Harbour Energy exceeded its free cash flow guidance for 2025 by $100 million, achieving $1.1 billion compared to $100 million in 2024. This strong performance occurred despite softer commodity prices and was attributed to excellent operational execution, strict capital discipline, and the successful integration of new assets.

Financial and Operational Performance

The company's revenues increased by two-thirds to $10.3 billion, while EBITDAX rose nearly 80% to approximately $7.1 billion. Capital expenditure was $2.3 billion, lower than the guided $2.4 billion due to reduced UK activity. Operational efficiency improved significantly, with operating costs falling by around 20% to an average of $13 per barrel of oil equivalent, down from $16.5 per boe in 2024, partly driven by the integration and divestment of Vietnam assets.

Portfolio Reshaping and Production

A series of major acquisitions and divestments in 2025, following the transformative 2024 acquisition of Wintershall Dea's upstream portfolio, reshaped the company. This drove production to an average of 474,000 boepd, up from 258,000 boepd in 2024, reflecting the full-year contribution of the Wintershall Dea assets. Output was further boosted by new development wells in Norway, the UK, Argentina, Germany, and Egypt, and the completion of the Fenix gas project in Argentina and the Maria Phase 2 project in Norway.

Outlook and Future Investments

For the current year, Harbour expects production to range between 435,000 and 455,000 boepd. This forecast is supported by anticipated first gas from Norway's Dvalin North project by mid-2026 and from Egypt's Fayoum-Messinian field by year-end. If pending acquisitions in Indonesia and deals to acquire US independent LLOG and UK independent Waldorf complete as planned, production could reach 500,000 boepd by the end of the year. The company plans to invest between $1.7 billion and $1.9 billion across its portfolio in the coming year, as investment in the UK declines.