PetroTal Announces Q4 and Full Year 2025 Results
Executive Summary
- PetroTal reported FY 2025 net income of $44.2 M (down from $111.5 M in FY 2024) with Adjusted EBITDA of $166.3 M and free funds flow of $90.4 M, while production increased ~9% YoY to 19,473 bopd.
- The Board approved a tender award for a third‑party drilling contractor to resume development drilling at the Bretana field, targeting the next well spud by October 2026.
- Peru’s environmental regulator approved a Modified Environmental Impact Assessment for Block 95, enabling up to 23 new production wells and 5 injection wells that could lift oil output to ~50,000 bopd and water handling capacity to ~800,000 bwpd.
Key Details
- Production & Sales (FY 2025):
- Average sales 19,212 bopd; average production 19,473 bopd (+9% YoY).
-
Q4‑2025 average sales 15,059 bopd; production 15,258 bopd.
-
Financial Highlights (FY 2025):
- Adjusted EBITDA: $166.3 M ($23.71/bbl).
- Net income: $44.2 M (down from $111.5 M FY 2024).
- Free funds flow: $90.4 M ($12.90/bbl).
- Capex: $75.6 M (FY 2025) vs $172.1 M (FY 2024).
-
Cash at year‑end: $139.1 M (unrestricted $112.4 M).
-
Shareholder Returns:
-
Dividends paid: $0.045 per share; total $44 M returned via dividends and share repurchases (4.9 M shares).
-
Operations Update – Early 2026:
- Group production YTD ~15,000 bopd (14,550 bopd from Block 95 Bretana, 450 bopd from Block 131 Los Angeles).
-
Water reinjection capacity constrained at ~170,000 bwpd; 5 horizontal wells shut‑in due to water handling limits.
-
Development Drilling Plan:
- Board approved tender award for third‑party drilling contractor; final contract terms under negotiation.
-
Importing a drilling rig to Peru expected Q2 2026; next development well slated to spud Oct 2026 (on schedule).
-
Erosion Control Project:
- $13.1 M expensed, $7.7 M capitalized in 2025; cumulative investment $31.1 M.
-
Contract with current consortium terminated; new contractor selection process underway, award expected by end‑May 2026.
-
Regulatory Milestone:
- March 18 2026: Senace approved Modified Detailed Environmental Impact Study for Block 95 expansion.
-
Approved plan permits up to 23 additional production wells and 5 injection wells, supporting potential oil output of ~50,000 bopd and water handling capacity of ~800,000 bwpd.
-
Liquidity & Hedging:
- Hedge of 1.5 M barrels forward oil (Mar 2027) – costless collars: floor $60/bbl, ceiling $73/bbl, cap $93/bbl.
-
Mark‑to‑market value of hedges as of Mar 24 2026: –$10.4 M.
-
Webcast: Q4 2025 results webcast scheduled for March 26 2026 (9 am CT / 2 pm GMT).
Notable Quotes
“PetroTal reported solid financial and operational results in 2025… Looking ahead, we are actively evaluating plans to optimize and expand water handling capacity at Bretana… The Board’s approval of a tender award keeps us on schedule to resume development drilling by October 2026.” – Manuel Pablo Zuniga‑Pflucker, President & CEO.