Galp Share Price (GALP.LS)

Decent Results. Galp delivered a solid start to 2026, with first-quarter earnings in line with analyst expectations as a sharp rise in Brazilian production and stronger oil prices offset market volatility and weaker conditions in renewables. The Portuguese oil major reported net income of €272 million ($319 million) for the first quarter, just shy of analyst forecasts consensus of €276 million, while group adjusted earnings before interest, taxes, depreciation, and amortisation (EBITDA) surged 41% year on year to €943 million. Performance was underpinned Galp’s upstream portfolio, which continued to carry group results amid a volatile macroeconomic backdrop marked by the Middle East war. Upstream production increased 23% year on year to 129,000 barrels of oil equivalent per day, reflecting a lower impact from planned maintenance, strong output from mature Brazilian assets and the continued ramp-up of the Bacalhau floating production, storage and offloading vessel. The upstream division delivered a 78% increase in adjusted EBITDA in the quarter. Higher realised oil prices also supported results, with Galp benefiting from March’s rally in crude markets, when Brent averaged about $81 per barrel during the quarter. The company’s co chief executives, Maria Joao Carioca and Joao Marques da Silva said operational execution remained strong despite the period’s heightened price volatility. Downstream earnings were more mixed. Industrial and midstream EBITDA slipped 9% year on year as severe weather in Portugal disrupted refinery operations early in the quarter."

I can attest to the s*i*e weather in Portugal - It rained almost everyday day when I was there in February!

Stock definitely one for arainy day :)

Snippets from the Annual Report

"Galp also maintains promising opportunities in its portfolio in Namibia - through the Venus project (close to FID) and Mopane.

Early in 2025, Galp successfully drilled the Mopane-3X well in the southeastern section of the Mopane complex, approximately 18 km from the first well Mopane-1X. The campaign resulted in the discovery of significant light-oil and gas-condensate columns within the AVO-10 and AVO-13 reservoir units, with strong indications of high-quality reservoir sands, good porosity and permeability, and elevated reservoir pressures. This was Galp’s fifth successful well drilled in block PEL 83, offshore Namibia, in just over a year and unlocked a new high-potential area in Mopane, following the earlier exploration

success in the northwestern zone, around AVO-1."

So.....basically Venus is close to FID while Mopane has had a substantial resource upgrade with 3 more wells to come targeting "high potential" fans in the SE. Meanwhile Brazil delivers the cash.

Like GALP. Whilst the Total Energies farm in into Mopane (Namibia) didn't live up to market anticipation it was a good opportunity to add. Going ahead Bacalhau came on production 4Q/25. It's a big unit 220K bopd. GALP's share is about 40K on plateau which should mean overall GALP production steps up over rest of 2026. Brasil pre-salt is highly competitive. Breakeven on Bacalhau is <$35/bbl according to Equinor.

Ok...