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Half Yearly Report

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  6 August 2015

Genel Energy plc
Unaudited results for the period ended 30 June 2015

Genel Energy plc ("Genel" or "the Company"), the London listed exploration and production company and largest independent oil producer in the Kurdistan Region of Iraq ("KRI"), announces its unaudited half year results for the 6 months to 30 June 2015.

Results summary

H1
2015		 H1
2014		 FY
2014
Revenue ($million) 199.3 192.1 519.7
EBITDAX1 ($million) 158.1 138.0 410.6
Profit / (loss) before tax ($million) 31.4 70.7 (312.8)
Cash flow from operating activities ($million) 0.0 115.0 134.8
Free cash flow2 ($million) (211.6) (195.7) (560.9)
Cash ($million) 473.7 973.9 489.1
EPS (cents per share) 11.40 25.23 (112.97)
Production (boepd, working interest) 88,800 63,000 69,400  

1.    EBITDAX is profit before interest, tax, depreciation, amortisation and exploration expense
2.   Free cash flow is cash flow from operating activities less capital expenditure and interest


Highlights

  • Our operations in the Kurdistan Region of Iraq remain safe and secure
  • Strong operational momentum in the KRI resulted in net working interest production for H1 2015 averaging 88,800 bopd, an increase of 41% on H1 2014
  • H1 2015 revenue of $199 million, an increase of 4% on H1 2014
  • c.$50 million of cash proceeds received from domestic KRI sales
  • Capital expenditure in H1 2015 reduced by 70% year-on-year
  • De-risking of the Miran and Bina Bawi development continues, with signed term sheets in place with the Kurdistan Regional Government ("KRG")
  • Cash balances at 30 June 2015 stood at $474 million, resulting in net debt of $216 million

Outlook

  • On 3 August 2015, the KRG issued a statement committing to pay contractors for oil exports
    on a sustainable basis from September 2015
  • The Company's 2015 guidance is reiterated:
              -       Production: 90-100,000 bopd
              -       Revenue: $350-400 million on a Brent oil price of $50/bbl
              -       Capital expenditure: $150-200 million  

Murat Özgül, Chief Executive of Genel, said:

"Genel's operating performance in the first half of 2015 was strong, with net working interest production up 41% to 88,800 bopd. In recent days the KRG has made a public commitment to pay international oil companies on a sustainable basis from September 2015. These regular and predictable payments will allow Genel to fully capitalise on our strategic opportunities.

We remain committed to the Kurdistan Region of Iraq and will continue to invest in our existing oil fields while moving our major gas fields forward to development, creating significant value for both Genel and the KRG."


Enquiries:

Genel Energy
Ben Monaghan, Chief Financial Officer
Phil Corbett, Head of Investor Relations
Andrew Benbow, Head of Public Relations		 +44 20 7659 5100

Vigo Communications
Patrick d'Ancona                                      		+44 20 7016 9573

There will be a presentation for analysts and investors today at 1030 BST, with an associated webcast available on the Company's website, www.genelenergy.com.


Disclaimer

This announcement contains certain forward-looking statements that are subject to the usual risk factors and uncertainties associated with the oil & gas exploration and production business. Whilst the Company believes the expectations reflected herein to be reasonable in light of the information available to them at this time, the actual outcome may be materially different owing to factors beyond the Company's control or within the Company's control where, for example, the Company decides on a change of plan or strategy. Accordingly no reliance may be placed on the figures contained in such forward looking statements.

Click on, or paste the following link into your web browser, to view the associated PDF document.

http://www.rns-pdf.londonstockexchange.com/rns/2477V_1-2015-8-5.pdf

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