EnQuest (LON:ENQ) has said it is progressing several UK transaction processes as its looks to deliver value-accretive growth in the country.
EnQuest chief executive Amjad Bseisu said: “EnQuest’s foundation for growth remains robust and we are progressing several UK transaction processes, each focused on monetising the group’s UK tax asset.
“Building shareholder value remains at the heart of our capital allocation decisions and we will provide an update on the group’s shareholder return plans when we announce our final audited results in March.”
The company pointed to the Autumn Budget statement, which clarified the UK fiscal regime, including retention of 100% first year capital allowances and the EPL decarbonisation allowance.
According to its full year results for 2024, the group experienced operated production uptime of 90% across the year, resulting in average production of 40,736 barrels of oil equivalent per day.
“Despite the impact of the Ninian outage in November, strong production towards the end of the year brought us within 0.6% of our stated range.
“2025 production from our existing portfolio to the end of January was 44,200 boe per day, which is tracking ahead of our 2025 guidance range of 40,000-45,000 boe per day (which includes pro forma volumes for Vietnam).
“We continue to deliver top-quartile production uptime across the portfolio and remain committed to maintaining discipline in our cost management and investment decisions.”
In addition, the company said it is delivering on its strategy to grow its international footprint, with successive transactions in South East Asia providing geographic and commodity diversification within the portfolio.
Bseisu added: “Our entry into Vietnam through the Block 12W acquisition and extending our Malaysian footprint with the expansion of our Seligi gas agreement and the DEWA PSC award are all underpinned by EnQuest’s differentiated operating and project capability.
“As EnQuest continues to work towards a transaction in the UK North Sea and another potential new country entry in South East Asia, these agreements underline our commitment to growth, a disciplined approach to M&A, and a strategy to deploy capital where we see the most favourable returns.”
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