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TALO News
TALO Events
Talos Reports Q2 Revenue of $664.81M, Exceeding Expectations
Reports Q2 revenue $664.81M, consensus $578.5M. "The second quarter marked another meaningful step forward in the execution of our strategy and reinforces our confidence in the long-term value creation opportunities ahead," said Paul Goodfellow, President and Chief Executive Officer of Talos. "We advanced all three pillars of our strategic framework as we continue to build a long-lived, scaled portfolio by expanding our deepwater scale, enhancing our development inventory through greenfield opportunities, and adding large-scale exploration potential at low entry cost. At the same time, our teams continued delivering on the Optimal Performance Plan, achieving more than 65% of the 2026 target in the first half of the year and demonstrating our relentless focus on operational excellence, cost discipline and value creation."
Talos Energy Signs Agreement to Acquire 50% Interest in Block 29 Offshore Mexico
Talos Energy announced the execution of a definitive agreement to farm into the Block 29 development offshore Mexico, operated by Repsol, S.A. Talos will acquire a 50% working interest for a contingent $30M payment at final investment decision, a cash carry of up to $20M on the next exploration well, and reimbursement of certain pre-closing costs. The acquired assets include a 50% working interest in Block 29, located in the Salinas-Sureste Basin in the southern Gulf of Mexico, an area that has seen more than a dozen deepwater discoveries. Operated by Repsol, terms include a contingent $30M payment if Talos elects to take a FID, a cash carry of up to $20M on the next exploration well, and reimbursement of certain pre-closing costs, subject to customary terms, conditions, and closing adjustments. Upon closing, Talos will hold a 50% working interest and, together with Repsol, will be the sole participants in the block. Block 29 contains the Polok and Chinwol oil discoveries, which together are estimated to contain more than 200 MMBoe of gross recoverable resource, along with multiple additional exploration prospects. The partners expect to progress the project toward FID in 2027. The transaction is subject to approval by Mexico's Secretaria de Energia and the National Anti-trust Commission of Mexico.
Talos Energy Partners with Shell to Acquire Deepwater Assets for $850M
Talos Energy (TALO) announced the execution of a definitive agreement to jointly acquire certain deepwater assets in the Gulf of America from Shell (SHEL) Offshore, alongside an affiliate of Ridgewood Energy Corporation, for cash consideration of $850M, subject to customary purchase price adjustments. Talos expects its final net cash consideration to be approximately $450M-$500M, based upon estimated interim cash flow from the acquired assets from the July 1, 2025 Acquisition effective date. The acquired assets include a 50% working interest and operatorship in the Coulomb field owned exclusively by Shell and a 25% non-operated working interest in the BP-operated Na Kika platform and four associated fields, including Kepler, Ariel, Fourier, and Herschel. Upon executing definitive agreements, Talos provided a deposit of $42.5 million in escrow, to be credited at close. Based upon estimated interim cash flow from the acquired assets from the July 1, 2025 Acquisition effective date, Talos expects its final net cash consideration to be approximately $450M-$500M, excluding the deposit. The working interests in the BP-operated Na Kika platform and associated fields are subject to a 30-day preferential right by affiliates of BP (BP), which, if exercised, would result in Talos only acquiring a 50% working interest and operatorship in the Coulomb field. First quarter 2026 average production for the interests Talos is acquiring was approximately 16 MBoe/d (77% oil). The acquired assets include approximately 23 MMBoe of proved reserves and probable reserves of 10 MMBoe, based on NSAI SEC year-end 2025 reserves report, net to Talos and net of P&A. Other commercial terms of the agreement include a 50% upside sharing agreement effective at closing through year-end 2027 subject to commodity-price-based thresholds if realized price exceeds $60/Bbl as well as certain other contingencies and agreements. The Acquisition is expected to close by the end of 2026, subject to customary closing conditions, including the expiration or termination of the waiting period under the Hart-Scott-Rodino Antitrust Improvements Act of 1976 and the expiration of applicable preferential purchase rights with respect to applicable Na Kika interests.
Talos Q1 Revenue $472.31M Exceeds Expectations
Reports Q1 revenue $472.31M, consensus $447.92M. "Amid significant macro volatility, Talos remains firmly focused on executing the 2026 plan that we outlined earlier this year, anchored by our disciplined capital allocation framework," said Paul Goodfellow, President and Chief Executive Officer of Talos. "We delivered strong first quarter results underpinned by comprehensive execution across the business - oil production at the high-end and total equivalent production exceeding guidance, efficient drilling and completion performance, strong free cash generation at a low reinvestment rate, and consistent with our track record we returned capital to shareholders through share repurchases. Over the last four quarters since announcing our return of capital framework, we've executed $135 million of share repurchases driving per share growth through a 7% reduction to our outstanding share count."
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