Serica Energy plc (SQZZF) Q2 2026 Earnings Call Transcript

Good morning. Good morning, everyone, and welcome to Serica's 2026 Half Year Results Presentation.

I'm joined as usual by Martin Copeland, CFO; and Andrew Benbow, our Head of Investor Relations.

Martin and I will now run through a short presentation, leaving time for Q&A afterwards.

I'm pleased to say this has been a very strong period for Serica.

We've been working hard across our asset base to increase reliability, and this has driven a material increase in production with Q2 averaging 50,000 barrels a day.

In turn, of course, supported by the stronger than forecast commodity prices, we have generated material cash flows, turning a net debt position of $200 million at the start of the year into net cash of $26 million by the middle of the year.

We've also made significant strategic moves to support our growth and deliver value to our shareholders.

We've got our financing -- refinancing done, giving us a strong liquidity position, allowing us significant flexibility as we enter the next phase of organic investment and portfolio growth.

We expect very soon to be able to confirm the contracting of a rig to deliver the start of our high-impact and rapid return organic growth projects in the U.K. North Sea, and continue to seek further opportunities to deliver shareholder value via M&A.

In the period, we completed