Dana Gas Profit Reach $73 Million in H1 2025

Dana Gas, the Middle East’s largest regional private sector natural gas company, on Friday said that its net profit increased to $73 million, up 1% compared with $72 million during the corresponding period in 2024.

This year’s profit growth was due to strong operation in Kurdistan Region of Iraq (KRI) and new investment momentum in Egypt underpinning results despite lower prices, Dana Gas informed Abu Dhabi Securities Exchange (ADX) in a regulatory filing this morning.

Revenue for the period was $171 million compared with $190 million in H1 2024, due to lower realised hydrocarbon prices and Egypt production declines, partially offset by higher KRI output and improved pricing in Egypt.

The company maintained its financial strength and flexibility during the period, paying out a cash dividend of $105 million for FY 2024 in May, while continuing to invest across its core assets in Egypt and the KRI.

In the KRI, Dana Gas made further progress on the KM250 expansion and Chemchemal development projects, while in Egypt, the drilling of the first well under its new investment programme with a successful outcome.

Dana Gas CEO Richard Hall said that they were seeing the results of a proactive, hands-on approach across the business, one that kept them close to the operations and focused on delivery.

He also said that in the KRI, our operational teams have maintained excellent performance, and KM250 continues to move forward at pace. The company’s hands on approach have been helping them accelerate delivery of the project.

“In Egypt, we have now kicked off our new investment programme, and it’s an important step forward, both for Dana Gas and for Egypt’s energy sector. While early results have been promising, it is essential that our governmental partners ensure timely payments and enable urgent permit approvals to continue the program and unlock more of the country’s gas potential,” he said.

Kurdistan Region of Iraq

Production at the Khor Mor field remained strong in H1 2025, with daily gas output exceeding 500 million standard cubic feet per day (MMSCFD). In April, the Company conducted planned maintenance activities at the Khor Mor facility.

While these works temporarily reduced output during Q2, they were essential to ensuring the plant’s long-term reliability and safe operations.

These works were completed ahead of schedule, and production has since resumed to normal evels.

Construction of the KM250 expansion project continues to progress well. Dana Gas and its partners have taken a more proactive and hands-on approach to delivery, which has accelerated progress toward first gas. The project remains on an advanced schedule and once operational will add 250 MMscfd of processing capacity, increasing Pearl Petroleum’s total output capacity by 50% and significantly boosting Dana Gas’s production and cash flow.

At Chemchemal, development activities are ongoing under the $160 million investment programme announced earlier this year. Drilling and site work are underway for the extended well test facility, targeting early production of up to 75 MMscfd.

Egypt

Dana Gas has made solid progress in delivering its $100 million investment programme in Egypt, following the signing of the Consolidated Concession Agreement in 2024. In July, the company announced the successful drilling and completion of Begonia-2, the first of 11 planned wells, confirming 9 billion cubic feet (BCF) of gas reserves and expected production of 5 MMscfd.

In parallel, recompletion of the Balsam-3 well is underway, with expected reserves of 4 bcf and anticipated additional production of 3 MMSCFD. These milestones mark the Company’s return to upstream investment in Egypt under improved fiscal terms.

The ongoing program aims to increase gas recovery by 80 BCF and help mitigate natural field declines. The additional gas will also generate significant cost savings of over $1 billion for Egypt’s economy by reducing reliance on imported LNG and fuel oil.