Oil and gas producer Kistos reported a big improvement in its full year results for 2025, reducing its loss after tax from $52m to just $2m, on top of a strong production performance that was at the top end of guidance.

The AIM-listed transitional energy company delivered production of 8,940 barrels of oil equivalent per day (boepd), landing at the top end of guidance, while proforma output including Oman interests reached 18,470 boepd.

Adjusted earnings edged up to $97m, and capital expenditure fell to $122m as the Balder Future project, major redevelopment of the Balder and Ringhorne oil fields in the Norwegian North Sea, moved into its operational phase. The year also saw the start up of the Jotun floating production, storage and offloading (FPSO) offshore FPSO in Norway and an expansion into Oman, which significantly boosted reserves.

It was a strong year operationally, but the company remained gas‑weighted, and its oil volumes were still relatively modest because the big oil growth engine —Balder Future via the Jotun FPSO — only restarted in late 2025. These are expected to deliver additional volumes from seven new wells, with first production expected in the fourth quarter of 2027. As such, 2025 was a transition year before the big oil volumes arrive.

Executive chairman Andrew Austin said: "2025 was transformational for Kistos, marked not only by first oil from the Balder Future project, but also by the company's expansion into the MENA region, generating immediate cash flow and significantly enhancing the company's 2P reserve base. This momentum has continued in 2026."

In Oman, Kistos is preparing for an extensive drilling programme, pending final approvals. Long-life onshore assets in the country are expected to provide significant growth potential, with plans to drill upwards of 30 exploration wells across the blocks by 2029.

Looking ahead to 2026, Kistos expects 19,000–21,000 boepd of proforma production.

The company also said it continues to evaluate further value accretive M&A opportunities across Europe and MENA.

Shares rose around 2.3%–3.3% on the results announcement.

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