This article first appeared on GuruFocus .
-
Production Base:20,000 BOE per day from existing assets.
-
Revenue Increase:3% increase in annual revenue for 2025.
-
Adjusted EBITDAX:Increased 20% year-on-year to $153 million.
-
Operating Cash Flow:$124 million post working capital.
-
Net Debt:Reduced to $89 million at year-end 2025.
-
Unit Operating Cost Reduction:21% reduction year-on-year.
-
Production Cost Reduction:19% reduction in reported production costs.
-
Adjusted Unit OpEx:$28 per BOE, a 21% reduction year-on-year.
-
Loss After Tax:$111 million, largely due to a noncash impairment of $88.2 million.
-
Capital Expenditure:$93 million, reflecting the Skua-11 drilling campaign.
-
Nordic Bond Issue:Raised $200 million, improving liquidity.
-
Pro Forma Liquidity:Approximately $220 million at the end of April 2026.
-
Hedging:1.5 million barrels hedged at over $70 per barrel.
-
Vietnam 2P Reserves:Approximately 32 million BOE booked for Nam Du/U Minh project.
-
Akatara Production:Over 6,000 BOE per day in 2025.
-
Malaysia Production:3,200 BOE per day net to Jadestone year-to-date.
-
Stag Field Production:Approximately 2,000 barrels per day before shut-in.
-
Montara Production:Approximately 5,000 barrels per day year-to-date.
-
2026 Production Guidance:18,000 to 21,000 BOE per day.
-
Warning! GuruFocus has detected 12 Warning Signs with JDSEF.
-
Is JDSEF fairly valued? Test your thesis with our free DCF calculator.
Release Date: May 19, 2026
For the complete transcript of the earnings call, please refer to the full earnings call transcript .
Positive Points
-
Jadestone Energy PLC ( JDSEF ) achieved a 14% growth in underlying producing assets and a 21% reduction in unit operating costs in 2025.
-
The company successfully refinanced its existing debt with a $200 million debut Nordic bond, enhancing liquidity and financial flexibility.
-
Significant progress was made on the Nam Du/U Minh project in Vietnam, with regulatory and commercial approvals secured, allowing the booking of approximately 32 million BOE of gross 2P reserves.
-
Record annual production and a 23% increase in lifted volumes were achieved in 2025, contributing to a 3% increase in revenues despite weaker Brent prices.
-
The company has a strong focus on operational excellence and cost discipline, resulting in improved cash flow generation and reduced net debt.
Negative Points
-
Jadestone Energy PLC ( JDSEF ) reported a loss after tax of $111 million for 2025, largely due to a post-tax noncash impairment of $88.2 million related to Montara and Stag assets.
-
The Stag field experienced damage from Cyclone Narelle, leading to a shutdown and uncertainty regarding the resumption of production.
-
The company faces challenges in narrowing the significant discount of its share price to the underlying value of its portfolio.
-
There is uncertainty regarding the timing and financial impact of insurance proceeds related to the Stag field damage.
-
The company has a high gearing towards Brent oil prices, which could pose risks if oil prices fluctuate unfavorably.
Q & A Highlights
Q: When do you expect to understand more about the repair versus no repair outcome for CWLH, and what will that mean for the timing of the restart? Also, can you provide an update on the Vietnam project and M&A opportunities? A: For CWLH, a detailed fatigue analysis is ongoing, and we expect clarity by the end of the week. If repairs are needed, they will involve installing an external clamp, requiring regulatory approval. For Vietnam, management presentations have started, and there's significant interest from potential partners. We aim to conclude the farm-out process by Q3. Regarding M&A, we continuously evaluate opportunities that are value accretive to our portfolio. - Thomas Little, CEO
Q: Can you elaborate on the Vietnam farm-out schedule and the potential upside? Also, does the new bond provide more flexibility in hedging? A: The Vietnam farm-out process is expected to conclude in Q3. The prospective upside is significant, and we plan to test it during the 2028 drilling campaign. The new bond provides more flexibility, and while we have no hedging restrictions, our policy focuses on protecting our cost base. - Thomas Little, CEO & Andrew Fairclough, CFO
Q: With the improved balance sheet, what are the plans for utilizing the better-than-expected financial position? Also, how will insurance proceeds for Stag be handled? A: We have a strong liquidity position due to accelerated liftings and the bond issue. This positions us well for sustained investment and pursuing Vietnam's timeline. For Stag, insurance negotiations are ongoing, and we expect business interruption coverage to kick in soon. - Andrew Fairclough, CFO
Q: Regarding Malaysia, have you decided on the contingent well? And for Stag, is there a case for early decommissioning? A: The decision on the contingent well in Malaysia will be made after drilling the reservoir section in June. For Stag, we plan to continue operations until the mid-2030s, as it remains a viable asset with potential infill opportunities. - Thomas Little, CEO
Q: Can you provide more details on the Vietnam project timeline and the potential for a partner to pay for prospective upside? A: The Vietnam farm-out process is expected to close in Q3. The prospective upside is a key attraction for potential partners, and we plan to test it during the 2028 drilling campaign. The structure of capturing this value will be worked out with the partner. - Thomas Little, CEO
Q: How does the new bond impact your hedging strategy, and what is your current policy? A: The new bond provides flexibility, and we have no hedging restrictions. Our policy focuses on protecting our cost base, and we will continue to evaluate it as the situation evolves. - Andrew Fairclough, CFO
Q: What are the implications of the recent financial performance on your strategic priorities? A: Our strong financial performance allows us to focus on organic growth, particularly in Vietnam, and pursue value-accretive M&A opportunities. We aim to maintain operational excellence and cost discipline to maximize cash flow. - Thomas Little, CEO
Q: Can you discuss the potential for reversing impairments given higher commodity prices? A: While higher commodity prices could impact future valuations, any reversal of impairments would depend on updated assessments and forecasts. We continue to focus on operational improvements and cost management. - Andrew Fairclough, CFO
For the complete transcript of the earnings call, please refer to the full earnings call transcript .
