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Sharjah-based Dana Gas has announced its preliminary unaudited financial results for the fiscal year ending December 31, 2025, reporting net profits of AED 476 million ($130 million). The natural gas producer recorded a decline from the previous year’s net profit of AED 553 million ($151 million) in 2024, according to the company’s official statement.
Annual revenues for Dana Gas reached AED 1.28 billion ($348 million) for 2025, down from the prior fiscal year. The company attributed the lower figures to exceptional one-time revenues of $46 million included in 2024 results, which stemmed from a retroactive gas price increase agreed upon under the concession area consolidation agreement during the fourth quarter of that year.
Factors Behind Dana Gas Financial Performance
Excluding the non-recurring item from 2024, the revenue decline reflects reduced production in Egypt alongside lower realized selling prices linked to oil benchmarks. According to the company, Brent crude averaged $69 per barrel in 2025 compared to $81 per barrel in 2024, directly impacting the natural gas producer’s pricing structure.
The Egyptian operations faced natural decline challenges over recent years. However, Dana Gas reported tangible progress in its Egypt portfolio through resumed investment under improved financial terms and successful drilling programs that stabilized production rates.
Khor Mor Expansion Project Milestone
Richard Hall, Chief Executive Officer of Dana Gas, described 2025 as a pivotal year for the organization. The company successfully completed and operationalized the Khor Mor 250 expansion project in the Kurdistan Region of Iraq, representing a fundamental turning point for Dana Gas operations.
The Khor Mor expansion project had been a pending priority for some time, Hall noted. The achievement reflects the execution-focused approach adopted throughout the year, positioning the natural gas company for enhanced production capacity going forward.
Egypt Operations Show Recovery Signs
Meanwhile, the Egyptian assets demonstrated measurable improvement following years of natural production decline. The company’s drilling program execution enabled stabilized output levels, marking an essential step toward restoring the Egypt portfolio to its proper trajectory.
Additionally, Dana Gas secured enhanced financial conditions for its Egyptian investments, facilitating renewed capital deployment. The improved terms allowed the natural gas producer to overcome previous constraints that had limited operational investment in the region.
Market Conditions and Commodity Pricing
The revenue performance reflects broader energy market dynamics during 2025. Lower Brent crude pricing throughout the year created headwinds for gas pricing formulas tied to oil benchmarks, a common structure in Middle Eastern gas contracts.
In contrast to the pricing challenges, operational achievements in both Iraq and Egypt positioned Dana Gas to capitalize on improved production fundamentals. The combination of the Khor Mor expansion capacity and stabilized Egyptian output creates a stronger operational foundation moving forward.
Outlook for Current Fiscal Year
Hall expressed optimism regarding anticipated results for the current fiscal year. The executive highlighted that foundational work completed in 2025, particularly the Khor Mor expansion commissioning and Egyptian production stabilization, sets the stage for improved performance.
The company anticipates benefits from full-year contribution of the expanded Khor Mor facility alongside sustained Egyptian production levels. However, financial outcomes will remain subject to global commodity price fluctuations and operational execution across both key geographic portfolios.
Dana Gas has not yet announced a specific date for releasing audited annual financial statements. Market observers expect the company to provide additional operational guidance and detailed financial breakdowns once the audit process concludes in the coming weeks.
