Back 07 Jul 2026

Geo Energy Commences Share Buyback Program, Underscoring Confidence in its Strong Business Fundamentals and Long-Term Prospects

  • On 7 July 2026, the Company commenced its new share buyback program in accordance with the share buyback authority approved by shareholders, with a first purchase of 637,500 shares from the open market, representing approximately 6.7% of the 9,410,100 shares traded for the day, at an average price of S$0.519.

  • The above share buyback marks the start of a series of share buybacks that the Group intends to undertake in the near future.
     
  • The share buyback reflects the undervalued nature of our current share price, particularly given that the Group is on the cusp of commencing operations at the Group’s transformational asset, PT Marga Bara Jaya (“MBJ”) Integrated Infrastructure. The Group had previously signed a term sheet and continues to be in discussions with Resource Invest AG to finalise a substantial investment in MBJ at a valuation of US$1.5 billion.

  • Coal prices remain bullish, with the Indonesian Coal Index 4200 GAR price averaging at US$63.88 per tonne for the quarter ending 30 June 2026 compared to the average of US$52.38 per tonne for the quarter ending 31 March 2026. Coal prices have been forecasted to become stronger with prices between US$65 – US$70 per tonne , with long-term increased demand already being seen in China , India and Japan.
Commenting on the commencement of the share buyback program, Mr Charles Antonny Melati, Executive Chairman & Chief Executive Officer of the Group, said:
 
“We remain committed to delivering sustainable long-term value for our shareholders through disciplined capital allocation and consistent execution of our growth strategy.
 
Commencing this buyback program is a natural step to take given the continued undervaluation of our current share price. It shows our confidence in the strength of the Group’s business model and strategies as well as our commitment to enhancing value for our shareholders.
 
The completion of MBJ will allow the Group to ramp up its coal production to 25 million tonnes per annum, enjoy logistical cost savings of over US$10 per tonne as well as generating third-party infrastructure revenue streams. There are over 2 billion tonnes of coal reserves surrounding the MBJ infrastructure and we have the only available private road and jetty that can unlock these huge reserves.
 
Looking ahead, the Board and I are excited at the Group’s prospects, with the transformational strong operating fundamentals in the near future as we complete the MBJ infrastructure this month as well as driving sustainable growth through further investments such as the diversification into the premium coking coal segment. With this, we believe the Group is well positioned to generate and deliver attractive long-term returns for our shareholders.”