WTI (May) $92.35 +$4.22, Brent (May) $104.99 +$4.55, Diff -$12.64 +83c
USNG (Apr) $2.94 +5c, UKNG (Apr) 126.2p -18.4p, TTF (Apr) €48.905 -€7.43

Oil price

Another seesaw day for oil, the prices above are last night’s close, at the opening today WTI was down $4.95 and Brent off $4.55, at the time of writing the former has bounced by $2.61 and the latter by $3.22. 

I put this down to what can only be described as mixed messages particularly emanating from the White House. They have sent a peace plan to Iran but also thousands more marines are on the way for when the ultimatum ends on Friday. 

Pharos Energy

Pharos has announced its preliminary results for the year ended 31 December 2025.

Katherine Roe, Chief Executive Officer, commented:
"Pharos made significant strides in 2025 to enter 2026 with strong momentum across our portfolio. In Vietnam, we commenced the six-well drilling campaign on TGT and CNV to support current production and unlock incremental volumes from these assets. On Blocks 125 & 126, approval of the two-year extension in June 2025 enabled a renewed and structured process to progress discussions with potential farm-in partners, which continues with active discussions. In Egypt, we were pleased to receive approval from EGPC for the consolidation of our two existing concessions, delivering an immediate uplift in value with 20-year lease extensions and improved fiscal terms. I am delighted that our receivable balance is now at its lowest level since December 2021 at $6.1m, due to the $20 million payment received from EGPC in December, doubling our year end cash balance.  

"This stronger balance sheet provides the foundation to continue our track record of delivering tangible shareholder returns, with $6.5m of dividend payments in 2025. Today, the Board has recommended a final dividend for the 2025 financial year of $5.2m, 0.9317 pence per share, subject to shareholders' approval at the Company's 2026 AGM, taking the 2025 full year dividend to 1.331 pence per share, an increase of 10% on the prior year.

"Going into 2026, Pharos is well positioned for continued growth and delivery. With a geographically stable asset base, solid financial performance, and well-protected cash flows, we are well placed to weather challenging macroeconomic conditions. Our majority unhedged position enables us to take advantage of the high oil price environment while pursuing a balanced mix of growth opportunities. We continue to progress our Vietnam drilling programme, which is on track to complete by mid-2026, and look forward to updating the market on the results of these wells in April or early May. In Egypt, the first well on the agreed six-well work programme is expected to commence shortly. On our high impact exploration asset in Vietnam, we look forward to continuing current discussions with a view to securing a partner for Blocks 125 & 126. Additionally, we are progressing a number of opportunities to add scale and materiality to our business, enhancing the existing portfolio. With a strengthened balance sheet, Pharos is well positioned to continue delivering shareholder returns while investing in the next phase of growth.

"I would like to thank all of our stakeholders for their continued support, and I look forward to another year of progress and delivery."

 2025 Operational Highlights

• Group working interest 2025 production totalled 5,398 boepd net, in line with guidance of 5,200 - 6,000 boepd:
  • Vietnam 4,095 boepd
  • Egypt 1,303 bopd
• Strong safety record maintained with zero LTIs
• Vietnam:
  • On TGT & CNV: six-well offshore drilling programme commenced operations on 18 October 2025 consisting of two commitment appraisal wells and four infill wells:  
    • TGT infill wells: two infill wells on the H1 and H5 fault blocks completed by year end. The wells were drilled on time, under budget, and are producing as expected. The final infill well on the H4 fault block reached total depth (TD) on 21 March 2026, and is expected to be brought into production in April
    • TGT-18X appraisal well: drilling completed on time and budget with testing underway; update to the market on the results of the testing expected in April or early May
    • CNV infill well: drilling of the CNV-8P infill well completed in mid-March
    • CNV-5X appraisal well: drilling commenced in mid-March and is expected to finish mid-2026
  • On Blocks 125 & 126: two-year extension to the Exploration Period to November 2027 granted in June 2025. Discussions continue with potential farm-in partners
• Egypt:
  • Approval received in September from EGPC Executive Board for the consolidated Concession Agreement, with improved fiscal terms effective from 5 October 2025, the date of full EGPC Board approval
  • North Beni Suef (NBS) 3D seismic data processing and interpretation is complete, with a number of targets identified and two wells included in the committed work programme under the consolidated Concession Agreement

 2025 Financial Highlights

• Group revenue of $114.6m 1,2 (2024: $136.1m 1,2)
• Cash generated from operations $85.5m (2024: $89.3m)
• Operating cash flow $55.6m 3 (2024: $54.0m)
• Cash operating costs 4 of $19.39/bbl (2024: $17.80/bbl)
• Net cash 4 as at 31 December 2025 of $40.2m, the Group is debt free (2024: $16.5m net cash 4)
• Receivables balance in Egypt at 31 December 2025 of $7.4m following total payments received of $37.7m
• Loss for the year of $6.6m (2024: profit $23.6m including net post-tax impairment reversals of $19.9m)

2025 Corporate Highlights

• Commitment to shareholder returns continue:
  • Sustainable dividend policy delivered with an interim dividend of 0.363 pence per share for the 2024 financial year, totalling $1.8m, being paid on 22 January 2025. The final dividend for the year ended 31 December 2024 of 0.847 pence per share, totalling a further $4.7m, was approved by the shareholders at the Company's AGM in May 2025 and subsequently paid on 18 July 2025
  • Returns to shareholders maintained with an interim dividend for the 2025 financial year of $2.2m, 0.3993 pence per share, paid on 21 January 2026

2026 Outlook

• Group working interest production guidance increased from 2025 to 5,200 - 6,400 boepd net:
  • Vietnam 4,000 - 4,950 boepd
  • Egypt 1,200 - 1,450 bopd
• Vietnam production:
  • TGT & CNV: continuation of six-well drilling programme which is expected to finish by mid-2026
  • The four infill wells in the programme are planned to maintain production at 2025 levels. Successes at both appraisal wells, TGT-18X and CNV-5X, could deliver up to a 20% increase in Vietnam production volumes and de-risk additional development opportunities
• Vietnam exploration:
  • Blocks 125 & 126 formal farm-out process ongoing with discussions continuing; further updates expected by mid-2026
• Egypt:
  • Drilling rig for El Fayum now secured, with second rig being contracted for North Beni Suef. Preparations underway for the approved budget and work programme of six wells; first well expected to commence drilling shortly   
  • Parliamentary ratification of the consolidated Concession Agreement expected later in 2026; 5 October 2025 retroactive date applies
• Final dividend of $5.2 million, equating to 0.9317 pence per share, to be paid in July 2026, to be proposed for shareholders' approval at the 2026 AGM; total dividend for the year of $7.4 million
• With the current volatility in commodity prices, modest hedging has been put in place to protect downside whilst also facilitating taking advantage of the upside
• Group cash capex for 2026 is expected to be $50m, of which $11m is for Egypt, and $39m is for Vietnam
• On track to achieve our Net Zero interim three-year target (2024-2026) of 5% emissions reduction compared to 2021 baseline

1. Egyptian revenues are stated post government take
2. No realised hedge gains or losses in 2025 (2024: realised hedged loss of $0.1m)
3. Operating cash flow = Net cash from operating activities, as set out in the Cash Flow Statement
4. Non-IFRS measure

Seascape Energy Asia

Seascape yesterday announced its intention to undertake a fundraising of approximately £4 million before expenses by way of a placing and direct subscription by certain Directors.  

Pursuant to the Fundraising, the Company will issue up to 6,309,781 new Ordinary Shares, representing approximately 10 per cent of the Company’s existing issued share capital, at an issue price of 70 pence per share. The Issue Price represents a discount of approximately 12.5 per cent to the closing mid-market price of 80 pence on 23 March 2026. Certain Directors intend to subscribe in the Fundraising for total gross proceeds of £315,000. 

The Placing is to be conducted by way of an accelerated bookbuild process in accordance with the terms and conditions set out in Appendix I. The Bookbuild will be launched immediately following this announcement. The Company expects to close the Bookbuild no later than 7.00 a.m. on 25 March 2026, but the Bookrunner and the Company reserve the right to close the Bookbuild earlier or later, without further notice.

In conjunction with the Fundraising, the Company will also offer the opportunity for the Company’s wider retail shareholder base in the United Kingdom to participate in the offering at the Issue Price (the “Retail Offer”). The Retail Offer will be carried out via the Winterflood Retail Access Platform (“WRAP”) and a separate announcement will be made regarding the Retail Offer and its terms. 

Background to the Fundraising

Seascape Energy has built a unique position in the Malaysian upstream space since first entering the country in 2023,  acquiring interests in a diverse portfolio of gas fields and exploration prospects. The Company has added value to this portfolio through its subsurface expertise, increasing resources in-the-ground and introducing industry heavy-weight partners into its projects.

The Company has interests in three core projects, namely the Temaris Cluster PSC (“Temaris”), the DEWA Cluster PSC (“DEWA”) and the Block 2A PSC:

• Temaris Cluster PSC (Company 100%, operated) awarded in June 2025, Temaris includes the Tembakau and Mengkuang gas discoveries with net certified 2C resources of 276 bcf (46 mmboe) and nearby gas prospects offering significant exploration upside with certified net mean unrisked Prospective Resources of 950 bcf (158 mmboe). The fields are located in shallow water offshore Peninsular Malaysia with the initial phase targeting the Tembakau discovery which will be developed via unmanned wellhead platforms tied back to existing infrastructure. First gas is anticipated in 2028 at plateau production rates of ~17,000 boepd.
• The DEWA Cluster PSC (Company 28%) is a series of 12 gas-weighted fields located offshore, shallow water Sarawak, Eastern Malaysia, with certified net 2C resources of 95 bcf and 1.8 mmbbls of NGLs (18 mmboe). The initial development, operated by EnQuest plc, will target the D41 and D41W accumulations targeting gross volumes of >200 bcf (33 mmboe) with a final investment decision on the development anticipated to occur in H2 2026 and first production by mid-2028 with projected net production plateau of ~6,000 boepd (90% gas); and
• Block 2A PSC (Company 10%) is located deepwater offshore Sarawak, Eastern Malaysia, and contains the giant Kertang prospect with certified gross mean unrisked Prospective Resources of 9.1 TCF and 145 mmbbls of NGL (1.7 bnboe). In 2024, Seascape secured a farm-out of Block 2A to Japan’s largest E&P company, INPEX Corporation (“INPEX”), securing a full uncapped carry for two exploration wells. INPEX has committed to drill the first well on the Kertang prospect, with drilling anticipated to occur in mid-2027.

The Company is now looking towards its next phase of growth into 2027, during which time the Company intends to:

• Seek to secure new acreage around its flagship Temaris asset, expanding its core operated position and pursuing an opportunity to create a >1 TCF new gas hub;
• Bring a strategic partner into Temaris through a farm-out process during H1 2026;
• Take a final investment decision on both its DEWA and Temaris projects during H2 2026, converting a large portion of its 64 mmboe of 2C contingent resources into 2P Reserves, paving the way for production potential of >20,000 boepd in 2028; and
• Drill the >9 TCF Kertang gas prospect H1 2027 at no cost to Seascape.

In the context of this growth, the Fundraising is being conducted to ensure the Company is in a strong financial position to rapidly progress these growth objectives and for general corporate purposes.

Results of fundraising

Seascape has subsequently announced that it has successfully raised gross proceeds of £4.2 million before expenses, by way of a placing and direct subscription by certain Directors. The Fundraising was completed via the issue of 6,000,000 new ordinary shares in the Company at a price of 70 pence per share, representing 9.5 per cent of the Company’s existing share capital. The Issue Price represents a discount of approximately 11.4 per cent to the closing mid-market price of 79 pence on 24 March 2026.

The Fundraising Shares will, when issued, be credited as fully paid and will rank pari passu in all respects with the existing Ordinary Shares, including the right to receive all dividends or other distributions made, paid or declared in respect of such shares after the date of issue of the new Ordinary Shares.

In conjunction with the Fundraising, the Company will also offer the opportunity for the Company’s wider retail shareholder base in the United Kingdom to participate in the offering at the Issue Price (the “Retail Offer”). The Retail Offer will be carried out via the Winterflood Retail Access Platform and a separate announcement will be made regarding the Retail Offer and its terms.

Nick Ingrassia, Chief Executive of Seascape, commented:
“From day-one of our pivot to Southeast Asia in mid-2024, the Board of Seascape Energy has been entirely focused on building the highest-quality portfolio at the lowest possible cost. During this period we have captured three, gas-weighted PSCs in Malaysia, booked significant resources and introduced high-quality partners into our projects – all on a shoestring budget with only £2 million raised during the period.

Today’s announcement allows Seascape to enter the next phase of growth on its path to becoming a material E&P company in Malaysia. The funds raised will allow the Company to pursue several near-term catalysts that will continue to increase value in the business. 

We are pleased to welcome a wide range of new institutional shareholders to the register, in addition to our existing supportive shareholders, all of whom share our vision for Seascape’s growth potential.

In recognition of our supportive and engaged retail investor base, we have also announced a retail offering this morning which will allow the opportunity to participate in the institutional fundraising on the same terms.

On behalf of the entire Seascape team, I would like to thank all shareholders for their continued support and can ensure them of our best efforts in delivering further value on their behalf.“

No surprise to see Seascape raising a modest £4.2m plus whatever the WRAP brings in, they have made great strides since coming to the market with their exciting Asian portfolio which contains some very exciting prospects.

In the Tamaris Cluster they have big plans, they are hoping to access some of the exciting nearby acreage not yet awarded, are planning to bring in a partner and obviously will be concluding a FID before long. The FID would have the added attraction of, at very low cost, bring an upgrade to the resource base, in this case moving a decent chunk of the existing 2C resources over to 2P making a possible bonus of some $2pb. 

Add to that they also plan to make a FID at the DEWA Cluster at the end of 2026 and produce in two years time and the underlying value starts to look very substantial indeed. And this is before you bring into the equation the potential jewel in the Seascape crown which is Kertang and at the moment I understand that plans are still on to drill that next summer, at no cost to them. 

So there is plenty to get excited about at Seascape, as I predicted back in June 2024 they have, on a low budget and skilful accretion of high quality assets, already surpassed my demanding expectations. My target price was initially 75p when they were 7.4p, since then I have upgraded twice and last month increased that to the current target of 125p for the updated Bucket List.

So, with so much to look forward to, Seascape remains a top pick in the sector and with this raise, designed to give the board a cushion which will make negotiating for new assets and also in farm-in discussions significantly strengthening their hand a great deal easier.

With the giant Kertang probably being drilled in mid 2027 the outlook is exciting, today’s new shareholders, new acreage, probably new partnerships and definitely new opportunities make Seascape an investment for the long term, maybe the bottom drawer as there is, as the Chairman said, plenty to get excited about. 

WRAP Retail offer

Seascape has also announced a retail offer via the Winterflood Retail Access Platform through the issue of new ordinary shares of 10 pence each in the capital of the Company. Under the Retail Offer up to 1,200,000 new Ordinary Shares will be made available at a price of 70 pence per share.

In addition to the Retail Offer and as announced at 7.00 a.m. on 25 March 2026, the Company has also announced a completed fundraising (the “Fundraising”) by way of a placing (the “Placing”) and direct subscription (the “Subscription”) of new Ordinary Shares (the “Fundraising Shares” and together with the WRAP Retail Offer Shares, the “New Ordinary Shares”) to raise £4.2 million (before expenses) at the Issue Price. The Issue Price represents a discount of approximately 11.4 per cent to the closing mid-market price of 79 pence on 24 March 2026 (being the latest practicable date prior to the date of this Announcement).

A separate announcement has been made regarding the Placing and Subscription and its terms and sets out the reasons for the Fundraising and use of proceeds.  The proceeds of the Retail Offer will be utilised in the same way as the proceeds of the Placing and Subscription.

For the avoidance of doubt, the Retail Offer is not part of the Placing or Subscription. Completion of the Retail Offer is conditional, inter alia, upon the completion of the Placing and Subscription but completion of the Placing and Subscription is not conditional on the completion of the Retail Offer.

The Placing, Subscription and Retail Offer are conditional on the New Ordinary Shares being admitted to trading on AIM (“Admission”). It is anticipated that Admission will become effective and that dealings in the New Ordinary Shares will commence on AIM, at 08.00 a.m. on 30 March 2026.

WRAP Retail Offer

The Company values its retail shareholder base and believes that it is appropriate to provide both new and existing retail shareholders in the United Kingdom the opportunity to participate in the Retail Offer.

Therefore, the Company is making the Retail Offer open to eligible investors in the United Kingdom, being new or existing shareholders of Seascape, following release of this announcement and through certain financial intermediaries.

A number of retail platforms are able to access the Retail Offer. Non-holders or existing shareholders wishing to subscribe for Retail Offer Shares should contact their broker or wealth manager who will confirm if they are participating in the Retail Offer.

Retail brokers wishing to participate in the Retail Offer on behalf of eligible retail investors, should contact WRAP@winterflood.com.

The Retail Offer is expected to close at 12.00 p.m. on 26 March 2026. Eligible retail investors should note that financial intermediaries may have earlier closing times. The result of the Retail Offer is expected to be announced by the Company on or around 26 March 2026.

To be eligible to participate in the Retail Offer, applicants must be a customer of a participating intermediary including individuals aged 18 years or over, companies and other bodies corporate, partnerships, trusts, associations and other unincorporated organisations.

There is a minimum subscription of £100 per investor under the Retail Offer. The terms and conditions on which investors subscribe will be provided by the relevant financial intermediaries including relevant commission or fee charges.

The Company reserves the right to amend the size and timings of the retail offer at its discretion. The Company reserves the right to scale back any order and to reject any application for subscription under the Retail Offer without giving any reason for such rejection.

It is vital to note that once an application for Retail Offer Shares has been made and accepted via an intermediary, it cannot be withdrawn.

The Retail Offer Shares will, when issued, be credited as fully paid, and have the right to receive all dividends and other distributions declared, made or paid after their date of issue.

Original article   l   KeyFacts Energy Industry Directory: Malcy's Blog