Arab Finance: Vaalco Energy’s oil sales in Egypt jumped to $152.77 million in the first half (H1) of 2026 from $112.84 million a year earlier, according to the company’s financial results.

In the second quarter (Q2) alone, oil sales rose to $86.36 million, compared with $66.41 million in Q1 2026.

Vaalco Energy is advancing its 2026 drilling campaign in Egypt, with three development wells successfully completed and brought on production.

The company launched its Egypt drilling program in May 2026 with the HE-9 development well, which was completed and brought on production in early June. Two additional development wells were drilled in June and completed in July, with the drilling campaign continuing into Q3 2026.

Moreover, Vaalco Energy carried out workovers, well interventions, well reactivations, water shut-off treatments, and production optimization activities in Egypt, which contributed to boosting production and strengthening reserves.

In April-June 2026, net capital expenditures totaled $103.6 million on a cash basis and $98.9 million on an accrual basis, below the low end of second quarter guidance of $110 million to $130 million. These expenditures were mainly related to the new wells drilled as part of the Phase Three Drilling Campaign in offshore Gabon and the drilling campaign in Egypt.

George Maxwell, Vaalco’s CEO, commented: "We resumed our successful drilling program in Egypt in May 2026. In Q2 2026, we had strong sales volumes and increased realized pricing while we continued to positively progress our asset campaigns in Côte d’Ivoire, Gabon and Egypt. This drove improved earnings of $42.4 million or $0.39 per diluted share and $54.8 million in Adjusted EBITDAX.”

Maxwell also addressed plans for H2 2026, stating: “We are completing the Gabon drilling campaign, expanding the successful Egyptian drilling campaign and starting the Phase Five Drilling Program at Baobab that should provide material production uplift in 2027.”