Savannah Energy PLC, the British independent energy company, has released its unaudited financial results for the year ended 31 December 2024, showcasing a year of strategic and operational achievements, strong revenue performance, and significant reserve growth in its Nigerian assets.

The company posted a total income of US$393.8 million, marking a 36 per cent increase from US$289.8 million in FY 2023. 

Although total revenues remained steady at US$258.9 million, other operating income surged to US$134.9 million, up from US$28.9 million in the prior year.

Savannah also exceeded all elements of its previously issued financial guidance. Revenue outpaced its greater-than-$245 million forecast by 6 per, while operating and administrative expenses were contained at $71 million—5 per centbelow guidance. 

Capital expenditure was also significantly lower than expected, at $23.1 million versus guidance of up to $50 million.

The company achieved record cash collections of $248.5 million, up 21 per cent from $206 million in FY 2023. 

While cash balances at year-end stood at $32.6 million (down from $107 million), net debt increased to $636.9 million, largely due to debt-financed acquisitions and refinancing efforts.

Notably, Savannah recorded a 21 per cent increase in 2P gas reserves at the Uquo Field, raising the total increase in reserves since acquisition to 81 per cent. 

This follows a previously announced 29 per cent rise in 2P oil reserves at the Stubb Creek Field. Both assets were recently converted into new 20-year Petroleum Mining Leases under Nigeria’s Petroleum Industry Act.

In addition, the company: Extended three gas supply contracts totaling up to 105 MMscfpd, Reported an average realised gas sales price of $4.68/Mscfe (a 4 per cent increase),

Maintained high operational margins with adjusted EBITDA at $181.2 million and a 70 per cent EBITDA margin, Increased total group assets to $1.6 billion, Secured a $60 million debt facility for its completed acquisition of SIPEC Nigeria,

Advanced its drilling and production plans at the Uquo Field, with compressor upgrades nearing completion.

On the sustainability front, Savannah’s 2024 carbon intensity ratio fell by 47 per cent, and the company increased its contributions to host nations by 22 per cent to $63.4 million. Health, safety, and environmental training hours tripled year-on-year.

Looking ahead, the company anticipates a strong 2025, underpinned by further improvements in cash collections, the anticipated full repayment of the Accugas US$ Facility in H2 2025, and progress across a suite of nine strategic growth initiatives, including a ramp-up in drilling, expansion into renewables, and more transformative acquisitions.

CEO Andrew Knott commented, “2024 was a year of financial discipline, operational excellence, and strategic progress. We look forward to delivering even greater performance in 2025 as we build on our strong foundation.”

Savannah’s FY 2024 audit is nearing completion, with a Big 4 firm expected to be appointed to audit its Nigerian subsidiaries. 

The company’s Annual General Meeting is scheduled for 30 June 2025 in London, with a separate General Meeting to approve the audited results.