LEI: 213800HAZOW1AWRSZR47
Riverstone Energy Limited
Results for the year ended 31 December
2024
London, UK (28 February 2025) - Riverstone Energy Limited ("REL" or the "Company") announces
its Year End Results from 1 January 2024 to 31 December 2024 (the
"Period").
Summary Performance
31
December 2024
|
NAV
|
$376 million[1] (£299 million)[2]
|
|
NAV per share
|
$14.83 /
£11.812
|
|
Loss for Period ended
|
($79.7 million)
|
|
Basic loss per share for Period
ended
|
(264.41 cents)
|
|
Total liquidity (cash and cash
equivalents & public portfolio)
|
$281 million (£223
million)2
|
|
Market capitalization
|
$250 million (£199
million)2
|
|
Share price
|
$9.87 / £7.862
|
Highlights
§ As of 31 December 2024, REL had a
NAV per share of $14.83 (£11.81), representing a decrease in USD
and GBP of 7 and 6 per cent., respectively, compared to the 31
December 2023 NAV per share.
§ Total net
realisations and distributions during the Period of $13.0 million:
Permian Resources ($7.2 million), Rock Oil ($5.0 million) and Veren
($0.8 million)
§ REL ended the Period with a cash
balance of $78.5 million and remaining potential unfunded
commitments of $6.2 million[3].
§ Since the
initial announcement of the Share Buyback Programme on 1 May 2020,
the Company has bought back a total of
36,324,225 ordinary shares at an average price of approximately
£4.38 per ordinary share, which has
contributed to the share price increase of over 3.5x from £2.20 to
£7.86 over the period to 31 December 2024.
Share Buyback Programme and 2024 Tender
Offer
In further support of the Board's
capital management objectives, at the 2024 AGM, the shareholders
renewed the authorisation for the Board to continue with share
buybacks. The Board duly commenced the current programme,
allocating an amount of £21.3 million ($27.1 million), of which
£7.1 million was available for repurchases as of 31 December 2024.
Through this allocation, 1,805,479 ordinary shares have been bought
back at a total cost of approximately £14.5 million ($18.2 million)
at an average share price of approximately £8.01
($10.06).
Furthermore, following the changes
to the Investment Management Agreement announced on 3 January 2020,
the Investment Manager agreed that the Company would repurchase
shares or pay dividends equal to 20 per cent. of net gains on
disposals. No further carried interest will be payable until the
$156.7 million of realised and unrealised losses to date as at 31
December 2024 are made whole with future gains.
On 23 February 2024, REL announced a
tender offer to return $199 million (£158 million) at £10.50 per
share. On 2 April 2024, the Company repurchased 15,047,619 shares
representing ~36 per cent. of outstanding shares at that
date.
Investment Manager Outlook
§ REL's portfolio of conventional
energy assets is positioned to benefit from cash flow generation,
low to no leverage and supportive underlying commodity
prices. When appropriate, the Investment Manager will take
advantage of favourable market conditions to monetise its publicly
listed holdings. The pursuit of liquidity will remain tempered
by a desire to maximise returns for all shareholders.
§ While low carbon energy
opportunities remain attractive and market sentiment has stayed
positive, REL's energy transition and decarbonisation investments
will continue to prepare themselves against potential headwinds.
Interest rates lowered in 2024 and may continue to going forward,
but potential regulatory headwinds may also be on the horizon with
the change in United States' Presidential Administration. The
Investment Manager will act quickly to adjust the portfolio's
energy transition and decarbonisation investment strategies where
needed and lean into tailwinds wherever possible.
Richard Horlick, Chair of the Board
of Riverstone Energy Limited, commented:
"The wave of consolidation in the oil & gas sector that we
witnessed in 2023 continued in 2024, which was reflected in our
portfolio as Permian Resources successfully completed a bolt-on
acquisition of Barilla Draw. We expect this trend to continue into
2025 as companies focus on creating strong synergies and increased
inventories through bolt-ons and mergers of equals. While the
uncertainty that surrounded the energy market in 2024 is likely to
remain for some time, the Board and Investment Manager remain
confident in our portfolio's potential as we prioritise delivering
increased shareholder value while maintaining a strong balance
sheet."
David M. Leuschen and Pierre F.
Lapeyre Jr., Co-Founders of Riverstone, added:
"The trends in 2024 reflected those of previous years,
presenting a mixture of optimism and volatility across the energy
and decarbonisation markets, both of which influenced the full-year
performance of our portfolio. Our conventional energy assets
continued to perform, buoyed by the sustained consolidation wave in
the sector, while our decarbonisation investments faced challenges
brought about by high interest rates and geopolitical uncertainty.
Nevertheless, trends towards energy security and consistent supply
remain supportive for the sector as a whole and we are confident
that our portfolio is well positioned to benefit as we enter
2025."
- Ends
-
Riverstone Energy Limited's 2024
Annual Report is available to view at: www.RiverstoneREL.com.
4Q24 Quarterly Portfolio Valuation
Previously, on 7 February 2025, REL
announced its quarterly portfolio summary as of 31 December 2024,
inclusive of updated quarterly unaudited fair market
valuations:
Current Portfolio - Conventional
|
Investment (Public/Private)
|
Gross Committed Capital
($mm)
|
Invested
Capital
($mm)
|
Gross
Realised
Capital ($mm)[4]
|
Gross Unrealised
Value
($mm)[5]
|
Gross Realised Capital &
Unrealised Value ($mm)
|
30 Sep 2024
Gross
MOIC5
|
31 Dec 2024
Gross
MOIC5
|
|
Permian Resources[6]
(Public)
|
268
|
268
|
232
|
145
|
377
|
1.37x
|
1.41x
|
|
Onyx
(Private)
|
66
|
60
|
121
|
46
|
167
|
3.10x
|
2.80x
|
|
Veren6
(Public)
|
296
|
296
|
199
|
43
|
242
|
0.85x
|
0.82x
|
|
Total Current Portfolio - Conventional - Public[7]
|
$564
|
$564
|
$431
|
$188
|
$619
|
1.10x
|
1.10x
|
|
Total Current Portfolio - Conventional -
Private7
|
$66
|
$60
|
$121
|
$46
|
$167
|
3.10x
|
2.80x
|
|
Total Current Portfolio - Conventional - Public &
Private7
|
$630
|
$624
|
$552
|
$234
|
$786
|
1.29x
|
1.26x
|
Current Portfolio - Decarbonisation
|
|
|
|
|
|
|
|
|
Investment (Public/Private)
|
Gross Committed Capital
($mm)
|
Invested
Capital
($mm)
|
Gross
Realised
Capital
($mm)4
|
Gross Unrealised
Value
($mm)5
|
Gross Realised Capital &
Unrealised Value ($mm)
|
30 Sep 2024
Gross
MOIC5
|
31 Dec 2024
Gross
MOIC5
|
|
GoodLeap (formerly
Loanpal)
(Private)
|
25
|
25
|
2
|
23
|
25
|
1.00x
|
1.00x
|
|
Infinitum
(Private)
|
27
|
27
|
-
|
23
|
23
|
1.10x
|
0.85x
|
|
Solid
Power6
(Public)
|
48
|
48
|
-
|
14
|
14
|
0.21x
|
0.29x
|
|
Group14
(Private)
|
4
|
4
|
-
|
3
|
3
|
1.00x
|
0.75x
|
|
Hyzon
Motors6
(Public)
|
10
|
10
|
-
|
0
|
0
|
0.00x
|
0.00x
|
|
Total Current Portfolio - Decarbonisation -
Public7
|
$58
|
$58
|
$-
|
$14
|
$14
|
0.17x
|
0.24x
|
|
Total Current Portfolio - Decarbonisation -
Private7
|
$56
|
$56
|
$2
|
$49
|
$51
|
1.05x
|
0.91x
|
|
Total Current Portfolio - Decarbonisation - Public &
Private7
|
$114
|
$114
|
$2
|
$63
|
$65
|
0.60x
|
0.57x
|
|
Total Current Portfolio - Conventional & Decarbonisation -
Public & Private7
|
$744
|
$738
|
$554
|
$297
|
$851
|
1.18x
|
1.15x
|
|
Cash and Cash Equivalents
|
|
|
$79
|
|
|
|
|
Total Liquidity (Cash and Cash Equivalents & Public
Portfolio)
|
$281
|
|
|
|
|
Total Market Capitalisation
|
|
|
$250
|
|
|
|
|
|
|
|
|
|
|
|
| |
|
Investment (Initial Investment
Date)
|
Gross Committed Capital
($mm)
|
Invested
Capital
($mm)
|
Gross
Realised
Capital
($mm)4
|
Gross Unrealised
Value
($mm)5
|
Gross Realised Capital &
Unrealised Value ($mm)
|
30 Sep 2024
Gross
MOIC5
|
31 Dec 2024
Gross
MOIC5
|
|
Rock Oil[8]
(12 Mar
2014)
|
114
|
114
|
239
|
0
|
239
|
2.09x
|
2.09x
|
|
Three Rivers III (7 Apr
2015)
|
94
|
94
|
204
|
-
|
204
|
2.17x
|
2.17x
|
|
ILX
III
(8 Oct 2015)
|
179
|
179
|
172
|
-
|
172
|
0.96x
|
0.96x
|
|
Meritage III[9] (17 Apr
2015)
|
40
|
40
|
88
|
-
|
88
|
2.20x
|
2.20x
|
|
RCO[10]
(2
Feb 2015)
|
80
|
80
|
80
|
-
|
80
|
0.99x
|
0.99x
|
|
Carrier
II
(22 May
2015)
|
110
|
110
|
67
|
-
|
67
|
0.61x
|
0.61x
|
|
Pipestone Energy (formerly
CNOR)
(29 Aug
2014)
|
90
|
90
|
58
|
-
|
58
|
0.64x
|
0.64x
|
|
Sierra
(24 Sept
2014)
|
18
|
18
|
38
|
-
|
38
|
2.06x
|
2.06x
|
|
Aleph
(9 Jul
2019)
|
23
|
23
|
23
|
-
|
23
|
1.00x
|
1.00x
|
|
Ridgebury
(19 Feb 2019)
|
18
|
18
|
22
|
-
|
22
|
1.22x
|
1.22x
|
|
Castex 2014
(3
Sep 2014)
|
52
|
52
|
14
|
-
|
14
|
0.27x
|
0.27x
|
|
Total Realisations7
|
$819
|
$819
|
$1,006
|
$0
|
$1,006
|
1.23x
|
1.23x
|
|
Withdrawn Commitments and Investment Write-Offs[11]
|
467
|
467
|
10
|
-
|
10
|
0.02x
|
0.02x
|
|
Total Investments7
|
$2,030
|
$2,024
|
$1,570
|
$297
|
$1,867
|
0.93x
|
0.92x
|
|
Total Investments & Cash and Cash
Equivalents
|
$376
|
|
|
|
|
Unaudited Net Asset Value
|
$376
|
|
|
|
|
Total Shares Repurchased to-date
|
36,324,225
|
at average price per share of
£4.38 ($5.59)
|
|
Current Shares Outstanding
|
25,342,691
|
|
|
|
About Riverstone Energy Limited:
REL is a closed-ended investment
company which invests in the energy industry. REL's ordinary shares
are listed on the London Stock Exchange, trading under the symbol
RSE. REL has 8 active investments spanning decarbonisation, oil and
gas, renewable energy and power in the Continental U.S., Western
Canada and Europe.
For further details, see
www.RiverstoneREL.com
Neither the contents of Riverstone
Energy Limited's website nor the contents of any website accessible
from hyperlinks on the websites (or any other website) is
incorporated into, or forms part of, this announcement.
Media Contacts
For
Riverstone Energy Limited:
LPRelations@RiverstoneLLC.com
Deutsche Numis - Corporate Broker:
Hugh Jonathan
Matt Goss
+44
(0) 20 7260 1000
Ocorian Administration (Guernsey) Limited -
Company Secretary:
Birgitte Horn
OAGLCoSec@ocorian.com
Note:
The Investment Manager is charged
with proposing the valuation of the assets held by REL through the
Riverstone Energy Investment Partnership, LP ("Partnership"). The
Partnership values its securities and instruments at fair value.
REL's valuation policy follows IFRS and IPEV Valuation Guidelines.
The Investment Manager values each underlying investment in
accordance with the Riverstone valuation policy, the IFRS
accounting standards and IPEV Valuation Guidelines. The Investment
Manager has applied Riverstone's valuation policy consistently
quarter to quarter since inception. The value of REL's portion of
that investment is derived by multiplying its ownership percentage
by the value of the underlying investment. If there is any
divergence between the Riverstone valuation policy and REL's
valuation policy, the Partnership's proportion of the total holding
will follow REL's valuation policy. There were no valuation
adjustments recorded by REL as a result of differences in IFRS and
U.S. Generally Accepted Accounting Policies for the period ended 31
December 2024 or in any period to date. Valuations of REL's
investments through the Partnership are determined by the
Investment Manager and disclosed quarterly to investors, subject to
Board approval.
Riverstone values its investments
using common industry valuation techniques, including comparable
public market valuation, comparable merger and acquisition
transaction valuation, and discounted cash flow
valuation.
For development-type investments,
Riverstone also considers the recognition of appreciation or
depreciation of subsequent financing rounds, if any. For those
early stage privately held companies where there are other
indicators of a decline in the value of the investment, Riverstone
will value the investment accordingly even in the absence of a
subsequent financing round.
Riverstone reviews the valuations on
a quarterly basis with the assistance of the Riverstone Performance
Review Team ("PRT") as part of the valuation process. The PRT was
formed to serve as a single structure overseeing the existing
Riverstone portfolio with the goal of improving operational and
financial performance.
The Board reviews and considers the
valuations of the Company's investments held through the
Partnership.
