Harbour Energy (LSE:HBR) shares were on the back foot on Thursday, weighed by a softer oil price, albeit the morning's trading update had a sufficiently upbeat read.
The UK oil and gas firm today raised its 2026 free cash flow forecast by $800m to around $2.6bn, and announced a further $150m share buyback.
It highlighted that record production and higher oil and gas prices helped double nine-month free cash flow to $2.4bn.
Output rose 6% to an average of 501,000 barrels of oil equivalent a day in the nine months to 30 September.
The LLOG acquisition in the US and the Waldorf deal in the UK more than offset asset sales in Indonesia and Vietnam and declining UK production.
Harbour now expects full-year output of 500,000 to 505,000 barrels of oil equivalent a day, up from 490,000 to 500,000.
Revenue rose 29% to $9.8bn as Harbour received an average of $85 a barrel for its oil after hedging, up from $71 a year earlier. Net debt fell to $5.1bn at the end of September from $5.4bn at the end of June.
Harbour expects to return at least $1.2bn to shareholders for 2026, including a $300m annual dividend.
The latest buyback brings the total announced this year to $550m.
In London, Harbour shares traded 4.29% lower on Thursday afternoon, changing hands at 268p.
