PetroTal (TAL) Q2 2026 earnings summary

Executive summary

• Largest oil producer in Peru with 110 million barrels of 2P reserves and $1.2 billion NPV10 value; over $1 billion EBITDA generated since inception.

• H1 2026 production averaged 13,726 bopd, 3% ahead of budget; Q2 2026 averaged 12,557 bopd, down 16% from Q1 and 40% from Q2 2025 due to drilling pause.

• Adjusted EBITDA for Q2 2026 was $43.5 million ($39.98/bbl), with net income of $4.8 million after a $10.2 million non-cash impairment from the Amazonia-1 rig sale.

• Free funds flow in Q2 2026 was $32.4 million ($29.72/bbl), up 26% quarter-over-quarter and 19% year-over-year.

• Strong net cash position: $137 million total cash, $37.5 million total debt at Q2 end.

Financial highlights

• Adjusted EBITDA for H1 2026 reached $78.7 million ($33.05/bbl); Q2 2026 oil revenue was $72.8 million and net operating income was $54.4 million.

• Realized sales price net of tariffs and fees was $66.87/bbl in Q2 2026, up from $51.07/bbl in Q1 2026.

• Operating expenses flat at $11 million; per barrel costs rose due to lower production volumes.

• Capital expenditures totaled $8.0 million in Q2 2026, with H1 2026 CapEx at $15.6 million; majority of $85 million full-year CapEx planned for H2.

• Available cash at Q2 end was $105.4 million, expected to rise to $120 million by year-end.

Outlook and guidance

• 2026 guidance: 12,000 bopd average production, $83.60/bbl Brent, $180 million net operating income, $117 million EBITDA, $85 million CapEx.

• Development drilling to resume in Q4 2026 with an 8-well program, targeting 20,000 bopd by mid-2027.

• L2E platform construction was 78% complete as of July 21, 2026; Estrella rig arrived in August and is expected at Bretana by month-end.

• No cash dividends included in 2026 guidance, but reinstatement under review for year-end depending on performance.

• Production expected to reach and sustain 20,000 bopd by mid-2027 as new wells come online.