Energean on Tuesday ‍flagged a possible ‍300 million euro ($356 million) impairment to its 2025 results ​related to its minority stake in the Eni-operated Cassiopea gas field in Italy.

Energean said ⁠it expected reserves at Cassiopea, which stood at 31 million barrels of ⁠oil equivalent ‌at the end of 2024, or 3% of its total reserves, to be downgraded to 3-4 million boe due ⁠to a weaker performance than Eni had initially expected.

Energean owns 40% of the project. It added that it was in arbitration proceedings with Eni, seeking 265 million euros for costs unduly ⁠paid and lost revenue ​while Eni wants $154 million for disputed invoices. Eni did not immediately respond to a request ‍for comment.

Shares of the FTSE-250 company were down 1.9% at 0940 GMT, underperforming a ​broader index of European energy firms that eased 0.2%.

The Eastern Mediterranean-focused gas producer, which is due to report 2025 results on March 19, suspended operations in Israel last year due to geopolitical risks.

Energean expects short-term natural decline in Egypt ahead of new drilling activity and first oil at its large new Israeli Katlan and Croatian Irene gas fields in the first half of 2027.

The company said 2025 production ⁠averaged 154,000 barrels of oil equivalent per ‌day and forecasted this year's output at 140,000-150,000 boed.

Energean said it is looking for deals to boost growth, especially in West Africa.

 

($1 = ‌0.8426 euros) (Reporting ⁠by Rishab Shaju in Bengaluru and Shadia Nasralla in London; additional reporting ⁠by Francesca Landini, Editing by Eileen Soreng, Kirsten Donovan)