Abu Dhabi-based energy company Dana Gas has announced that its shareholders have given their approval for a cash dividend of 4.5 fils per share for the second half of 2022. The decision was made at the company’s recent Annual General Meeting, which was held virtually due to the ongoing Covid-19 pandemic.
Dana Gas has been operating in the Middle East for over two decades and has a strong reputation for its expertise in the exploration and production of natural gas. The company has a diverse portfolio of assets, including operations in Egypt, Iraq, and the UAE.
The decision to distribute a cash dividend of 4.5 fils per share comes after a successful year for the company. In 2021, Dana Gas reported a net profit of AED 434 million ($118 million), up 6% from the previous year. The company’s strong financial performance was driven by increased production levels and higher prices for natural gas.
The cash dividend will be paid to shareholders who are on the company’s register at the close of business on the record date, which has been set as May 18, 2022. The payment will be made on June 1, 2022, subject to the approval of the relevant authorities.
Commenting on the announcement, Dr. Patrick Allman-Ward, CEO of Dana Gas, said: “We are pleased to be able to offer our shareholders a cash dividend for the second half of 2022. This decision reflects our commitment to creating value for our shareholders and our confidence in the long-term growth prospects of our business.”
He added: “Despite the challenges posed by the Covid-19 pandemic, Dana Gas has remained resilient and has continued to deliver strong operational and financial performance. We are confident that we have the expertise and resources to continue to grow our business and create value for our shareholders.”
The announcement of the cash dividend comes as Dana Gas is ramping up its investment in the region. The company recently announced plans to invest $300 million in its operations in Egypt, where it has a significant presence. The investment will be used to expand the company’s production capacity and develop new assets in the country.
Dana Gas is also exploring new opportunities in other countries in the Middle East. The company has been awarded a new exploration block in Iraq, which it plans to develop in partnership with the Iraqi government. The block covers an area of 2,700 square kilometers and is located in the western province of Anbar. The company also plans to invest in projects for natural gas production and refining in the same region. Dana Gas has a strategic alliance with ENI, an Italian oil and gas major, which will help it leverage its experience and resources in developing this new opportunity.
The company is also exploring new opportunities in the UAE, where it recently signed a new agreement with the Sharjah National Oil Corporation to explore for natural gas in the emirate of Sharjah. The agreement covers an area of 430 square kilometers and has the potential to produce significant amounts of natural gas.
Dana Gas is committed to playing a leading role in the development of the energy sector in the Middle East. The company has a strong track record of delivering results and creating value for its shareholders, and the announcement of the cash dividend is a clear indication of its commitment to this goal.
In conclusion, the announcement of the cash dividend of 4.5 fils per share for the second half of 2022 is a positive development for Dana Gas and its shareholders. The decision reflects the company’s strong financial performance and its confidence in the long-term growth prospects of its business. With a robust portfolio of assets and a commitment to investing in the region, Dana Gas is well positioned to continue delivering value for its shareholders in the years to come.
