Petrofac Announces Delay in 2023 Financial Results and Provides Restructuring Update

Petrofac Limited disclosed a delay in publishing its 2023 financial results, now expected by May 31, 2024. The company attributes the delay to needing more time to finalize its annual report with its auditor. Concurrently, Petrofac has temporarily suspended its shares from trading from May 1, 2024, until the release of the results.

In a related update, Petrofac is engaging in financial restructuring. An ad-hoc group of noteholders proposed to extend up to $300 million in credit to assist with ongoing projects. The proposal requires securing performance guarantees and contemplates converting a significant portion of existing debt to equity.

The company reported that its net debt was notably lower than projections by the end of December 2023. It also acknowledged additional expenses in its Asset Solutions division and a prospective downturn in its E&C division due to unresolved project costs.

Despite delays and financial restructuring, Petrofac continues to secure new projects and advance in its operations. Negotiations on cost reimbursements for the Thai Oil Clean Fuels project are underway but are not expected to conclude before the reporting period.