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88 Energy Ltd on Monday reported a wider annual loss, but remained confident in its positioning in the oil and gas market. The Alaska-focused oil explorer’s pretax loss widened to A$52.9 million in 2025, or $37.2 million, from A$32.8 million in 2024. Though the company’s share of loss from equity accounted investment narrowed to A$1.2 million from A$1.5 million, other income decreased to A$345,352, less than half the A$821,553 level reported a year earlier. 88 Energy also swung to a foreign exchange loss of A$478,851 from a A$1.0 million gain the previous year. Exchange differences on the translation of foreign operations swung to a loss of A$8.4 million from income of A$13.1 million on-year. As a result, the total loss attributable to 88 Energy widened to A$61.3 million from A$19.7 million. The company ended December with a cash balance of A$6.8 million, down from A$7.2 million on-year. 88 Energy shares fell 8.9% to 1.50 pence on Monday afternoon in London and are down 14% over the past year. ‘As we look to 2026, the company is positioned around a clear focus, with a portfolio concentrated on sensible, high-impact opportunities, and an ongoing commitment to strategic and financial discipline,’ commented Non-Executive Chair Joanne Williams. According to Williams, 2025 saw 88 Energy sharpen its ‘strategic focus and the disciplined expansion and advancement of a portfolio centred on Alaskan exploration and appraisal opportunities proximate to proven producers.’ ‘Without a doubt, the Alaskan North Slope is experiencing renewed oil and gas exploration and development momentum, supported by favourable policy settings, recent exploration success, and expanding infrastructure investment,’ Williams noted. ‘Federal and state agencies continue to streamline permitting processes and actively encourage new domestic energy investment...The Fall 2025 North Slope bid round saw 271 leases awarded to nine companies, including 88 Energy, representing approximately 466,764 acres and total investment of around $17 million.’ This reinforces the ‘commercial potential’ of the firm’s assets, Williams said, with oil and gas remaining ‘integral to a well-functioning global economy amid volatile markets and evolving energy security priorities.’ 88 Energy is anticipating a drilling and test programme in the first half of 2026 at project Phoenix, a joint venture with Burgundy Xploration LLC. Williams also noted disposals over the course of 2025 which had positioned 88 Energy ‘to direct capital and technical resources toward assets with superior subsurface characteristics, greater proximity to infrastructure and stronger near-term value potential.’ Copyright 2026 Alliance News Ltd. All Rights Reserved.
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