Dana Gas has reported revenue growth of 5% in 2024, reaching $445 million, up from $423 million in 2023, driven primarily by the recognition of additional revenue from improved fiscal terms under the recently signed Consolidated Concession Agreement in Egypt.
Net profit stood at $151million, compared to $160 million in 2023, after a one-off impairment charge of $33 million in Egypt related to past costs of old concessions. Excluding this one-off impairment, net profit for the year was $184 million, a 15% increase from $160 million in 2023.
At the end of 2024, Dana Gas signed the new Consolidation Agreement with the Ministry of Petroleum & Mineral Resources and the Egyptian Natural Gas Holding Company (EGAS). The agreement replaces the company’s existing concessions with a single concession that includes an additional 297 sq. km of exploration acreage and improved fiscal terms.
“In Egypt, the successful signing of our new Concession Agreement has led to commencement of the planned investment program, and we’re excited about the potential upside possibilities under the new Agreement,” said Richard Hall, CEO of Dana Gas.
Under the Agreement, Dana Gas has committed to a $100 million development and exploration program, including the drilling of 11 wells. This program will help to mitigate the natural field declines by adding additional production which is expected to increase gas recovery by 80 billion cubic feet (bcf)
Additionally, the increased gas supply is projected to generate cost savings of over $1 billion for Egypt’s economy, reducing reliance on imported LNG and mazut for power generation.
The Company also received c. $20 million from the Egyptian Government in December 2024. These funds will be reinvested into the Company’s operations in Egypt, enabling Dana Gas to proceed with the first phase of the consolidation development program and deliver on its commitments under the Agreement, said Dana Gas.
Meanwhile, In Iraq Pearl Petroleum took over in September full responsibility for the KM250 expansion project following the termination of the original EPC contractor.
According to Dana Gas, the project is now scheduled to achieve first gas by Q2 2026. Once operational, KM250 will add processing capacity for an additional 250 million standard cubic feet per day (mmscf/d) of gas, boosting the company’s cashflows and financial performance.
Khor Mor facilities currently supply more than 500 mmscf/d of gas to four power stations and enables the generation of approximately 2,800 MW of electricity which constitutes more than 75% of the KRI’s power generation.
Throughout the year Dana Gas received dividend payments of $133 million from Pearl Petroleum.
The Company’s receivables in the KRI (Dana Gas share) stood at $67 million and at $7in Egypt by the end of 2024.
“We hope to build on these achievements in 2025. Looking ahead, we are optimistic about the future and are actively evaluating the resumption of sustainable dividend payments to our shareholders. We will also continue to focus on operational excellence, innovation, and strengthening partnerships in the KRI and Egypt to drive long-term growth,” Hall concluded.
Notably, Dana Gas partnered in September with the UK-based climate tech company, Levidian to pilot its LOOP technology, which converts methane into high-quality graphene and hydrogen.
With targeted deployment in 2025, the pilot unit will explore the potential for Levidian’s LOOP technology to reduce greenhouse gas emissions, support the Company’s goal of near-zero methane emissions by 2030, and create new revenue streams through the annual production of tons of graphene.
