Inpex lifts annual profit outlook to record on oil prices, LNG output

Japanese oil and gas explorer Inpex Corp has lifted its full-year profit guidance to a record level, citing firmer crude prices and strong performance at its Ichthys LNG project in Australia.

The company now expects net profit of up to 510 billion yen ($3.22 billion) for the year, a rise of as much as 46% from its previous forecast of 350 billion to 450 billion yen issued in May. For the first half of the year, Inpex booked a 17.7% increase in net profit to 263 billion yen.

Alongside the upgraded outlook, Inpex raised its full-year dividend forecast to 112 yen per share from 108 yen and announced a share buyback of up to 50 million shares, worth about 140 billion yen.

Senior Executive Vice President Toshiaki Takimoto said crude oil sales from Abu Dhabi in the United Arab Emirates fell by roughly 30% year on year in the six months to June 30, due to the Iran war. Despite the drop, the company still plans to invest in boosting production in the region, he added.

Shipments from the Ichthys project have remained smooth and are expected to exceed 120 cargoes this year, Takimoto said. One train at the project will undergo planned maintenance for about a month and a half starting mid-July 2027.

Inpex also said it remains on track to make a final investment decision on the Abadi LNG project in Indonesia in mid-2027.