Vintage Energy Reports $1.18M Revenue, $2.5M Cash, and $1.25M Asset Sale Deal
Vintage Energy reported a modest decline in quarterly sales revenue and production but strengthened its cash position through a fully subscribed capital raising and strategic asset sale agreement. The company also initiated a promising feasibility study on a CO2 liquefaction plant at Nangwarry.
- Sales revenue declined 4% to $1.18 million in Q4 FY25
- Production decreased 9% to 0.10 PJe, with decline moderated by optimization efforts
- Fully subscribed capital raising increased cash to $2.50 million
- Agreement signed to sell 25% stake in PEP 171 for $1.25 million, pending approvals
- Feasibility study commenced on Nangwarry CO2 liquefaction and load-out facility
Quarterly Financial and Operational Overview
Vintage Energy’s June 2025 quarter results reveal a company navigating the challenges of production decline while strategically positioning itself for future growth. Sales revenue for the quarter stood at $1.18 million, a 4% decrease from the previous quarter, reflecting a slight dip in gas production partially offset by increased LPG sales. Production volumes fell 9% to 0.10 petajoule equivalent (PJe), though the rate of decline was notably moderated by recent operational optimization initiatives.
Despite these headwinds, Vintage successfully closed a fully subscribed capital raising, securing $0.94 million during the quarter and boosting its cash reserves to $2.50 million. This financial buffer is critical as the company embarks on its Production Uplift Program, aimed at enhancing output from its key assets in the Cooper Basin.
Strategic Asset Sale and Capital Deployment
In a move to sharpen its focus, Vintage entered into an agreement to divest its 25% interest in the PEP 171 permit in the Otway Basin for $1.25 million. This sale, pending regulatory and joint venture approvals, aligns with the company’s strategy to concentrate resources on its Southern Flank gas fields and the Nangwarry contingent resource. The divestment proceeds will support ongoing development and working capital needs.
Nangwarry CO2 Liquefaction Project Progress
Highlighting a forward-looking pivot, Vintage commenced a feasibility study on a CO2 liquefaction and load-out facility at its Nangwarry gas field in the Otway Basin. Partnering with Beijing Maison Engineering Co. Ltd., the study is fully funded by Maison and aims to unlock the economic potential of Nangwarry’s high-purity CO2 resource. This project targets diverse industrial applications, including food-grade CO2 supply, positioning Vintage at the intersection of energy and emerging carbon management markets.
Operational Challenges and Outlook
Operationally, the quarter was marked by deferred Production Uplift Program activities due to regional flooding, which delayed access to key sites at the Odin and Vali gas fields. Nevertheless, optimization efforts such as back pressure reduction and flow improvements helped moderate production declines. The company anticipates resuming uplift activities as access improves, which could enhance production trajectories in the near term.
Vintage’s managing director, Neil Gibbins, underscored the encouraging signs of production stabilization and the strategic importance of the Nangwarry project, expressing optimism about forthcoming feasibility results. Meanwhile, the company maintains a net debt position of $7.50 million, underscoring the importance of disciplined capital management as it advances its development programs.
Bottom Line?
Vintage Energy’s next chapters hinge on regulatory approvals for asset sales and the outcome of its Nangwarry feasibility study, which could redefine its growth trajectory amid production challenges.
Questions in the middle?
- Will the Production Uplift Program fully reverse the recent production decline at Odin and Vali?
- How will the feasibility study results impact the timeline and scale of the Nangwarry CO2 liquefaction project?
- What are the implications of the PEP 171 sale for Vintage’s long-term asset portfolio and cash flow?
