Pharos Energy has reported a 30% increase in oil and gas sales for the first half of 2026, with higher realised commodity prices and increased sales volumes supporting stronger cash generation.
Oil and gas sales reached $85.5 million for the six months to 30 June, up from $65.6 million a year earlier. Total revenue was $81.8 million after a $3.7 million realised hedging loss. The company also generated $34.9 million in net cash from operating activities, more than double the $16.1 million recorded in the first half of 2025.
Pharos ended June with net cash of $45.4 million, compared with $22.6 million at the end of 2025. EBITDAX increased to $45 million from $34.3 million, while gross profit rose to $25.2 million from $16.7 million.
The improvement was supported by higher oil prices. The average realised oil price increased to $97.75 per barrel from $75.55 per barrel, while sales volumes rose to 5,417 barrels of oil equivalent per day from 5,198 boepd.
Production remained broadly stable at 5,650 boepd, compared with 5,642 boepd in the first half of 2025. Vietnam provided the majority of output at 4,583 boepd, up from 4,183 boepd, while Egyptian production fell to 1,067 bopd from 1,459 bopd.
Vietnam has been the main operational focus during the period, with Pharos completing a six-well offshore drilling campaign. At the TGT field, three infill wells and the TGT-18X appraisal well were completed by April. The TGT drilling programme contributed 3,800 barrels per day gross, or 1,130 boepd net, in June.
At the CNV field, an infill well completed in March was contributing around 700 bopd gross, or 175 bopd net, in June. The CNV-5X appraisal well was completed at the end of July and is undergoing production testing.
Pharos has also secured approval to drill an additional sidetrack appraisal well, TGT-20X, using supplies from the recently completed campaign. Drilling is expected to begin in late September, with around $4 million included in the company’s 2026 capital expenditure estimate for the well. Total cash capital expenditure for 2026 is estimated at approximately $54 million.
Egypt is also returning to a more active drilling programme. The company has started a six-well programme, with the first well completed in July and the second completed in September. A second rig is being mobilised for the next stage of drilling.
Pharos Energy Plc (LON:PHAR) is an independent energy company with a focus on delivering long-term sustainable value for all stakeholders through regular cash returns and organic growth, underpinned by a robust cash flow and resilient balance sheet.
