Energean Israel 1Q 2023 Accounts

Energean PLC

18 May 2023

 

ENERGEAN ISRAEL LIMITED

UNAUDITED INTERIM CONDENCED CONSOLIDATED FINANCIAL STATEMENTS

31 MARCH 2023

ENERGEAN ISRAEL LIMITED

UNAUDITED INTERIM CONDENCED CONSOLIDATED FINANCIAL STATEMENTS

AS OF 31 MARCH 2023

INDEX

		Page
Interim Condensed Consolidated Statement of Comprehensive Income		3
Interim Condensed Consolidated Statement of Financial Position		4
Interim Condensed Consolidated Statement of Changes in Equity		5
Interim Condensed Consolidated Statement of Cash Flows		6
Notes to the Interim Condensed Consolidated Financial Statements		7-20

- - - - - - - - - - - - - - - - - - - -

INTERIM CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME

THREE MONTHS ENDED 31 MARCH 2023

									31 March (Unaudited)
			Notes				2023 $'000				2022 $'000
Revenue			3				158,853				-
Cost of sales			4				(83,905)				-
Gross profit							74,948				-
Administrative expenses			4				(3,922)				(2,205)
Exploration and evaluation expenses			4				(50)				-
Other expenses			4				-				(824)
Other income			4				-				53
Operating profit (loss)							70,976				(2,976)
Financial income			5				1,526				3,338
Financial expenses			5				(32,487)				(3,078)
Foreign exchange loss, net			5				(257)				(68)
Profit (loss) for the period before tax							39,758				(2,784)
Taxation income (expense)			6				(9,482)				1,260
Net profit (loss) for the period							30,276				(1,524)

The accompanying notes are an integral part of the interim condensed consolidated financial statements.

INTERIM CONDENSED CONSOLIDATED STATEMENTS OF FINANCIAL POSITION

AS OF 31 MARCH 2023

		Notes		31 March 2023 (Unaudited) $'000		31 December 2022 $'000
ASSETS:
NON-CURRENT ASSETS:
Property, plant and equipment		7		2,818,159		2,926,313
Intangible assets		8		152,558		143,554
Other accounts receivable		10		5,614		108
Deferred tax asset		9		13,547		22,886
				2,989,878		3,092,861
CURRENT ASSETS:
Trade and other receivables		10		141,123		82,611
Inventory		11		8,142		8,313
Restricted cash				8,462		71,778
Cash and cash equivalents				32,081		24,825
				189,808		187,527
TOTAL ASSETS				3,179,686		3,280,388
EQUITY AND LIABILITIES:
EQUITY:
Share capital				1,708		1,708
Share premium				212,539		212,539
Retained losses				(40,252)		(70,528)
TOTAL EQUITY				173,995		143,719
NON-CURRENT LIABILITIES:
Senior secured notes		12		1,851,797		2,471,030
Decommissioning provisions				86,182		84,299
Trade and other payables		13		200,461		210,241
				2,138,440		2,765,570
CURRENT LIABILITIES:
Senior secured notes		12		621,382		-
Trade and other payables		13		245,869		371,099
				867,251		371,099
TOTAL LIABILITIES				3,005,691		3,136,669
TOTAL EQUITY AND LIABILITIES				3,179,686		3,280,388

18 May 2023
		Panagiotis Benos Director		Matthaios Rigas Director

The accompanying notes are an integral part of the interim condensed consolidated financial statements.

INTERIM CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY

THREE MONTHS ENDED 31 MARCH 2023

		Share capital $'000		Share Premium $'000			Accumulated losses $'000		Total equity $'000
Balance as of 1 January 2023		1,708		212,539			(70,528)		143,719
Profit for the period		-		-			30,276		30,276
Balance as of 31 March 2023		1,708		212,539			(40,252)		173,995
Balance as of 1 January 2022		1,708		572,539			(35,946)		538,301
Loss for the period		-		-			(1,524)		(1,524)
Balance as of 31 March 2022		1,708		572,539			(37,470)		536,777

The accompanying notes are an integral part of the interim condensed consolidated financial statements.

INTERIM CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

THREE MONTHS PERIOD ENDED 31 MARCH 2023

				31 March (Unaudited)
		Notes		2023 $'000		2022 $'000
Operating activities
Profit (Loss) for the period before tax				39,758		(2,784)
Adjustments to reconcile loss before taxation to net cash provided by operating activities:
Depreciation, depletion and amortisation		4		30,871		38
Loss from disposal on property, plant and equipment		4		-		824
Amortisation of payment made in advance to customers		3		4,928		-
Other expenses		4		-		5
Other income				-		(53)
Finance Income		5		(1,526)		(3,338)
Finance expenses		5		32,487		3,078
Net foreign exchange loss		5		257		68
Cash flow from operations before working capital				106,775		(2,162)
Increase in trade and other receivables				(18,315)		(2)
Decrease in inventories				172		-
Increase in trade and other payables				314		800
Cash from operations				88,946		(1,364)
Income taxes paid				(368)		(330)
Net cash inflows from (used in) operating activities				88,578		(1,694)
Investing activities
Payment for exploration and evaluation, and other intangible assets		8(B)		(25,318)		(2,231)
Payment for purchase of property, plant and equipment		7(C)		(55,752)		(44,002)
Movement in restricted cash, net				63,316		64,112
Interest received				1,509		692
Net cash inflows from (used in) investing activities				(16,245)		18,571
Financing activities
Senior secured notes - interest paid		12		(64,453)		(64,453)
Other finance cost paid				(44)		(384)
Transaction cost in relation to Senior Secured Notes				(229)		-
Repayment of obligations under leases		13		(250)		(248)
Net cash used in financing activities				(64,976)		(65,085)
Net increase (decrease) in cash and cash equivalents				7,357		(48,208)
Cash and cash equivalents at beginning of period				24,825		349,827
Effect of exchange differences on cash and cash equivalents				(101)		(45)
Cash and cash equivalents at end of period				32,081		301,574

The accompanying notes are an integral part of the interim condensed consolidated financial statements.

NOTE 1: -     GENERAL

a.   Energean Israel Limited (the "Company") was incorporated in Cyprus on 22 July 2014 as a private company with limited liability under the Companies Law, Cap. 113. Its registered office is at Lefkonos 22, 1^st Floor, Strovolos, 2064 Nicosia, Cyprus.

b.   The Company and its subsidiaries (the "Group") has been established with the objective of exploration, production and commercialisation of natural gas and crude oil. The Group's main activities are performed in Israel by its Israeli Branch.

c.   As of 31 March 2023, the Company had investments in the following subsidiaries:

Name of subsidiary	Country of incorporation / registered office	Principal activities	Shareholding At 31 March  2023 (%)	Shareholding At 31 December 2022 (%)
Energean Israel Transmission LTD	121, Menachem Begin St. Azrieli Sarona Tower, POB 24, Tel Aviv 67012039 Israel	Gas transportation license holder	100	100
Energean Israel Finance LTD	121, Menachem Begin St. Azrieli Sarona Tower, POB 24, Tel Aviv 67012039 Israel	Financing activities	100	100

d.   The Group's core assets as of 31 March 2023 are comprised of:

Country	Asset	Working interest	Field phase
Israel	Karish	100%	Production
Israel	Tanin	100%	Development
Israel	Blocks 12, 21, 23, 31	100%	Exploration

NOTE 2: -     Accounting policies and basis of preparation

These unaudited interim condensed consolidated financial statements for the three months ended 31 March 2023, have been prepared in accordance with the International Financial Reporting Standards ("IFRS") as adopted by the European Union (EU). The unaudited interim condensed consolidated financial statements do not include all the information and disclosures that are required for the annual financial statements and must be read in conjunction with the Group's annual consolidated financial statements for the year ended 31 December 2022.

These unaudited interim financial statements have been prepared on a going concern basis.

NOTE 3: -     Revenues

						31 March (Unaudited)
				2023 $'000				2022 $'000
Revenue from gas sales (1)				113,090				-
Revenue from Hydrocarbon liquids sales (3)				50,691				-
Compensation to customers (2)				(4,928)				-
Total revenue				158,853				-

⁽¹⁾ Sales gas for three months ended 31 March 2023 totaled approximately 0.72 bcm (the Company started production on 26 October 2022).

⁽²⁾ During 2021 and in accordance with the GSPAs signed with a group of gas buyers, the Company paid compensation to these counterparties following delays to the supply of gas from the Karish project. The compensation is accounted for as variable consideration under IFRS 15 Revenue Recognition, as a deduction from revenue once production commences and gas is delivered to the gas buyers.

⁽³⁾ Sales Hydrocarbon liquids for three months ended 31 March 2023 totaled approximately 0.714mmbbl (the Company did not sell Hydrocarbon liquids during 2022).

NOTE 4: -     Operating profit (loss) before taxation

		31 March (Unaudited)
		2023 $'000		2022 $'000
(a)   Cost of sales
Staff costs		1,885		-
Energy cost		1,288		-
Royalty payable		29,474		-
Depreciation and amortisation (Note 7)		30,279		-
Other operating costs		20,110		-
Stock movement (Note 11)		869		-
Total cost of sales		83,905		-
(b)   General & administration expenses
Staff costs		960		397
Share-based payment charge		99		31
Depreciation and amortisation (Note 7, 8)		592		38
Auditor fees		48		80
Other general & administration expenses		2,223		1,659
Total administrative expenses		3,922		2,205
(c)    Exploration and evaluation expenses
Other exploration and evaluation expenses		50		-
Total exploration and evaluation expenses		50		-
(d)   Other expenses
Loss from disposal of property, plant and equipment		-		824
Total other expenses		-		824
(e)   Other income
Other income		-		53
Total other income		-		53

NOTE 5: -     Net finance income/(expenses)

		31 March (Unaudited)
		2023 $'000		2022 $'000
Interest on senior secured notes (1)		34,375		34,323
Interest expense on long terms payables (3)		612		2,064
Less amounts included in the cost of qualifying assets (2)		(3,568)		(33,744)
		31,419		2,643
Finance and arrangement fees		145		1,459
Other finance costs and bank charges		107		264
Unwinding of discount on provision for decommissioning		861		171
Unwinding of discount on right of use asset (1)		15		83
Less amounts included in the cost of qualifying assets (2)		(60)		(1,542)
		1,068		435
Total finance costs		32,487		3,078
Interest income from time deposits		654		557
Change of discount estimate on payables (3)		872		-
Interest income from loans to related parties		-		2,781
Total finance income		1,526		3,338
Net foreign exchange losses		(257)		(68)
Net finance income/(expense)		(31,218)		192

(1)    See also Note 12.

(2)    See also Note 7(A).

(3)    See also Note 13.

NOTE 6: -     Taxation

1.      Taxation charge:

				31 March (Unaudited)
		2023 $'000			2022 $'000
Tax - current year		(143)			(67)
Deferred tax		(9,339)			1,327
Total taxation income (expense)		(9,482)			1,260

NOTE 7: -     Property, Plant and Equipment  

a.          Composition:

		Oil and gas Assets $'000		Leased assets $'000		Furniture, fixtures and equipment $'000		Total $'000
Cost:
At 1 January 2022		2,241,783		4,009		829		2,246,621
Additions (1)		514,373		731		1,165		516,269
Disposals		(900)		-		-		(900)
Capitalised borrowing cost (2)		129,357		-		-		129,357
Capitalised depreciation		632		-		-		632
Change in decommissioning provision		47,544		-		-		47,544
Total cost at 31 December 2022		2,932,789		4,740		1,994		2,939,523
Additions (1)		29,048		-		41		29,089
Handover to INGL(4)		(111,105)		-		-		(111,105)
Capitalised borrowing cost (2)		3,628		-		-		3,628
Change in decommissioning provision		1,020		-		-		1,020
Total cost at 31 March 2023		2,855,380		4,740		2,035		2,862,155
Depreciation:
At 1 January 2022		433		693		228		1,354
Charge for the year (3)		10,976		134		297		11,407
Capitalised to oil and gas assets		-		632		-		632
Disposals		(433)		-		-		(433)
Write down of the assets		250		-		-		250
Total Depreciation at 31 December 2022		11,226		1,459		525		13,210
Charge for the year		30,279		412		95		30,786
Total Depreciation at 31 March 2023		41,505		1,871		620		43,996
At 31 December 2022		2,921,563		3,281		1,469		2,926,313
At 31 31 March 2023		2,813,875		2,869		1,415		2,818,159

⁽¹⁾ The additions to oil & gas assets in 2023 are primarily due to development costs for the FPSO, Karish North and 2^nd Oil Train. The additions in 2022 are primarily due to development costs for the Karish field, incurred under the EPCIC contract, FPSO, subsea and onshore construction.

⁽²⁾ Capitalised borrowing costs relate primarily to the secured senior notes.

⁽³⁾ First production from the Karish project was achieved on 26 October 2022.

⁽⁴⁾ Handover to INGL took place on 22 March 2023.

NOTE 7: -     Property, Plant and Equipment  (Cont.)

b.         Depreciation expense for the year has been recognised as follows:

		31 March (Unaudited)
	2023 $'000			2022 $'000
Cost of sales	30,279			-
Administration expenses	507			38
Capitalised depreciation in oil & gas assets	-			177
Total	30,786			215

c.          Cash flow statement reconciliations:

						31 March (Unaudited)
					2023 $'000			2022 $'000
Additions to property, plant and equipment, net				77,368			88,654
Associated cash flows
Payment for additions to property, plant and equipment				(55,752)			(44,002)
Non-cash movements/presented in other cash flow lines
Capitalised borrowing costs				(3,628)			(35,284)
Right-of-use asset additions				-			(107)
Capitalised share-based payment charge				-			(40)
Capitalised depreciation				-			(177)
Change in decommissioning provision				(1,020)			-
Movement in working capital				(16,968)			(9,044)

 

 

 

 

NOTE 8: -     Intangible Assets

a.          Composition:

		Exploration and evaluation assets $'000		Software licences $'000		Total $'000
Cost:
At 1 January 2022		20,141		255		20,396
Additions (1)		123,005		1,713		124,718
Write off of exploration and evaluation costs (2)		(1,277)		-		(1,277)
At 31 December 2022		141,869		1,968		143,837
Additions (1)		9,089		-		9,089
At 31 March 2023		150,958		1,968		152,926
Amortisation:
At 1 January 2022		-		255		255
Charge for the year		-		28		28
Total Amortisation at 31 December 2022		-		283		283
Charge for the year		-		85		85
Total Amortisation at 31 March 2023		-		368		368
At 31 December 2022		141,869		1,685		143,554
At 31 March 2023		150,958		1,600		152,558

⁽¹⁾ Additions to exploration and evaluation assets are primarily due to the 2022 growth drilling programme undertaken offshore Israel.

⁽²⁾  Zone D: On 27 July 2022, the Company sent a formal notice to the Ministry of Energy notifying the relinquishment of Zone D and discontinuation of related work. As such, the licences subsequently expired on 27 October 2022.

b.         Cash flow statement reconciliations:

				31 March (Unaudited)
			2023 $'000			2022 $'000
Additions to intangible assets			9,089			5,173
Associated cash flows
Payment for additions to intangible assets			(25,318)			(2,231)
Non-cash movements/presented in other cash flow lines
Movement in working capital			16,229			(2,942)

NOTE 9: -     Deferred taxes

The Group is subject to corporation tax on its taxable profits in Israel at the rate of 23%. The capital gain tax rates depend on the purchase date and the nature of the asset. The general capital gains tax rate for a corporation is the standard corporate tax rate.

Tax losses can be utilised for an unlimited period, and tax losses may not be carried back.

According to Income Tax (Deductions from Income of Oil Rights Holders) Regulations, 5716-1956, the exploration and evaluation expenses of oil and gas assets are deductible in the year in which they are incurred.

The Group expects that there will be sufficient taxable profits in the following years and that deferred tax assets, recognised in the consolidated financial statements of the Group, will be recovered.

NOTE 9: -        DEFERRED TAXES (Cont.)

Below are the items for which deferred taxes were recognised:

		Property, plant and equipment & intangible assets $'000		Right of use asset IFRS 16 $'000			Tax losses $'000		Deferred expenses for tax $'000		Staff leaving indemnities $'000		Accrued expenses and other short‑term liabilities and other long‑term liabilities $'000			Decommissioning provision $'000		Total $'000
At 1 January 2023		(40,344)		(754)			56,415		6,209		167		1,193			-		22,886
Increase/(decrease) for the year through:
Profit or loss		(8,359)		95			(965)		(156)		13		33			-		(9,339)
At 31 March 2023		(48,703)		(659)			55,450		6,053		180		1,226			-		13,547
At 1 January 2022		(12,632)		(762)			4,750		11,031		94		923			8,171		11,575
Increase/(decrease) for the year through:
Profit or loss		(27,712)		8			51,665		(4,822)		73		270			(8,171)		11,311
At 31 December 2022		(40,344)		(754)			56,415		6,209		167		1,193			-		22,886

		31 March 2023 (Unaudited) $'000		31 December 2022 $'000
Deferred tax liabilities		(49,362)		(41,099)
Deferred tax assets		62,909		63,985
		13,547		22,886

NOTE 10: -   Trade and other receivables

		31 March 2023 (Unaudited) $'000		31 December 2022 $'000
Current
Financial items    Trade receivables
Trade receivables		62,998		37,491
Other receivables (1)		59,348		999
Refundable VAT		17,711		37,131
Accrued interest income		33		888
		140,090		76,509
Non-financial items
Prepayments		214		159
Prepaid income tax		202		-
Deferred expenses (2)		-		4,929
Prepaid expenses		617		1,014
		1,033		6,102
Total current trade and other receivables		141,123		82,611
Non-current
Financial items
Other receivables (1)		5,072		-
Non-financial items
Deferred borrowing fees		434		-
Deposits and prepayments		108		108
		542		108
Total non-current trade and other receivables		5,614		108

⁽¹⁾ The increase from 2022 is due to the receivable from INGL (US$59.3 million current and US$5.07 million non-current) resulting from relevant milestones being achieved, in line with the agreement. See Note 13(4) for further details.

⁽²⁾ Deferred expenses relate to compensation of US$22.9 million that had been accrued in 2021 following delays to the supply of gas from the Karish project. This compensation is treated as variable consideration under IFRS 15 Revenue Recognition and therefore, reduced from gas sales following commencement of production., see also Note 3.

NOTE 11: -   Inventory

		31 March 2023 (Unaudited) $'000		31 December 2022 $'000
Hydrocarbon liquids		1,389		2,367
Natural gas		492		383
Raw materials and supplies		6,261		5,563
Total		8,142		8,313

NOTE 12: -   Borrowings and secured notes

a.     Issuance of US$2,500,000,000 senior secured notes:

On 24 March 2021 (the "Issue Date"), Energean Israel Finance Ltd (a 100% subsidiary of the Company) issued US$2,500,000,000 of senior secured notes. The proceeds were primarily used to repay in full the project finance facility

The Notes were issued in four equal tranches as follows:

			31 March 2023 (Unaudited)		31 December 2022
Series	Maturity	Annual fixed Interest rate	Carrying value $'000		Carrying value $'000
US$ 625 million	30 March 2024	4.500%	621,382		620,461
US$ 625 million	30 March 2026	4.875%	618,461		617,912
US$ 625 million	30 March 2028	5.375%	617,163		616,767
US$ 625 million	30 March 2031	5.875%	616,173		615,890
US$2,500 million			2,473,179		2,471,030

		31 March 2023 (Unaudited) $'000		31 December 2022 $'000
Senior secured notes - current		621,382		-
Senior secured notes - non current		1,851,797		2,471,030
Total		2,473,179		2,471,030

The interest on each series of the Notes is paid semi-annually, on 30 March and on 30 September of each year starting 30 September 2021.

The Notes are listed on the TACT Institutional of the Tel Aviv Stock Exchange Ltd (the "TASE").

With regards to the indenture document, signed on 24 March 2021 with HSBC BANK USA, N.A (the "Trustee"), no indenture default or indenture event of default has occurred and is continuing.

Collateral:

The Company has provided/undertakes to provide the following collateral in favor of the Trustee:

a.       First rank fixed charges over the shares of Energean Israel Limited, Energean Israel

Finance Ltd and Energean Israel Transmission Ltd, the Karish & Tanin Leases, the gas sale and purchase agreements ("GSPAs"), several bank accounts, operating permits, insurance policies, the Company's exploration licences and the INGL Agreement.

b.      Floating charge over all of the present and future assets of Energean Israel Limited and Energean Israel Finance Ltd.

c.       The Energean Power FPSO.

Credit rating:

The senior secured notes have been assigned a Ba3 rating by Moody's and a BB- rating by S&P Global.

NOTE 13: -   Trade and other payables

		31 March 2023 (Unaudited) $'000				31 December 2022 $'000
Current
Financial items
Trade accounts payable (1)		143,853				209,853
Payables to related parties		24,568				21,028
Deferred licence payments (2)		26,197				13,345
Other creditors		11,377				6,712
Current lease liabilities		2,567				1,792
		208,562				252,730
Non-financial items
Accrued expenses (1)		35,913				29,404
Interest payable		-				32,227
Contract liability (4)		-				56,230
Social insurance and other taxes		1,394				502
Income taxes		-				6
		37,307				118,369
Total current trade and other payables		245,869				371,099
Non-current
financial items
Trade and other payables (3)				172,013		169,360
Deferred licence payments (2)				26,777		38,488
Long term lease liabilities				1,482		2,214
				200,272		210,062
Non-financial items
Accrued expenses to related parties				189		179
				189		179
Total non-current trade and other payables				200,461		210,241

⁽¹⁾     Trade payables and accrued expenses relate primarily to development expenditure on the Karish project, with the main contributors being FPSO and subsea construction costs and for drilling activities performed offshore Israel. Trade payables are non-interest bearing.

⁽²⁾     In December 2016, the Company acquired the Karish and Tanin leases for US$40 million of upfront consideration plus contingent consideration of US$108.5 million (paid over 10 equal instalments) bearing interest at an annual rate of 4.6%. On 31 March 2023, the total discounted deferred consideration was US$53 million (31 December 2022: US$52million) including the March 2023 payment, which was subsequently paid in April 2023. 

⁽³⁾     This represents the amount payable to Technip in respect of the EPCIC contract. Under this contract, US$250 million becomes payable nine months following the practical completion date (as defined under that contract), and is payable in eight equal instalments, bearing no interest.  A discount rate of 5.831% has been applied.

⁽⁴⁾     The contract liability relates to the agreement with Israel Natural Gas Lines ("INGL") for the transfer of title (the "Hand Over") of the near shore and onshore segments of the infrastructure that delivers gas from the Energean Power FPSO into the Israeli national gas transmission grid. The Hand Over became effective in March 2023. Following the Hand Over, INGL is responsible for the operations and maintenance of this part of the infrastructure.

NOTE 14: - Financial Instruments

Fair Values:

Fair value is the amount for which the asset or liability could be exchanged in an arm's length transaction at the relevant date. Where available, fair values are determined using quoted prices in active markets. To the extent that market prices are not available, fair values are estimated by reference to market-based transactions or using standard valuation techniques involved. Values recorded are as at the balance sheet date and will not necessarily be realised. There were no transfers between fair value levels during the year.

The fair value hierarchy of financial assets and financial liabilities that are not measured at fair value (but fair value disclosure is required) is as follows:

		Fair value hierarchy as at 31 March 2023
		Level 1 $'000		Level 2 $'000			Total $'000
Financial assets
Long term other accounts receivable		-		5,072			5,072
Short term restricted cash		8,462		-			8,462
Short term trade and other receivables		-		140,090			140,090
Cash and cash equivalents		32,081		-			32,081
Total		40,543		145,162			185,705
Financial liabilities
Senior secured notes (1)		2,298,750		-			2,298,750
Trade and other payables - long term		-		201,047			201,047
Trade and other payables - short term		-		207,788			207,788
Total		2,298,750		408,835			2,707,585

			Fair value hierarchy as at 31 December 2022
				Level 1 $'000		Level 2 $'000			Total $'000
Financial assets
Short term restricted cash				71,778		-			71,778
Short term trade and other receivables				-		76,509			76,509
Cash and cash equivalents				24,825		-			24,825
Total				96,603		76,509			173,112
Financial liabilities
Senior secured notes (1)				2,298,125		-			2,298,125
Trade and other payables - long term				-		210,062			210,062
Trade and other payables - short term				-		252,730			252,730
Total				2,298,125		462,792			2,760,917

⁽¹⁾ The senior secured notes are measured at amortised cost in the Company's financial statements. The notes are listed for trading on the TACT Institutional of the Tel Aviv Stock Exchange Ltd (the "TASE"). The carrying amount as of 31 March 2023 was US$2,473 million and as of 31 December 2022 was US$2,471 million.

NOTE 15: -   Significant events and transaction during the reporting period

(a)  Gas Sales Agreements - Energean signed spot gas sale and purchase agreement with two Israeli gas buyers. The gas price will be determined in each period, with purchased amounts determined on a daily basis. The agreement will be valid for an initial one-year period with an option to extend subject to ratification by both parties.

(b)   INGL Hand-Over completion - The Hand Over became effective in March 2023. Following the Hand Over, INGL is responsible for the operations and maintenance of this part of the infrastructure.

 

END