Shares in Harbour Energy took a hit on Thursday as the North Sea producer reported an annual loss, causing the stock to plummet by over eleven per cent in early trading.
The London-listed firm posted losses of $93m (£72.1m), a significant drop from the previous year's profit of $45m, as reported by .
North Sea producers have been vocal in their criticism of the º£½ÇÊÓƵ's windfall tax, which imposes an additional 38 per cent levy on oil and gas profits.
This tax was implemented following the surge in energy prices after Russia's invasion of Ukraine in 2022.
However, plans to phase out this tax by 2030 were announced by the Labour government on Wednesday.
Harbour Energy's post-tax loss reflects an effective tax rate of 108 per cent, up from 93 per cent in 2023.
Despite this, the company saw a roughly 40 per cent increase in wider production year-on-year, largely due to its £8.7bn acquisition of Wintershall Dea's oil-and-gas assets from German chemical firm BASF.
The company has proposed a final dividend of 13.19 cents per share, a slight increase from the previous year's 13 cents per share.
"2024 was a transformational year with the completion of the Wintershall Dea transaction, our fourth significant transaction since 2017," said Chief Executive Linda Z Cook.
"As a result, we achieved a step change in the scale, resilience and longevity of our business underpinning the potential for material free cash flow generation well into the next decade. At the same time, we delivered another year of solid operational and financial performance."
Cook stated: "Looking to 2025, we have had a strong start to the year. We continue to prioritise safe and efficient operations, mature our significant 2C resource base and maintain disciplined capital allocation."
She further added, "We remain excited about our future and look forward to realising the potential of our company for all our stakeholders."
