Beach Energy (ASX:BPT) Posts A$565m Quarterly Sales Revenue as Output Climbs 9% to 5.4 MMboe

Sonal Goyal

21 October 2026 01:26 PM AEDT

Beach Energy (ASX:BPT) Posts A$565m Quarterly Sales Revenue as Output Climbs 9% to 5.4 MMboe

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Key Highlights

Production rose 9% on the prior quarter to 5.4 MMboe, with Otway Basin output up 20%, Western Flank up 15% and Bass Basin up 55%.
Sales revenue climbed 41% to A$565 million, which Beach said is its highest quarterly result, on sales volumes of 6.3 MMboe and an average realised gas price of A$11.9 per GJ.
Capital expenditure fell 46% to A$129 million as the Equinox rig campaign ended with A$96 million of abandonment spend, and Beach does not expect material offshore abandonment spend until the mid-2030s.
Total liquidity at 30 September 2026 was A$945 million, made up of A$205 million of cash and A$740 million of undrawn committed facilities, with net debt at A$425 million.

Beach Energy Limited (ASX:BPT) reported production of 5.4 million barrels of oil equivalent (MMboe) for the quarter ended 30 September 2026, the first quarter of its 2027 financial year (FY27), up 9% on the previous quarter. Sales revenue rose 41% to A$565 million, which the company said is the highest quarterly sales revenue it has reported. Beach kept its FY27 guidance unchanged at 19.5 to 23.0 MMboe of production and A$600 million to A$700 million of capital expenditure.

Production Rises 9% as Three Basins Lift Output

Production of 5.4 MMboe (5,392 thousand barrels of oil equivalent, or kboe) compared with 4.9 MMboe in the June 2026 quarter and 5.0 MMboe a year earlier. Sales gas rose 9% to 25.1 petajoules (PJ), oil rose 12% to 491 thousand barrels and condensate rose 20% to 295 thousand barrels.

Otway Basin output rose 20% to 1,523 kboe, Western Flank rose 15% to 416 kboe on new well connections, and Bass Basin rose 55% to 351 kboe. Perth Basin production was 1,365 kboe (up 3%) and the Cooper Basin joint venture produced 1,413 kboe (down 1%).

At the Waitsia Gas Plant in the Perth Basin, Beach reported a record average monthly rate of 219 terajoules per day (TJ/day) in August. A planned statutory shutdown began on 4 September. Air cooler plugs replaced during the shutdown failed leak testing and needed rectification, which delayed the final start-up until 8 October. Since then the plant has averaged about 235 TJ/day.

Sales volumes were 6,283 kboe, up 32%, helped by the lifting of two Waitsia liquefied natural gas (LNG) cargoes.

A$565 Million in Sales Revenue and the Price Drivers

Sales revenue of A$565 million compared with A$400 million in the prior quarter and A$537 million a year earlier. Oil contributed A$138 million (A$66 million in the prior quarter), sales gas A$232 million (A$199 million) and LNG A$115 million (A$56 million).

The average realised price across all products rose 7% to A$90 per boe. Gas rose 7% to A$11.9 per gigajoule, while oil fell 4% to A$166 per barrel. Beach said the oil price was supported by premiums of about US$19 per barrel, and that crude sales executed so far in the second quarter of FY27 carry premiums of about US$28. The two LNG cargoes sold at an average A$15.2 per MMBtu, generating A$115 million.

Since 1 July 2026, Beach has signed medium-term domestic gas sales contracts totalling 14 PJ across FY28 to FY30. They include its first contract on the East Coast of Australia linked to JKM, the LNG Japan/Korea Marker.

Spending, Liquidity and the Class Action Settlement

Capital expenditure of A$129 million was 46% below the prior quarter's A$241 million as the Equinox rig campaign focused on abandonment activity. Abandonment expenditure of A$96 million was incurred as the campaign finished, and Beach does not anticipate material offshore abandonment spend until the mid-2030s.

Total liquidity at 30 September 2026 was A$945 million, comprising cash of A$205 million, which includes A$43.5 million of restricted insurance proceeds held for the class action settlement, and A$740 million of undrawn committed facilities. Drawn debt was A$630 million and net debt A$425 million, up from A$387 million at 30 June, mainly because of abandonment spending and the A$46 million FY26 final dividend paid in September.

During the quarter Beach executed a deed of settlement for the shareholder class action commenced in the Supreme Court of Victoria in November 2021, for A$43.5 million including interest and costs. The deed needs court approval, with a hearing expected by the end of calendar 2026, and insurance proceeds will fund the full payment with no impact on FY27 earnings or cashflow.

Where Beach Stands After the First Quarter

Beach said the joint venture reached a final investment decision on the Waitsia Inlet Compression project, with about A$120 million of capital expenditure net to Beach split broadly equally over FY27 and FY28 and start-up expected in FY29. Drilling of the Stawellia and Waitsia South prospects is expected to begin in early calendar 2027, subject to final regulatory approvals. Beach and its joint venture partners were also awarded an exploration permit, to be designated ATP 2082, in the Taroom Trough, lifting Beach's gross acreage there to about 1,888 square kilometres. Managing Director Brett Woods said Beach reached 21 consecutive months without a recordable injury before a contractor suffered a minor hand injury shortly after quarter-end. The annual general meeting is scheduled for 11 November 2026 in Adelaide.

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