London-listed Energean has suspended its annual production guidance for Israel due to a government-ordered shutdown of operations that began on 28 February. This suspension is a direct result of the regional conflict involving Iran, which has led to retaliatory attacks on energy infrastructure and the effective closure of the Strait of Hormuz. With approximately 76% of its early-2026 production—or 118,000 barrels of oil equivalent per day (boepd) out of a total 155,000 boepd—coming from its Karish field in Israel, the company cannot provide a forecast until the duration and full impact of the suspension are known. The safety of personnel is the top priority, and Energean is in continuous communication with authorities to restart operations safely when conditions permit.

Operational and Financial Impact

While the Israel guidance is suspended, production guidance for the rest of Energean's portfolio remains unchanged at 32,000-36,000 boepd. Key projects are also affected: the timetable for first gas at the Katlan field is under review, and commissioning of the second oil train on the Energean Power FPSO, to which Katlan will be tied back, has been suspended. The company expects this commissioning to be completed within a few weeks after operations resume. Financially, Energean reported a full-year 2025 net loss of $258 million, a significant reversal from a $127 million profit in 2024. Total revenues dipped slightly to $1.77 billion, and adjusted Ebitdax fell by 4% to $1.11 billion.

Strategic Growth and Diversification

Despite the current challenges, Energean views 2026 as an important inflection point for growth and diversification. Its merger and acquisition strategy remains focused on long-term value creation. Recent moves include ExxonMobil's farm-in to its Greek Block 2 in late 2025 and a $510 million deal to acquire Chevron's Block 14K in the Angola-Congo-Brazzaville joint development zone. This entry into offshore West Africa is seen as the first step in a new growth chapter, offering opportunities for near-term optimization and long-term development.