Pharos Energy Plc's (PHAR:LSE) operations are on track, and plans call for commencing a drill program in Vietnam later this quarter, reported Auctus Advisors Analyst Stephane Foucaud in a July 17 research note.
114% Uplift Suggested
The United Kingdom-based energy company is trading at the time of Foucaud's report at about £0.21 per share, the analyst noted.
"The aggregate unrisked value for the Vietnam contingent and prospective resources is £0.30 per share, representing 140% of the current share price," noted Foucaud.
In comparison, Auctus' reiterated target price on Pharos is £0.45 per share, implying a potential return for investors of 114%.
H1/25 Production in Line
Foucaud reported that Pharos' production in H1/25 was 5,642 barrels of oil equivalent per day (5,642 boe/d), including production in Vietnam was stable at 4,183 boe/d of production in Vietnam, which was stable. The total H1/25 amount is consistent with Auctus Advisors' estimate of about 5,800 boe/d and compares well with January to April production of 5,757 boe/d.
Pharos reiterated its full-year production guidance of 5,000–6,200 barrels of oil equivalent per day and capex guidance of US$33–40 million (US$33–40M).
Improving Balance Sheet
At the end of June 2025, Pharos had US$22.6M in cash, slightly higher than its total at the end of April. This reflects the Egypt receivables increase during H1/25 to US$33.5M from US$31.7M.
Next Catalysts
Foucaud highlighted that Pharos' four-well drill campaign in Vietnam's Te Giac Trang (TGT) oil and gas field is slated to begin in late Q3/25, ahead of the previously expected Q4/25 start. The work will include drilling the 18X appraisal well that could unlock 1,000,000–3,000,000 barrels of oil equivalent of additional reserves in the TGT's western part.
"Overall, production is expected to grow by 20%, and the contingent and prospective resources in Vietnam represent over 100% of the company's existing Proven and Probable reserves in that country," wrote Foucaud.
Also in Vietnam, Pharos intends to commence a two-well program in the Ca Ngu Vang (CNV) oil and gas fields in Q4/25. This includes the 5X appraisal well that could extend production into the northern portion of the CNV.
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