Rex International Holding says it expects to report a net loss for the FY2025 ended Dec 31, 2025. The losses mainly stem from “significant technical complications” from the drilling operations in Benin, which resulted in a “material increase” in drilling costs. The complications have also delayed production by several months in 2HFY2025.
In a separate announcement the same day, Rex’s subsidiary, Lime Petroleum Holdings, says it is considering “available alternatives” including potential mergers or asset transactions; amendments to its existing debt facilities and a broader financial restructuring, to bolster its balance sheet and secure a sustainable capital structure. The company has appointed ABG Sundial Collier as financial advisor and Arntzen Grette as legal counsel to undertake a comprehensive strategic and financial review.
Rex adds that the higher costs and production delays from the Benin complicationshave had a “material adverse effect” on Lime Petroleum’s financial position. The company’s management team are taking “all appropriate actions to safeguard creditor interests and maximise recoveries,” it says.
Rex expects to report its full-year results on or before Feb 27.
As at 10.43am, shares in Rex International are trading 0.3 cents higher or 2.07% up at 14.8 cents.
