Ithaca Energy (LSE:ITH) has finalized the purchase of an additional 46.25% stake in the Cygnus gas field from Spirit Energy, raising its operated share to 85%. The move underscores Ithaca’s strategy to consolidate its footprint in the UK Continental Shelf (UKCS), securing more reserves while expanding production capacity. As the UKCS’s largest gas field, Cygnus plays a vital role in supporting the country’s energy security. Following the deal, Ithaca expects to lift production to around 140,000 barrels of oil equivalent per day by year-end, cementing its position as a leading UKCS operator and creating a platform for further expansion.
The company’s outlook is shaped by solid technical performance and strong cash flow generation, offering resilience despite ongoing profitability pressures. While Ithaca’s high dividend yield helps offset weak earnings, long-term growth will hinge on delivering sustained improvements in profitability.
About Ithaca Energy
Ithaca Energy is one of the UK’s largest independent oil and gas producers, with a proven record of value creation through acquisitions and organic investments. The company is focused on expanding its UKCS portfolio while prioritizing energy security and sustainable operations. Its strategy includes lowering emissions and working toward net zero ahead of the timelines set under the North Sea Transition Deal.
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