Capricorn Energy, an energy company, has announced that it has been making significant progress in its strategic review, which is expected to be complete in September. The review is focused on reducing costs, refocusing operations, and returning excess funds.
The company has already achieved a significant reduction in general and administrative costs and expects to reduce annual gross general and administrative expenses to $1.50 for each barrel of oil produced or less.
Currently, the production stands at 31,500 barrels of oil equivalent per day, and Capricorn Energy hopes to produce 32,000-36,000 barrels a day by the end of the year.
In the fourth quarter of this year, the company will pay $100 million dividend to shareholders and plans to return more surplus capital in the future. Additionally, a contingent payment from the sale of the Senegal business will be given back to shareholders in full after the first oil production. The exact amount and timing of this will be announced later this year or early 2024.
Hesham Mekawi has been named non-executive deputy chairman of Capricorn Energy.