Key highlights

  • Beach reported FY26 production of 19.4 MMboe, underlying EBITDA of $1.0 billion and underlying NPAT of $355 million in its 6 August 2026 release.
  • A fully franked final Dividend of 2.0 cents per share was declared, taking the full-year total to 3.0 cents, with Liquidity of $983 million.
  • 2P reserves were 156 MMboe at 30 June 2026, compared with 173 MMboe a year earlier, and FY27 plans include Western Flank drilling and an Otway FID target.

Beach Energy Ltd (ASX:BPT) was trading at $0.945 on 21 October 2026, up 3.85% in the session. The S&P/ASX 200 Energy [XEJ] index was at 11,167.20, higher by 0.014% (1.60 points), and the S&P/ASX 200 [XJO] was at 8,806.90, lower by 0.11% (10.00 points), at 2:32 pm GMT+11. Brent Crude gained 0.60% to US$109.48, with persistent Middle East tensions involving Iran, Saudi Arabia and the Houthis in Yemen continuing, and a reported draw in US oil inventories added to the picture of tightening supply. Beach is an Australian oil and gas producer with operations in the Cooper Basin, Western Australia and Victoria.

What Beach Energy does

Beach Energy Limited explores for, develops and produces oil and gas, supplying domestic energy markets. Its core East Coast hub covers the Cooper Basin, the Otway Basin and the Bass Basin, while its West Coast hub includes the Perth Basin and the Waitsia Gas Plant, which is operated by a joint venture partner. The company also holds acreage in Queensland’s Taroom Trough and reports CO2 storage capacity alongside oil and gas reserves.

Beach sells gas into domestic markets and exports LNG cargoes, and it manages Marketing activity to lift its average realised gas price.

FY26 financial results

In an ASX announcement dated 6 August 2026, Beach reported FY26 underlying EBITDA of $1.0 billion and underlying NPAT of $355 million. Sales Revenue was $1.8 billion, including $343 million from six LNG cargoes. The average realised gas price rose 7% to $11.5 per gigajoule, while field operating expenses fell 3% to $244 million, including Waitsia operations. All-in free Cash Flow was $146 million, and free cash flow breakeven was lower than the company’s US$30 per barrel target.

Production was 19.4 MMboe. The company stated that Waitsia production, which reached its 250 TJ/day nameplate capacity in April, largely offset the impact of flooding in the Cooper Basin and lower Otway Basin production. It also stated it is working with the operator to address Waitsia performance issues through an upcoming shutdown.

Dividend and Capital management

Beach declared a fully franked final dividend of 2.0 cents per share, taking declared FY26 dividends to 3.0 cents per share. Available liquidity was $983 million and net gearing was 10.6%. The company described a revised capital management framework that prioritises Balance Sheet strength to fund resource and Earnings growth opportunities. It also completed the sale of the VIC/L35 permit, which redirected more than $500 million of near-term capital while retaining a production royalty.

Reserves and resources

As at 30 June 2026, Beach reported 1P reserves of 82 MMboe (93 MMboe a year earlier), 2P reserves of 156 MMboe (173 MMboe), 3P reserves of 227 MMboe (253 MMboe) and 2C contingent resources of 174 MMboe (179 MMboe). 2P CO2 storage capacity was 3.6 Mt, compared with 4.1 Mt. The decrease in 2P reserves reflected production of 19.4 MMboe, partly offset by positive net revisions of 3.1 MMboe. An independent audit by Netherland, Sewell & Associates covered 90% of 2P reserves.

Operations and FY27 outlook

The Western Flank oil campaign achieved a 100% success rate across its first nine wells, seven of which are online, with the remaining three wells and an eight-well exploration campaign planned from Q2 FY27. Offshore Victoria, the Equinox rig campaign was materially completed within budget and included the Hercules exploration well and the Artisan discovery, with decommissioning of Yolla 1 nearing completion. For FY27, Beach is targeting FID in the first half on a two-well nearshore Otway drilling campaign and is maturing Perth Basin backfill opportunities.

Operational delivery in FY26

Beach’s release also records a safety milestone of 18 months recordable injury free across all assets, with no Tier 1 process safety events since 2020, equivalent to about 1.5 million work hours. Offshore, a new production interval was opened at Thylacine West 1, four offshore wells across the Otway and Bass basins were decommissioned, and the final decommissioning well, Yolla 1, is nearing completion, marking the end of near-term offshore decommissioning obligations.

Sector context

Australian gas producers operate in a market shaped by contract pricing, LNG cargo sales and domestic Supply policy, while oil-linked revenue follows crude benchmarks. During the session the S&P/ASX 200 Energy index was at 11,167.20 and Brent crude was at US$109.48 per barrel. Beach’s release refers to uncertainty associated with the Domestic Gas Reservation framework.

Risks and uncertainties

Disclosed factors include Waitsia performance issues that require a shutdown, weather disruption in the Cooper Basin and Western Flank, declining Otway Basin volumes, and uncertainty around the Domestic Gas Reservation framework. Reserves decreased year on year, the final dividend was modest relative to earnings, and FY27 plans depend on drilling outcomes, approvals and project sanction decisions.

Catalysts to watch

Dates and milestones in the release include the Waitsia shutdown, completion of the remaining three Western Flank wells followed by the eight-well oil exploration campaign from Q2 FY27, the Otway nearshore drilling FID targeted for the first half of FY27, and progress on Taroom Trough exploration.

Final word

Beach’s FY26 release combined higher realised gas prices, lower field costs and a revised capital management framework with lower reserves and Waitsia reliability work. The FY27 drilling and sanction schedule sets the next set of reportable milestones.