Posted: 27/03/26

Parkmead, the independent energy group focused on growth through natural gas, oil and renewable energy projects, is pleased to report its interim results for the six-month period ended 31 December 2025.

 

HIGHLIGHTS

 

Glenskinnan Renewable Energy Park

• Excellent progress is being made across Parkmead’s renewable energy portfolio

• Parkmead’s owned land at Pitreadie is a centrally located, core part of the site for the potential Glenskinnan Renewable Energy Park (“Glenskinnan”)

• At Glenskinnan, Parkmead has a strong and experienced partner in Galileo Empower (“Galileo”), a leading European renewable energy developer

• The project is closely aligned with the UK Government's Clean Power 2030 Action Plan

• An additional round of public consultations for this major integrated project consisting of up to 98 MW in generating capacity across 14 wind turbines, 20 MW in solar photovoltaic arrays and 30 MW in battery storage is scheduled in the coming months

• Parkmead continues to work with Galileo to finalise commercial arrangements ahead of the submission of a Section 36 planning application to the Scottish Government, anticipated to be during the course of 2026

 

High quality drilling targets advanced across the Netherlands gas fields 

• Drenthe V has completed all the studies, well design and modelling with the intention to drill a well in late 2026.  

• Long lead items have already been acquired for the drilling at Drenthe V

• Extensive subsurface scoping exercise was completed in 2025, delivering the potential for two wells on Drenthe VI in addition to the VDW-A prospect

• Parkmead is un-hedged and so remains fully exposed to the upside from the recent increases in European gas prices

 

Further cash received from Sale of UK North Sea Licences 

• Parkmead received the second deferred payment of £3.1 million in February 2026

• The third deferred payment of £3.9 million is due in February 2027

• Up to a further £120 million of contingent cash consideration could become payable, subject to the approval of field development plans at Skerryvore and Fynn Beauly

 

Focused strategy

• Parkmead has retained 100% of its cash producing assets, namely its interests in the gas fields in the Netherlands and its wholly owned UK wind farm in Scotland

• A number of organic projects are advancing in the short to medium term 

• Parkmead is well positioned to pursue value-adding acquisitions and has several growth opportunities that are being evaluated

• The team is focused on targeting further cashflow generating renewable energy assets onshore UK and on international E&P opportunities 

 

Financial Summary

• Revenue for the six-month period was £1.5 million (1H FY25: £2.1 million), reflecting a natural decline in net gas production to 143boepd (1H FY25: 181boepd)

• Dutch TTF gas prices in the period decreased in line with global markets with an average of €32.14/MWh (1H FY25: €38.16/MWh).  

• Post period end the TTF bench mark has risen by well over 50 percent in line with the global markets, following the military conflict in the Middle East

• Operational performance at Kempstone Hill was good, with uptime of 91%.  Additional maintenance was required on Turbine 3, this was strategically completed in the low season

• Cost of sales increase to £1.8 million (1H FY25: £0.9 million) due to higher non-cash depletion charges in the Netherlands

• Cashflow from operations in the period saw a net cash outflow of £1 million (1H FY25: £2.3 million outflow), and the Group recognised a net loss for the period of £0.9 million (1H FY25: £1.2 million)

• Net assets were £26.1 million at 31 December 2025, equal to 23.9 pence per share (30 June 2025: £27 million) 

• The Company maintained healthy cash balances of £8.9 million at 31 December 2025, equal to 8.2 pence per share (30 June 2025: £13.2 million) 

• The Company holds £4.0 million on term deposit at 31 December 2025, equal to 3.7 pence per share (30 June 2025: £0.4 million) with an A rated bank

•Following receipt of the second deferred payment from the sale of Parkmead (E&P) Ltd, on 26 March 2026, total cash and term deposits equate to £16.1 million, equal to 14.7 pence per share

 

Parkmead’s Executive Chairman, Tom Cross, commented:

“Parkmead continues to make excellent progress at Glenskinnan, with this major project clearly aligned with the Government’s Clean Power 2030 Action Plan.  We are excited by the potential value that can be created for shareholders as we progress this multi-faceted renewable energy park.

With infill drilling scheduled for later in the year, plus further new opportunities identified, there is potential to increase production with low-cost drilling in the Netherlands in an area with a stable fiscal regime.

Parkmead remains exceptionally well capitalised with significant cash and term deposits totalling £16.1 million and we are seeking to use this to secure additional growth opportunities.”

 

The Parkmead Group plc +44 (0) 1224 622200

Tom Cross (Executive Chairman)

Andrew Smith (Executive Director – Business Development)

 

 

Cavendish Capital Markets Limited +44 (0) 20 7220 0500

Marc Milmo / Seamus Fricker – Corporate Finance

Iain MacArthur – Sales

 

Please see the full pdf version of the announcement here, or in the Financial Reports section of the website.