AUS
NZ
UK
CA
USA
IND
Amplitude Energy Limited (AEL) has set new records in FY26 with total group production reaching 27.6 PJe and sales revenue increasing to $285.8 million. The Orbost Gas Processing Plant (OGPP) has successfully undergone debottlenecking, achieving a daily production peak of 74.7 TJ and establishing a nameplate capacity above 70 TJ/day. With the East Coast Shelf Project (ECSP) progressing and Juliet drilling imminent, Amplitude aims for a final investment decision in Q1 FY27.
Key Points
- Amplitude Energy Limited (AEL), an Australian oil and gas producer, operates the Orbost Gas Processing Plant in Victoria and manages assets including the Sole reservoir and the East Coast Shelf Project.
- Group production in FY26 reached a record 27.6 PJe, with sales revenue rising 7% year-on-year to $285.8 million.
- OGPP’s average daily production climbed to 73.2 TJ/day in FY26, with a July 2026 record of 74.7 TJ/day, marking a 65% increase since May 2023.
- The average realised gas price for FY26 was $10.35/GJ, up 4%, supported by fixed-price and CPI-indexed contracts with major Australian utilities.
- Juliet drilling is expected to commence shortly, with the Artisan and Annie projects supporting ECSP economics and targeting a final investment decision in Q1 FY27.
Orbost Facility Sets New Production Records in FY26
Amplitude Energy reported a milestone FY26 group production of 27.6 PJe, the highest in company history. This reflects operational improvements across its portfolio, driven mainly by the Orbost Gas Processing Plant, the company’s primary revenue source. Focused efforts on plant reliability and efficiency enabled multiple production records during the year and into the current period.
The Orbost facility, processing natural gas from the Sole reservoir offshore Victoria, has undergone systematic debottlenecking that expanded its capacity. Improvements, especially in the sulphur removal system, have resolved previous throughput constraints. The plant’s nameplate capacity now exceeds 70 TJ/day, up from the original 68 TJ/day design, positioning it to generate higher revenue from existing reserves and support future development projects.
Sulphur Removal System Upgrade Spurs Production Growth at OGPP
A major operational success has been the significant reduction in absorber cleaning at the Orbost Gas Processing Plant. Cleaning hours dropped from 390 in FY23 to just 128 in FY26, eliminating this system as a production bottleneck. This shift allows management to focus on further debottlenecking and reliability improvements to sustain and increase production.
Production downtime also decreased markedly from 390 hours in FY23 to 128 hours in FY26, highlighting enhanced asset reliability. The recent daily production record of 74.7 TJ in July 2026 confirms the plant is routinely operating near its expanded capacity. This trend indicates the asset is fulfilling its potential, with sustained production above 70 TJ/day expected as operational optimizations continue.
FY26 Financial Results Bolstered by Gas Price Strength and Volume Increases
Amplitude Energy’s FY26 sales revenue reached $285.8 million, a 7% increase year-over-year and a new company record. This growth was driven by higher production volumes and a 4% rise in average realised gas price to $10.35 per gigajoule, reflecting favorable market conditions and the benefits of fixed-price and CPI-indexed contracts with major Australian utilities.
Long-term supply agreements with major utilities underpin the company’s revenue base, offering pricing certainty and volume stability. These contracts include fixed-price and inflation-linked components that shield Amplitude from short-term market volatility while enabling participation in structural price trends. The combination of record production and strong realised prices highlights the commercial strength and cash flow resilience of Amplitude’s asset portfolio.
East Coast Shelf Project Progresses Toward Q1 FY27 Final Investment Decision
Amplitude Energy’s East Coast Shelf Project (ECSP) is advancing toward a key milestone, targeting a final investment decision in Q1 FY27. The Artisan and Annie discoveries in the offshore Gippsland Basin are central to the project’s economics, providing incremental production to supplement the Sole reservoir. Juliet drilling is imminent, marking the next major step in exploration and appraisal activities essential for the FID process.
The ECSP offers significant growth potential by extending the Orbost processing infrastructure’s operational life and boosting long-term production. Successful development of the Artisan, Annie, and Juliet discoveries would enable multi-year growth leveraging existing onshore processing and export facilities. The timeline to FID in Q1 FY27 indicates management expects appraisal and engineering work to be substantially complete within months, enabling a definitive investment decision by the end of 2026.
Sole Reservoir Maintains Strong Performance with Reserve Upside Potential
The Sole reservoir, supplying the Orbost Gas Processing Plant, continues to perform consistently with expectations and historical trends. Reserve performance remains robust, supporting current production rates and providing confidence in the medium-term outlook. This stability is vital for Amplitude’s cash flow and underpins evaluation of future development projects.
Amplitude is conducting comprehensive reserve reviews to explore potential upside beyond current estimates. These may identify additional recovery opportunities through optimized field management, infill drilling, or enhanced recovery techniques, potentially extending production life or increasing cumulative recovery. Such assessments align with industry best practices and reflect management’s focus on maximizing value from existing assets while advancing exploration in adjacent areas.
Gas Contract Structure Ensures Long-Term Revenue Stability
Amplitude Energy’s revenue is supported by fixed-price and CPI-indexed gas sales contracts with major Australian utilities, providing earnings stability and inflation protection. These long-term agreements offer a competitive advantage by insulating the company from spot market volatility while allowing participation in structural inflation. Contracts with creditworthy utilities reduce counterparty risk and ensure consistent cash flow.
The CPI-indexed component is particularly valuable amid inflationary pressures, aligning realised prices with general economic price movements. This mechanism offers downside protection during deflation and captures upside during inflationary cycles. The blend of fixed pricing, inflation linkage, and reliable counterparties creates a resilient revenue stream supporting dividends, debt reduction, and capital investment.
Capacity Gains Since May 2023 Highlight Continuous Operational Improvements
The Orbost Gas Processing Plant has increased average daily production capacity by 65% since May 2023, rising from 47.1 TJ/day to 73.2 TJ/day in FY26, with recent peaks of 74.7 TJ/day. This improvement reflects focused engineering optimization and operational excellence, unlocking latent capacity through debottlenecking, reliability enhancements, and process optimization.
This expansion was achieved without major capital expenditure on facility modifications, relying instead on technical engineering and disciplined operations. The recent daily record confirms the plant can sustain production above the 70 TJ/day nameplate capacity under optimal conditions. Future gains may come from further reliability improvements and maintenance optimization, while primary focus shifts to supporting ECSP projects and maintaining production from existing reserves.
Forward-Looking Guidance and Industry Risks
Amplitude Energy operates in a sector with inherent operational, regulatory, and commercial risks that may impact project timelines and financial results. Forward-looking statements on production, reserves, and project schedules are subject to uncertainties including commodity price fluctuations, currency changes, geotechnical factors, drilling outcomes, regulatory approvals, and other factors beyond management control. The company has not issued specific production guidance for FY27 or later, and actual results may differ materially.
ECSP development depends on successful completion of Juliet drilling, exploration, regulatory approvals, and economic viability at the anticipated Q1 FY27 FID. Delays could affect timelines and returns. Earnings are sensitive to gas prices, demand, and currency movements, especially given US dollar-denominated offshore costs. Environmental, weather, and operational risks inherent to offshore production may also affect performance.
Capital Management and Shareholder Value Focus
Amplitude Energy’s strong FY26 financial and operational results reflect its emphasis on operational excellence and commercial discipline. Record production and revenue provide flexibility to balance shareholder returns, debt reduction, and growth investments. Targeting the ECSP FID in Q1 FY27 indicates management’s confidence in project economics pending appraisal and approvals.
Jane Norman serves as Managing Director and CEO, with Tom Fraczek as Head of Investor Relations and Funding. Investor inquiries on strategy, financials, or operations can be directed to the investor relations team. The company complies with continuous disclosure obligations to the Australian Securities Exchange, regularly publishing reports on financial performance, reserves, and material developments.
