WTI (June) $98.07 +$2.65, Brent (July) $104.21 +$2.92, Diff -$6.14 +32c 
USNG (June) $2.91 +15c, UKNG (June) 114.96p +6.96p, TTF ( June) €46.925 +€2.43

Oil price

Oil is up the best part of four bucks this afternoon as markets think that with Iran pushing back on the US peace memo and apparently was miles away from the US stance. This looks bad for the war but it may come down to the China syndrome that I have been talking about recently. 

With President Trump meeting with the Chinese leader at the end of the week the war may be front and centre, China are affected in a number of ways and also would like it to end as well…

Pharos Energy

Pharos has provided the following Trading and Operations Update ahead of the Company’s annual general meeting (AGM) on 21 May 2026 at 2.00 p.m. (BST). The information contained herein has not been audited and may be subject to further review and amendment.

Katherine Roe, Chief Executive Officer, commented:
“It has been a busy start to the year for Pharos as we advance two ongoing multi-rig drilling campaigns in Vietnam and Egypt. Our six-well offshore program in Vietnam is almost complete, with five of the six wells successfully drilled, all on time and on budget. These are already contributing to production and reserves growth. In Egypt, we have commenced our six-well drilling campaign, leveraging improved fiscal terms to drive additional value.

“These fully-funded campaigns to grow production, coupled with our exposure to higher near-term oil prices, particularly in Vietnam, where we continue to receive a premium to Brent, are driving strong cash flow generation. We remain committed to monetising our high-impact exploration in Vietnam as the farm-out process continues, whilst also identifying value-accretive opportunities to add to our existing portfolio.

“Pharos remains well-positioned to unlock further growth and deliver value for shareholders. We thank shareholders and all our stakeholders for their continued support.”

This is another very solid update from Pharos bringing as it does a very good revenue number, boosted by current realisations particularly in Vietnam due to the premium to Brent pricing. With production of 5,561 boe/d easily within guidance and should the final Vietnam well come in as hoped, will see the rate at the top end of the 5.2-6.4m boe/d guidance.

That would make all the six funded wells in Vietnam successful and on production, making the campaign highly efficient and apart from the flow, also adds to revenue, cash generation and reserves. In Egypt the first of a six well programme is underway and this is also fully funded and the recently confirmed improved fiscal terms ‘drive additional value’. 

Both parts of the portfolio offer potential upside, further drilling in Egypt and of course the farm-out in Vietnam of blocks 125 & 126 is underway. Cash at the end of April is a healthy $31m and with the Egyptian Government promising repayment of all receivables Pharos should get the remaining $7m back this quarter.

 So, my 50p target price looks eminently achievable and with the shares up by some 35% over six months and a year alike I can still see plenty of upside in the short term as operational activity kicks in as well as longer term potential particularly in Vietnam. 

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

Corcel

Corcel has provided an operational update, announce changes in management and launch its refreshed corporate branding and website.

Highlights:

• KON-16 progressing toward drilling, with the pre-salt exploration well targeted within the next 12 months.

• Farm-down discussions active with multiple potential strategic partners ahead of drilling.

• New seismic confirms key Sirius and Canopus prospects and delivers a 227% increase in seismic coverage across the block.

• PSTM (Pre Stack Time Migrated) seismic results expected end-July 2026, supporting further prospect maturation and partner review.
• Leandro Schujmann appointed CFO, bringing significant Africa and Latin America energy finance experience.

KON-16: Operational Progress and Farm-Down Process

Following completion of the 326 line‑km 2D seismic acquisition programme in February 2026, the Company continues to advance the technical and operational workstreams required ahead of drilling the pre-salt exploration well in the onshore Kwanza basin on KON‑16.

Current work includes drilling engineering and well design, permitting and regulatory sequencing, long‑lead procurement planning and rig engagement discussions with prospective contractors.

These activities remain aligned with the Company’s internal schedule, supporting a planned drilling window within the next 12 months, subject to final approvals and partner alignment.

The Company continues to progress its farm‑down process and remains in active dialogue with multiple potential counterparties. The objective is to secure a strategic partner ahead of drilling the pre‑salt exploration well in the onshore Kwanza Basin.

Subsurface Update

Processing of the KON‑16 seismic dataset is being undertaken by DUG Technology Ltd, a global specialist in complex pre‑salt imaging in partnership with Striped-Horse, an upstream oil and gas consultancy providing strategic energy solutions in Angola and the UK. Processing commenced on 24th March 2026.

Key technical milestones:

• Brute Stacks (initial seismic deliverables)

o  Confirms clear imaging of three previously high graded prospects. “Sirius”, a large pre-salt structure in the centre of KON-16 with an additional overlying post-salt target, and the geologically independent “Canopus” post-salt prospect.

o  Additional mapped prospectivity both in the deeper pre-salt and shallower post-salt, visible across the block.

• Significant improvement in structural control

o  Recently acquired seismic represents 227% increase in seismic coverage over the block.

o  Multiple intersecting lines across the primary target, the Sirius prospect, materially enhancing definition and supporting well‑location selection.

• PSTM (time) volume on track for delivery end‑July 2026

o  Expected to support prospect maturation and partner technical review

• Final PSDM (depth) volumes expected later in 2026

Business Development

Corcel has continued to broaden its business development pipeline across Angola, Brazil and the wider Latin America region, with several producing and pre‑development opportunities now at advanced stages of technical and commercial review. Although no transaction has yet been finalised, several counterparties remain in active engagement, consistent with the longer lead times typical of the region.

The Company remains disciplined in its evaluation criteria, prioritising assets capable of delivering “near‑term” cash flow and strategic fit alongside its high-impact exploration portfolio in the onshore kwanza basin. With the strengthened balance sheet following the fundraises previously announced, Corcel is capitalised to execute on suitable acquisition opportunities as they mature.

Management Changes:

The Company announces the appointment of Leandro Schujmann as Chief Financial Officer.

Leandro brings over a decade of senior finance experience. He joins Corcel having worked at Prime Oil & Gas (now Meren Energy), where he ultimately served as CFO, managing a US$3 billion investment portfolio and leading financing processes exceeding US$4 billion. His experience across Latin America and Africa, including complex cross‑border financing structures, aligns with the Company’s operational footprint and growth plans.

Scott Kaintz stepped down as Chief Financial Officer on 31 March 2026 to pursue opportunities outside the Company. We are very grateful for Scott’s contribution during his time with the Company and wish him every success in his future endeavours.

Branding and Website:

Corcel has launched its refreshed corporate branding and new website, reflecting the Company’s continued evolution and improving accessibility to corporate information and investor materials.

The Company has also introduced a new Retail Investor Hub in partnership with Investor Meet Company, enabling direct communication with shareholders and interested parties.

Registration is available at:https://investormeet.corcelplc.com/register

Scott Gilbert, Corcel’s CEO, commented:
“Following the successful completion of our KON-16 seismic program and the further strengthening of our balance sheet in March, we continue to make strong progress across both our operational and strategic priorities. Our immediate focus remains on advancing KON-16 towards drilling, progressing farm-down discussions and continuing our evaluation of production acquisition opportunities that can complement our exploration-led growth strategy.

We would like to thank Scott Kaintz for his contribution to Corcel and wish him every success in the future. At the same time, we are delighted to welcome Leandro to the business. His financial, transactional and operational experience across both Latin America and Africa aligns strongly with our regional strategy.

The launch of our refreshed corporate identity and new digital platforms reflects the evolution of Corcel as we continue to build a larger, more operationally focused energy company with a clear strategy for long-term shareholder value creation.”

This is another very positive update from Corcel, it states that they are continuing with the processing of the 2D seismic data shot on KON-16 onshore Angola. This has confirmed clear imaging of both the Sirius and Canopus prospects with more information due to come out at the end of July.

I expect plenty of good news flow from Corcel in coming months, not just from the 2D data but also as the discussions with regard to farming-out of its 71.5% stake in KON-16 are very much active and that will I imagine provide funding for the upcoming exploration well on the block. 

Corcel is in a very strong position financially, it has had strong funding with recent raises at nil discount and backed by major league investors, in addition it is due $2m inbound from Sintana which gives serious flexibility. Apart from Angola, Corcel has plans for inorganic growth from possible production acquisitions in other areas such as Brazil or even other parts of South America.

I remain very confident that Corcel is an excellent investment even after the 28% rise in the last six months and 108% year on year it offers significant upside, my 2p target price and its place in the Bucket List shows that. 

Jersey Oil & Gas

Jersey has announced its audited financial results for the year ended 31 December 2025 and the date of its forthcoming Annual General Meeting.

Following the significant progress that has been made by the Company towards monetising the Greater Buchan Area, the last year has frustratingly seen momentum slowing as a result of the Government’s consultations on the future regulatory and fiscal direction of the UK North Sea.  Despite this, the Company remains well positioned as one of the leading UK listed small-cap oil and gas companies, with a high-quality development portfolio and the funding to deliver on its organic growth plans.

Buchan Development

The potential for the Buchan Horst (“Buchan”) development to drive long term shareholder value is well understood and securing sanction for this project represents a huge opportunity.  While the end of the Government consultations in late 2025 helped provide additional clarity on the framework within which future investment decisions can be assessed, it is clear that the industry as a whole is still digesting the outcomes.  Positive conclusions in respect of the protracted environmental and regulatory approval processes for the North Sea’s “Jackdaw” and “Rosebank” developments will inevitably help inform the optimal route forward for subsequent UK projects like Buchan.  Obtaining clarity from these processes and the likelihood of an earlier than planned implementation of the “Oil and Gas Price Mechanism”, the replacement regime for the Energy Profits Levy, will help influence the timeline and steps for taking the Buchan project towards sanction. 

Although various headwinds have buffeted the industry, the core strengths of our business remain unchanged:

• Material resource base: With estimated gross resources of over 100 million barrels of oil equivalent (“MMboe”) in the Greater Buchan Area (“GBA”), underpinned by a carried 20% working interest in the Buchan development, the Company has the potential to generate substantial cash flow from its portfolio
• “Hub and spoke” development plan: Unlocking the resource base involves the installation of a central processing facility for the area, with initial production from Buchan to be followed by the tieback of the other GBA feeder fields
• Fully funded: The farm-out transactions completed with NEO Next+ (“NEO”) and Serica Energy (“Serica”) provide the funding for the Company’s 20% investment in the Buchan development, along with several milestone cash payments – to date this has totalled over $25 million in cash and capital expenditure carry payments
• Strong industry partners: NEO and Serica are major, well-financed, UK North Sea oil and gas operators that provide strength and expertise to a high-quality joint venture partnership
• Financial resilience: The Company continues to prudently manage the financial position of the business and maintain its resilience to the delayed sanction of the Buchan development, which has resulted from the regulatory and fiscal headwinds the industry has faced

The Buchan joint venture is continuing to screen and consider additional potential development solutions that have arisen as a result of the inevitable delay in investment decision-making caused by the Government consultations.

Strategic Focus

The Company’s vision is centred on successfully growing the business in a smart and sustainable way, developing important domestic energy resources and creating value for all stakeholders.  The organisation is “right sized” for the stage and scale of its current activities and maintains a nimble approach to advancing its key strategic objectives.

JOG remains sharply focused on unlocking the organic value of the GBA, combined with utilisation of its existing UK tax allowances of over $100 million through the pursuit of accretive asset acquisitions that bring cash flow, diversity and quality investment opportunities into the portfolio.  Such opportunities are thoroughly assessed in terms of their potential strategic fit, being mindful of the quality and unencumbered strengths of the existing portfolio.

Outlook

The Company is well positioned to continue pursuing its core objective of fully monetising the value of its GBA interests.  With total year-end cash reserves of £11 million, no debt and a current cash run rate of under £1.5 million per annum, the business is financially secure and funded for execution of the Buchan development programme.  This backdrop provides an attractive springboard from which to realise the full potential and ambitions of the business for delivering long-term shareholder value.

Annual General Meeting

The Company also announces that its 2025 Annual Report and Financial Statements together with the AGM Notice and associated Form of Proxy are now available on the Company’s website (www.jerseyoilandgas.com) and will be posted today to those shareholders who have elected to receive hardcopy shareholder communications from the Company.

The Company will hold its AGM in respect of its financial year ended 31 December 2025 on 9 June 2026 at 11.00 a.m. at the offices of Strand Hanson Limited, 26 Mount Row, London W1K 3SQ.

Andrew Benitz, Chief Executive Officer of JOG, commented:
“The message is beginning to land; as long as demand persists, the UK cannot sustain a strategy that relies on importing oil and gas while discouraging domestic North Sea production. The agreement on a more rational fiscal mechanism for taxing North Sea oil and gas production during periods of exceptionally high prices is a welcome and important step forward. However, delaying its introduction to 2030 will come too late for many in the basin. We believe that the straightforward step, which we understand the Government is actively considering, of bringing this mechanism forward would help reopen the UK North Sea and represent a major step towards unlocking the significant investment potential that our Buchan redevelopment project has to offer.”

I have always maintained that the Greater Buchan Area is of significant value to both JOG and of course the British economy. The CEO is correct in saying that the Government is actively considering the step of bringing forward the updated and more rational fiscal mechanism which would enable the GBA to proceed. 

However, as long as the current Secretary of State continues to go against best advice, including that of his own Chancellor and the majority of the voting public it has yet to go ahead. It is unequivocal that by importing other nations’ oil and gas by any means we are merely passing the net zero buck, trying to look virtuous yet at the same time costing our Exchequer billions in tax take and tens of thousands of high quality jobs in our unique industry. 

JOG will undoubtedly have its day, Buchan is a brilliant project, the company has blue chip partners and it is carried by them. Both partners are totally committed to the UK and have placed their bets accordingly, investors in Jersey Oil & Gas will indeed make a very good return on what is an incredible project capable of serious returns.

PetroTal Corp

I noted at the end of last week that a Non-Executive Director of PetroTal had bought shares for cash in the market, Gavin Wilson has now been joined by Felipe Arbelelaez and Chairman Mark McComiskey in adding to their holdings.

I don’t always comment on directors dealings but feel this is of some significance, there is a feeling of strength emanating from Peru and following last weeks figures directors, now clear to buy have voted with their cheque books…

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