Prospex Energy (PXEN) ,  an investor in European gas and power projects, announced its interim results for the 6 months ended June 30, 2025 (H1 2025).

Prospex continued to narrow its loss in H1 2025 to £180k, down from £275k in H1 2024, representing a 34% reduction year-on-year. The company reported strong revenues from its 3 producing gas assets onshore Europe - Viura and El Romeral in Spain, and Selva in Italy, with Net Asset Value increasing by £938k during the 6-month period to a total of £25.53m.

Prospex held cash and cash eq of £147k at period-end while its wholly owned non-consolidated investments held €1.01m. Management reaffirmed that the investment vehicles were expected to have sufficient funds to continue operation and meet future operating and capex demands. PXEN remained debt free in H1 after settling all remaining interest-bearing debt in FY24.

Operationally, Selva field in northern Italy continued to generate steady income from gas production under its contract with BP Gas Marketing. A new gas sales agreement was signed with Hera Trading, replacing the deal with BP as of October 1, 2025.

During the period, PXEN acquired 100% of Tarba Energia, giving it 100% indirect interest in El Romeral in southern Spain, and doubling its net production from the asset. PXEN also invested a further £905k in its other Spanish asset - the Viura gas field, following its acquisition in August 2024. Both investments were funded from existing capital resources.

At period-end, PXEN closed an equity placing that raised gross proceeds of c. £1.2m at 4.5p. Total net proceeds of £1.12m were received from the raise, of which £283k was added by June 30. Post-period, a further direct investment of €1.3m was made in the Viura asset.

Mark Routh, CEO of Prospex, commenting: "2024 was a transformative year for Prospex. With the Viura investment, we added a third producing onshore European gas field to our portfolio, lifting production across our portfolio by 230%. The purchase in 2025 of the remaining interests in Tarba further strengthened our position, consolidating our ownership of El Romeral and adding the suspended Tesorillo asset, together contributing over 750 Bcf (21.3 Bcm) of best-case prospective gas resources to our portfolio, at very low cost."

 

View from Vox

Prospex announces another positive set of results for H1 2025, with substantial operational and financial progress achieved during the 6-month period. Strong production from its 3 natural gas assets onshore Europe supported revenues while Net Asset Value increased by another £1m to over £25m. In terms of balance sheet, PXEN ended the half debt-free, with substantial euro reserves held in its investment companies, signaling a sustainable path forward and enabling steady reinvestment in its portfolio.

Looking ahead, the acquisitions of Tarba Energia and Viura (both onshore Spain) should support significant further growth. Tarba is the operator of El Romeral who used to own 50.1% of the asset, now being 100% under PXEN's control. The Tarba acquisition also gave PXEN full ownership of the Tesorillo and Ruedalabola exploration permits in Cadiz, together adding 750 Bcf of prospective gas resource to the portfolio. PXEN is waiting on permits for 5 new wells on the El Romeral concession to boost production to 8.2MW, expected in Q4 2025.

The Viura field in northern Spain became Prospex's 3rd producing asset following PXEN's acquisition of 7.5% of Heyco Energy Iberia in August 2024. The asset boosted PXEN's European production by 230%. Initial flowrates from the Viura-1B well have been excellent at up to 500,000 scm/d, validating the investment. Following the acquisition, a further £905k was invested in H1 2025 for 2 more wells - the Viura-3A and Viura-3B, expected in 2026. Post-period, a further €1.3m was invested in Viura. Currently, the gas field has estimated gross remaining reserves of 90 Bcf (6.5 Bcf net to PXEN).

At Selva field in northern Italy, PXEN reported continued strong production and revenues, with gross gas production in H1 totalling 5.187 million scm net to PXEN, and gross revenue reaching €2.3m net to PXEN at an average price of €0.45/scm. Average daily production held steady at c. 80,000 scm/day after quarterly revenues jumped from €705k to €1.25m in FY24. In August 2025, PXEN signed a new sales agreement with Hera Trading, replacing the current deal with BP Gas Marketing, which expires on October 1, 2025.

Given all active development and planned new wells across Prospex's European onshore gas investments, we see significant near-term upside within the existing concessions. PXEN remains cash generative, with no debt, and well-positioned for further growth.

 

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