in H2 2025.

NOTE 11:      Inventories

		30 June 20 25 (Unaudited) $'000		31 December 2024 (Audited) $'000
Hydrocarbon liquids		4,551		3,581
Natural gas		519		502
Raw materials and supplies		16,185		12,631
Total		21,255		16,714

NOTE 12:      Borrowings

a.     Senior secured notes (the "Notes"):

On 24 March 2021 (the "Issue Date"), Energean Israel Finance Ltd (a 100% subsidiary of the Company) issued US$2,500 million of senior secured notes. The proceeds were primarily used to prepay in full the Project Finance Facility.

On 11 July 2023, Energean Israel Finance Ltd. Ltd completed the offering of US$750 million aggregate principal amount of the Notes with a fixed annual interest rate of 8.500%. The proceeds were used mainly to repay Energean Israel's US$625 million Notes series due in March 2024. Redemption date for full principal amount of the $625 million 2026 Senior secured notes scheduled for September 21, 2025.

b.     US$750 Million Term Loan :

In February 2025 Energean Israel Finance Ltd signed a 10-year, senior-secured term loan with banking corporation in Israel as the facility agent and arranger for US$750 million (the "Term Loan" and the "Term Loan Agent", respectively). The Term Loan will be available to repay its 2026 senior secured notes series and to provide additional liquidity for the Katlan development. It has a 12-month availability period, during which multiple drawdowns can be made. Up to US$475 million is available in US dollars and up to US$275 million is available in New Israeli Shekel. The Term Loan is bearing floating interest SOFR plus margin on the USD component and Bank of Israel (BOI) plus margin on the ILS component. The Term Loan is secured on the assets of the Group (including the Company's shares), pari passu with the senior secured Notes, non-recourse to Energean plc and has a bullet repayment in 2035 (refer to note 12(d) for related collaterals).

During Q1 2025, Energean Israel Finance Ltd drew US$75 million from the above facility.

c.     Composition:

Series	Type	Maturity	Annual Interest rate	30 June 2025 (Unaudited) Carrying value  $'000		31 December 2024 (Audited) Carrying value  $'000
Non-current
US$ 625 million	Senior secured notes	30/03/2026	4.875%	-		6 22,102
US$ 625 million	Senior secured notes	30/03/2028	5.375%	620,362		619 ,602
US$ 625 million	Senior secured notes	30/03/2031	5.875%	618,174		617 ,689
US$ 750 million	Senior secured notes	30/09/2033	8.500%	735,123		734 ,820
US$ 75 million	Term Loan	26/02/2035	3.1%+ BOI	71,076		-
				2,044,735		2,594,213
Current
US$ 625 million	Senior secured notes	30/03/2026	4.875%	623,219		-
				623,219		-
Total				2,667,954		2,594,213

The interest on each series of the Notes and loan is paid semi-annually, on 30 March and on 30 September of each year.

The Notes are listed on the TACT Institutional of the Tel Aviv Stock Exchange Ltd. ("TASE").

With regards to the indenture document, signed on 24 March 2021 with HSBC BANK USA, N.A (the "Trustee"), no indenture default or indenture event of default has occurred and is continuing.

d.    Collateral:

The Company has provided/undertakes to provide the following collateral in favor of HSBC BANK USA, N.A, which serves as the "Collateral Agent" under both the Notes and the Term Loan:

1)    First rank fixed charges over the shares of Energean Israel Limited, Energean Israel Finance Ltd and Energean Israel Transmission Ltd, the Karish & Tanin Leases, the gas sales purchase agreements ("GSPAs"), several bank accounts, operating permits, insurance policies, the Company's exploration licences and the INGL Agreement.

2)    Floating charge over all of the present and future assets of Energean Israel Limited and Energean Israel Finance Ltd (except specifically excluded assets).

3)    The Energean Power FPSO.

NOTE 12:    Borrowings (Cont.)

e.    Restricted cash:

As of 30 June 2025, the Company had short-term restricted cash of US$83.26 million (31 December 2024: US$82.43 million), which will be used mainly for the September 2025 interest payment.

NOTE 13:      Trade and other payables

		30 June 2025 (Unaudited) $'000		31 December 2024 (Audited) $'000
Current
Financial items
Trade accounts payable		240,680		140,840
Payables to related parties		15,792		11,021
Other creditors (1)		24,559		35,468
Short term lease liabilities		1,506		5,296
		282,537		192,625
Non-financial items
Accrued expenses		39,214		24,480
Other finance costs accrued		43,196		41,133
VAT payable		3,155		4,182
Deferred revenues		5,530		-
Social insurance and other taxes		487		504
		91,582		7 0,299
Total current trade and other payables		374,119		262,924
Non-current
Financial items
Trade and other payables (2)		31,303		61,758
Long term lease liabilities		2,127		4,767
		33,430		66,525
Non-financial items
Accrued expenses to related parties		751		519
		751		519
Total non-current trade and other payables		34,181		67,044

(1)       The amount mainly comprises of royalties payables to the Israel government and third parties with regards to the Karish Lease, including US$9.3 million (2024: US$12.9 million) of royalties payable to third parties. Contractual royalties are payable to third-party holders at a total rate of 7.5%, increasing to 8.25% after the date at which the lease in question starts to pay the oil and gas profits levy. The royalty payable to third-party holders under the Sale Purchase Agreement (SPA ( is calculated on the value of the total amount of natural gas and condensate produced at the wellhead without any deduction (except for natural gas and Petroleum (as defined under the Petroleum Law) used in the production process). No contractual royalties under the SPA will be payable on future discoveries that were not part of the original acquisition of the Karish and Tanin leases.

NOTE 13:      Trade and other payables (Cont.)

(2)       The amount represents a long-term amount payable in terms of the EPCIC (Engineering, Procurement, Construction, Installation and Commissioning) contract to Technip. According to the agreement with the EPCIC contractor, the last US$210 million of the consideration is payable in 12 equal quarterly deferred payments beginning in March 2024 and as such has been discounted at 8.67% per annum (being the yield rate of the senior secured loan notes, maturing in 2026, as at the date of agreeing the payment terms). As of 30 June 2025, 6 installments have been paid.

NOTE 14:      Equity

Interim dividends:

During the reporting period dividends of US$95.85 million were declared and paid (2024: US$150.5 million).

NOTE 15: Financial Instruments

Fair Values of other financial instruments

The following financial instruments are measured at amortised cost and are considered to have fair values different to their book values.

	30 June 2025 (Unaudited)		31 December 2024 (Audited)
	Book Value $'000	Fair value $'000	Book Value $'000	Fair value $'000
Senior Secured Notes (Note 12(a))	2,596,878	2,564,375	2,594,213	2,485,589

The fair value of the Senior Secured Notes is within level 1 of the fair value hierarchy and has been determined with the reference to market prices at the reporting date.

The fair values of other financial instruments not measured at fair value, including cash and short-term deposits, trade receivables, trade and other payables and the Term Loan which equate approximately to their carrying amounts.

Cash Flow Hedging

In addition to the hedging agreements described in the 2024 annual consolidated financial statements, in February 2025 the Group entered into a forward transaction to hedge against foreign currency volatility risk associated with its forecasted payment to the EPCI contractor for its Katlan development. The forward contracts are subject to different maturity dates and are designed to match the payments for completion of Katlan Subsea development milestones under the host contract. Multi-currency instruments are effective from April 2025 to August 2027.

The hedge relationship was deemed effective at inception, and in accordance with the Group's accounting policy, the transaction was subject to cash flow hedge accounting.

Consequently, as of 30 June 2025, the Group recorded a derivative asset of US$37.16 million, and other comprehensive income of US$28.88 million, during the reporting period (31 December 2024, the Group recorded a derivative liability of US$0.3 million, and other comprehensive income of US$0.3 million during 2024).

Financial risk management objectives

In addition to the risks discussed in the consolidated annual financial statements, due to the new term Loan obtained in March 2025 (refer to note 12(b)), the Company became exposed to interest rate risk. The Group carefully considers the future impact of the floating interest fluctuation and will consider mitigation plans as needed and implement accordingly.

NOTE 16:      Significant events and transactions during the reporting period

a.         Approximately US$2 billion binding term sheet signed with Dalia Energy Companies Ltd in January 2025 for gas sales in Israel. The agreed terms are for the supply of up to 0.1 bcm/year from April 2026, rising to up to 0.5 bcm/year from around January 2030 and then approx. 1 bcm/year from June 2035 till 2044 with potential extension, and excludes supply in the summer months (between June to September) between 2026-2034. The binding term sheet contains provisions regarding floor pricing, take or pay and price indexation linked to CPI (not Brent-price linked). The terms agreed are in line with the other material, long-term contracts within the Company portfolio.

b.         The Company has signed a Gas Sale and Purchase Agreement ("GSPA") with Kesem Energy Ltd ("Kesem"). The contract is for the supply of gas to Kesem's new power plant, which is estimated to be operational before the end of the current decade. The contracted supply is approx. 1 bcm/year from around the middle of the 2030s with limited quantities of gas supplied intermittently before then. The contract represents over US$2 billion in revenues and approx.12.5 bcm in contracted supply over the approx. 17-year period. The contract contains provisions regarding floor pricing, take or pay and price indexation (not Brent-price linked). The terms of GSPA are in line with the other material, long-term contracts within the Company portfolio.

c.          On June 13, 2025, Energean received notice from the Ministry of Energy and Infrastructure ordering the temporary suspension of production and activities of the Energean Power FPSO, following the geopolitical escalation in the region at the time of the notice. On June 25, 2025, Energean received notice from the Ministry of Energy and Infrastructure, instructing the safe restart and resumption of production and operations at its Energean Power FPSO. Energean acted in accordance with the Ministry of Energy and Infrastructure's instructions. For more details see Note 2.

This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact [email protected] or visit www.rns.com.

RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our Privacy Policy.

END

IR URAKRVSUKAAR