Half-yearly Results 2022

06 Sep 2022

Half-yearly Results 2022

Simon Thomson, Chief Executive, Capricorn Energy PLC said:

“Almost one year since the acquisition of the Egypt business, we continue to make good progress and have been successful in prioritising oil and liquids production growth while current commodity prices remain high.

We were delighted to return more than US$500 million to shareholders following receipt of the India tax refund at the beginning of the year.

The Board continues to believe that the proposed merger with Tullow can deliver significant long-term value for shareholders through creating a leading, Africa-focused energy company. The Board is also mindful of the impact of external factors and market conditions and is, as always, assessing all options to maximise value for shareholders. The company is exploring a number of expressions of interest relating to alternative transactions, and is engaging with those parties expressing interest to evaluate potential outcomes.”

H1 2022 Operational and Strategic Highlights

  • Egypt H1 2022 Capricorn working interest production averaged ~35,500 boepd
    • ~14,600 bopd liquids (up 6% from 2021 post acquisition average)
    • 117mmscf/d gas (down 7% from 2021 post acquisition average)
  • Focus on liquids production in prevailing oil price environment; currently 41% of production
  • Balance sheet: Group net cash at end of H1, US$631m, comprising US$809m cash and US$178m debt
  • Capital expenditure of US$82m during H1
  • US$77m of earn out consideration received in H1 in relation to the sale of the UK North Sea producing assets
  • Receipt of India tax refund of US$1.06bn, enabling further shareholder returns with a ~US$500m tender offer and US$25m share buyback (which completed in July)
  • Safe and responsible operations – zero LTIs and zero Tier 1 process Events at BED or Obaiyed in H1
  • Proposed all-share combination of Capricorn and Tullow Oil plc, creating a leading African energy company


  • Full year forecast net capital expenditure of US$175-195m;
    • Egypt Development & Production US$80-90m
    • Egypt Exploration & Appraisal US$20-25m and International Exploration US$75-80m
  • Revised full year production guidance of 33,000 boepd to 36,000 boepd (previous guidance 37,000 boepd to 43,000 boepd)
  • Egypt Production – a ramp-up in H2 2022 drilling activity is underway following initial delays of the fourth and fifth rigs into Egypt and completion of BED compression project by year end
  • Acquisition of 3D seismic programmes in Southeast Horus and West El Fayum concessions, Egypt
  • Initiation of operated exploration drilling in South Abu Sennan, Egypt
  • Drilling of the Yatzil prospect on Block 7 Mexico expected to commence in Q4 2022
  • Clear pathway to net zero by 2040 – comprehensive GHG baseline survey to be completed for Egypt by year end
  • Documentation on proposed merger expected to be issued in Q4 2022 ahead of a shareholder meeting


David Nisbet, Corporate Affairs
Tel: 0131 475 3000

Jonathan Milne, Linda Bain, Corporate Affairs
Tel: 0131 475 3000

Patrick Handley, David Litterick, Brunswick Group LLP
Tel: 0207 404 5959


The results presentation slides will be available on the website from 7am BST.

Conference call

You can listen to the results presentation by dialling in to a conference call at 9am BST using the below dial-in-details.  Analysts who wish to ask a question should use the conference call facility.

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There will be a live audio webcast of the results presentation available to view on the website ( at 9am BST. This can be accessed on PC, Mac, iPad, iPhone, and Android mobile devices.

An 'on demand' version of the webcast will be available on the website as soon as possible after the event. This can be viewed on PC, Mac, iPad, iPhone, and Android mobile devices.


A transcript of the presentation will be available on the website as soon as possible after the event.

Related information


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