for-phone-onlyfor-tablet-portrait-upfor-tablet-landscape-upfor-desktop-upfor-wide-desktop-up

Genel says fresh output, resumed payments to underpin dividend growth

LONDON, Jan 16 (Reuters) - London-listed oil and gas producer Genel said expected free cash flow of around $100 million in 2020 would underpin planned growth in dividends despite delayed payments from authorities in Iraqi Kurdistan.

“(Investment) will see production diversify and increase as (the) Sarta (field) comes onstream in the summer, with enough remaining to underpin an increase in our already significant dividend,” Genel said in a statement on Thursday.

Genel, which started paying dividends last year distributing $42 million, said it was “confident” payments from the Kurdistan Regional Government owed to it under production contracts would be paid regularly after delays in recent months. (Reporting by Shadia Nasralla; editing by Jason Neely)

Breakingviews

Reuters Breakingviews is the world's leading source of agenda-setting financial insight. As the Reuters brand for financial commentary, we dissect the big business and economic stories as they break around the world every day. A global team of about 30 correspondents in New York, London, Hong Kong and other major cities provides expert analysis in real time.


Sign up for a free trial of our full service at https://www.breakingviews.com/trial and follow us on Twitter @Breakingviews and at www.breakingviews.com. All opinions expressed are those of the authors.

for-phone-onlyfor-tablet-portrait-upfor-tablet-landscape-upfor-desktop-upfor-wide-desktop-up