Maha Energy: Opportunistic entry into Venezuela - ABG

Minor estimate changes ahead of Q3
Opportunistic entry into Venezuela
P/NAV of 0.58x and ~70% of market cap covered by net cash


Only minor estimate changes ahead of Q3

Maha Energy has preannounced its Q3 production through monthly production updates. Net production for the quarter was 1,953boe/d, slightly below our estimate of 2,044boe/d, and we update our estimates according to the new production numbers. Also, in our recent crude quarterly report, we revised our oil price assumptions and extended the USD 85/bbl price plateau into '28. This has a positive impact on our valuation for Maha, increasing our YE'23 NAV to SEK 16.5/sh (SEK 15.9/sh). Overall, however, we make only minor, short-term estimates revisions in absolute terms ahead of the Q3 report.

Länk till analysen i sin helhet: https://cr.abgsc.com/foretag/maha-energy/Equity-research/2023/10/maha-energy---opportunistic-entry-into-venezuela/