By Chioma Obinagwam
Savannah Energy PLC, a British independent energy company committed to delivering impactful projects, has released its unaudited financial results for the year ending December 31, 2024, showcasing robust performance and significant operational achievements.
Confiance News gathered that the company reported a total income of US$393.8 million, a marked increase from US$289.8 million in 2023, driven by total revenues of US$258.9 million, slightly down from US$260.9 million, and a substantial rise in other operating income to US$134.9 million from US$28.9 million. This revenue performance exceeded the company’s guidance of over US$245 million by 6%, reflecting strong financial execution. Operating and administrative expenses were tightly controlled at US$71.0 million, 5% below the guidance of up to US$75.0 million, while capital expenditure was significantly lower than anticipated at US$23.1 million against a guidance of up to US$50 million, due to strategic phasing of investments.
The company achieved record cash collections of US$248.5 million, a 21% increase from US$206 million in 2023, though cash balances stood at US$32.6 million compared to US$107.0 million the previous year. Net debt rose to US$636.9 million from US$473.7 million, with gross debt at US$669.5 million, of which 94% was non-recourse to the PLC. Adjusted EBITDA remained stable at US$181.2 million, compared to US$184.1 million in 2023, maintaining a healthy 70% margin, slightly down from 71%. Total group assets grew to US$1.6 billion from US$1.5 billion, underscoring the company’s expanding asset base.
Operationally, Savannah maintained steady production with an average gross daily output of 23.1 Kboepd, nearly flat compared to 23.6 Kboepd in 2023, with gas accounting for 88% of production, down from 91%. A standout achievement was a 21% increase in 2P Reserves at the flagship Uquo field in Nigeria, bringing the total reserves growth since acquisition to 81%, following a 29% increase at the Stubb Creek field announced in May 2025. The company also secured and extended three gas contracts for up to 105 MMscfpd (17.5 Kboepd), achieving an average realized price of US$4.68/Mscfe, a 4% improvement over the prior year’s US$4.51/Mscfe.
On the financing front, Savannah drew down ₦332 billion of a ₦340 billion term facility signed by its Accugas subsidiary in January 2024, converting the funds to US dollars to partially prepay the existing Accugas US$ Facility, reducing its balance to US$212.3 million by year-end. Additionally, in October 2024, the company secured a US$60 million debt facility from The Standard Bank of South Africa and Stanbic IBTC Bank to fund the acquisition of Sinopec International Petroleum Exploration and Production Company Nigeria Limited (SIPEC), completed in Q1 2025.
Andrew Knott, CEO of Savannah Energy, expressed satisfaction with the 2024 results, which aligned with the company’s January 2025 trading statement. He highlighted the significant reserves growth at Uquo and Stubb Creek as key milestones. Looking ahead, Knott emphasized that 2025 will be a transformative year as Savannah progresses nine strategic projects, including boosting cash collections, refinancing Nigerian debt facilities, advancing the Stubb Creek expansion, pursuing Chad/Cameroon arbitration, drilling at Uquo, developing the R3 East project in Niger, refining the power sector business model, and pursuing additional acquisitions. The company anticipates strong cash collection growth in 2025 and significant production increases in 2026 following the completion of its Uquo field investment program.
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