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Maha Energy: Needs to deliver - ABG

Q3 in line
Will hopefully meet current guidance
Discounts oil at USD 48/bbl

Maha reported Q3 production of 3.6kboe/d, close to ABGSCe at 3.7kboe/d. The reported EBITDA came in at USD 12.9m, in line with ABGSCe at USD 12.9m and close to consensus at USD 13.1m. FCF and NIBD were also close to expectations. We make no material estimate revisions.

We estimate that Maha discounts oil at around USD 48/bbl. However, given the series of negative guidance revisions we think Maha will have to start beating its guidance in order to fully regain traction in the capital market.
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