TotalEnergies EP Gabon posts higher first-half profit as oil prices rise

PORT-GENTIL, Gabon (XOL Africa) — TotalEnergies EP Gabon reported a sharp increase in first-half net income as higher oil prices helped offset lower crude volumes sold, underscoring the benefits and volatility of the company’s exposure to the global energy market.

Net income rose to $51 million in the first six months of 2026, more than double the $22 million recorded in the same period a year earlier. The improvement was driven largely by a stronger oil-price environment, although revenue slipped 4 per cent to $209 million as the company sold fewer barrels.

The company said its average selling price for crude rose 41 per cent year on year to $96.9 a barrel, while the average Brent price increased 28 per cent to $92.3 a barrel.

“Crude prices have risen significantly since March due to the conflict in the Middle East,” the company said, adding that a favourable lifting schedule allowed it to market some volumes at prices above average Brent levels early in the year.

The second quarter showed a more mixed picture. Net income fell sharply to $6 million, from $45 million in the first quarter, despite revenue rising 13 per cent to $111 million.

The decline in quarterly profit was principally linked to a $69 million negative movement in the company’s stock position, as well as higher operating and other non-operational and financial charges. These were partly offset by stronger revenue, lower income-tax expense and reduced depreciation charges.

Production also weakened during the quarter. Crude output from fields operated by TotalEnergies EP Gabon fell 7 per cent from the first quarter to 15,000 barrels a day, which the company attributed to natural field decline and production stoppages for integrity work on export and gas pipelines.

For the first half, however, production was broadly stable at 15,600 barrels a day, compared with 15,400 barrels a day a year earlier.

Cash generation improved substantially. Operating cash flow was $46 million in the first half, compared with a negative $183 million a year earlier. The company said the comparison was affected by a $320 million complementary dividend paid in the first quarter of 2025.

Capital expenditure fell to $30 million in the first half from $39 million a year earlier, with second-quarter investment unchanged at $15 million.

The company also returned cash to shareholders during the period. Its annual meeting in May approved a $100 million dividend, equivalent to $22.22 net per share, which was paid on June 9.

TotalEnergies EP Gabon is 58.28 per cent owned by TotalEnergies SE, while the Gabonese Republic holds 25 per cent and public shareholders own the remaining 16.72 per cent.