Hassan Badrawi, CEO of OCI Global commented:
"OCI continued to deliver on key strategic milestones in the period, including the successful closing of the sale of OCI's global methanol business to Methanex Corporation on 27 June. With this closing, total gross proceeds resulting from the strategic review reached USD 11.6 billion. Consistent with the company's stated commitments, OCI has distributed USD 1.7 billion to shareholders year to date through repayments of capital and normal cash dividends, bringing total distributions to shareholders to approximately USD 7 billion over the last four years. The company has also fully retired its 2033 bonds, completing the repayment of all its outstanding debt.
Our remaining European portfolio is well positioned for future performance following some major turnarounds and maintenance works in the period, and the undertaking of several energy efficiency and reliability initiatives, all of which will serve to reinforce its first quartile cost positioning in Europe. Combined with an improved outlook for natural gas prices, stabilising commodity prices, and increased regulatory support through the recent introduction of progressive tariffs on Russian fertilizer imports, our facilities are competitively placed on the continent and for future positive performance. We have progressed our strategic review for the European distribution and production assets and expect to share further updates by year-end, including the potential sale of these assets.
Looking ahead, we maintain our disciplined focus on the completion of Beaumont New Ammonia, with construction today largely complete and the project now in its pre-commissioning and commissioning phases. We expect first ammonia production later this year, with handover to Woodside anticipated during Q1 2026. We estimate our total expected investment cost to increase to approximately USD 1.65 billion by completion.
Finally, we announced that OCI and Orascom Construction PLC are pursuing a potential combination to establish a scalable infrastructure and investment platform anchored in Abu Dhabi, with global reach. The contemplated Combination would unite Orascom's world-class engineering, procurement and construction capabilities with OCI's institutional investment platform, transaction expertise, and proven track record of disciplined capital allocation. A reinforced balance sheet would provide significant financial firepower for investment in large-scale infrastructure opportunities across multiple channels globally, while the combined company would leverage Orascom's long-standing track record in the infrastructure space, and afford access to an infrastructure opportunities pipeline spanning multiple industries including digital, aviation, transportation, power and water. Looking ahead to this new chapter in OCI's journey, we believe the contemplated fusion of capital and industry expertise will allow us to strengthen and grow a diversified platform from which we can create sustainable value for our shareholders."
Financial Highlights
H1 2025 Key Highlights
• OCI Global (Euronext: OCI) reported H1 2025 Total Operations (Continuing and Discontinued Operations) revenue of USD 1,061 million.
• OCI reported H1 2025 Continuing Operations (European Nitrogen and Corporate Entities segments) revenue of USD 567 million, an 11% increase YoY and H1 2025 Continuing Operations adjusted EBITDA of USD 1 million, compared to USD 7 million in H1 2024.
• European Nitrogen, OCI's sole operating asset within Continuing Operations reported H1 2025 adjusted EBITDA of USD 21 million compared to USD 48 million in H1 2024. Notwithstanding higher product prices and an increase in revenue YoY, H1 2025 operational profitability was challenged by a 38% YoY increase in European gas prices, together with lower sales volumes on account of plant outages during the period.
• OCI made considerable progress in reducing its corporate cost base during H1 2025. Underlying corporate costs excluding one-offs at Corporate Entities in H1 2025 were USD 20 million, compared to USD 41 million in H1 2024.
• Reported net profit attributable to shareholders from Total Operations was USD 343 million in H1 2025. The reported net profit in H1 2025 reflects a USD 688 million gain from the sale of OCI Methanol. Reported net loss attributable to shareholders from Continuing Operations was USD 331 million in H1 2025 compared to a reported net loss of USD 167 million in H1 2024, driven largely by non-cash foreign exchange losses, Beaumont Clean Ammonia project spend, and debt modification adjustments linked to the early repayment of the 2033 bonds at a premium.
• The adjusted net loss attributable to shareholders from Total Operations was USD 30 million in H1 2025. For Continuing Operations, the adjusted net loss attributable to shareholders was USD 46 million in H1 2025 compared to an adjusted net loss of USD 104 million in H1 2024.
Free Cash Flow and Net Debt Highlights
• Operating free cash outflow from Continuing Operations was USD 83 million in H1 2025, compared to USD 70 million in H1 2024. European Nitrogen was cash flow positive in the period, albeit negatively impacted by higher maintenance capex and lost production from planned maintenance and plant outages. The overall Continuing Operations cash outflow reflects exceptional costs incurred at the Corporate Entities segment related to the strategic review and ongoing cost optimization initiatives.
• Total project spend for the Beaumont New Ammonia project in H1 2025 amounted to USD 336 million, while total project spend as of 30 June 2025 was USD 1,290 million. OCI now expects the total investment cost through Project Completion in Q1 2026 to be approximately USD 1.65 billion, including contingencies. From an accounting perspective, project expenditures following the 30 September 2024 transaction close date are recorded as payments against a liability.
• Net cash from Continuing Operations was USD 1,030 million on 30 June 2025. The USD 340 million decrease in net cash from 31 December 2024 primarily represents movements including proceeds received from the sale of OCI Methanol, and outflows relating to the USD 1 billion shareholder distribution in May 2025, Beaumont New Ammonia project spend, and operating free cash outflow.
Key Strategic and Business Highlights
H1 2025 has been another busy period for OCI, characterized by disciplined transaction execution related to the strategic review, and a continued focus on right sizing our balance sheet and returning capital to shareholders.
• On 27 June 2025, OCI successfully closed the sale of its global methanol business, OCI Methanol, to Methanex Corporation. The transaction was valued at USD 1.6 billion, comprising USD 1.3 billion of cash and the issuance of 9.9 million common shares of Methanex, valued at USD 346 million and representing 12.9% of total share ownership. The disposal crystallises significant value for OCI, further strengthens the company's net-cash position and provides strategic optionality through an equity stake in the enlarged Methanex platform.
• OCI returned USD 1 billion of cash to shareholders through an extraordinary distribution made on 7 May 2025. Following the Methanex sale, OCI made a further USD 700 million distribution (USD 3.31 per share) to shareholders on 5 September 2025 through a mix of capital repayment and extraordinary cash dividend. Cumulatively, OCI has distributed approximately USD 7 billion since resuming dividend payouts in 2022.
• Following completion of the OCI Methanol transaction, OCI formally concluded the tender process on the 2033 bonds. 100% of the principal on the bond was called at a price of 110.75% for a total cash amount of USD 680.2 million, including USD 15.7 million of accrued interest. Payment was settled on 7 August 2025.
• As part of its strategic review, OCI can confirm that it has progressed discussions with potential buyers regarding its European Nitrogen assets, which may result in a sale by year-end.
• OCI and Orascom Construction PLC (ADX and EGX: ORAS, "Orascom Construction") announced on 22 September that they are pursuing a potential merger of OCI and Orascom Construction (the "Combination", the "Combined Company"). The contemplated Combination would establish a scalable infrastructure and investment platform anchored in Abu Dhabi, with global reach. OCI's independent directors have retained Rothschild & Co as financial advisor to provide a fairness opinion, and De Brauw Blackstone Westbroek as legal counsel.
Download full press release:
https://live.euronext.com/sites/default/files/company_press_releases/attachments/2025/09/25/Connect_h12025-results-report.pdf
"OCI continued to deliver on key strategic milestones in the period, including the successful closing of the sale of OCI's global methanol business to Methanex Corporation on 27 June. With this closing, total gross proceeds resulting from the strategic review reached USD 11.6 billion. Consistent with the company's stated commitments, OCI has distributed USD 1.7 billion to shareholders year to date through repayments of capital and normal cash dividends, bringing total distributions to shareholders to approximately USD 7 billion over the last four years. The company has also fully retired its 2033 bonds, completing the repayment of all its outstanding debt.
Our remaining European portfolio is well positioned for future performance following some major turnarounds and maintenance works in the period, and the undertaking of several energy efficiency and reliability initiatives, all of which will serve to reinforce its first quartile cost positioning in Europe. Combined with an improved outlook for natural gas prices, stabilising commodity prices, and increased regulatory support through the recent introduction of progressive tariffs on Russian fertilizer imports, our facilities are competitively placed on the continent and for future positive performance. We have progressed our strategic review for the European distribution and production assets and expect to share further updates by year-end, including the potential sale of these assets.
Looking ahead, we maintain our disciplined focus on the completion of Beaumont New Ammonia, with construction today largely complete and the project now in its pre-commissioning and commissioning phases. We expect first ammonia production later this year, with handover to Woodside anticipated during Q1 2026. We estimate our total expected investment cost to increase to approximately USD 1.65 billion by completion.
Finally, we announced that OCI and Orascom Construction PLC are pursuing a potential combination to establish a scalable infrastructure and investment platform anchored in Abu Dhabi, with global reach. The contemplated Combination would unite Orascom's world-class engineering, procurement and construction capabilities with OCI's institutional investment platform, transaction expertise, and proven track record of disciplined capital allocation. A reinforced balance sheet would provide significant financial firepower for investment in large-scale infrastructure opportunities across multiple channels globally, while the combined company would leverage Orascom's long-standing track record in the infrastructure space, and afford access to an infrastructure opportunities pipeline spanning multiple industries including digital, aviation, transportation, power and water. Looking ahead to this new chapter in OCI's journey, we believe the contemplated fusion of capital and industry expertise will allow us to strengthen and grow a diversified platform from which we can create sustainable value for our shareholders."
Financial Highlights
H1 2025 Key Highlights
• OCI Global (Euronext: OCI) reported H1 2025 Total Operations (Continuing and Discontinued Operations) revenue of USD 1,061 million.
• OCI reported H1 2025 Continuing Operations (European Nitrogen and Corporate Entities segments) revenue of USD 567 million, an 11% increase YoY and H1 2025 Continuing Operations adjusted EBITDA of USD 1 million, compared to USD 7 million in H1 2024.
• European Nitrogen, OCI's sole operating asset within Continuing Operations reported H1 2025 adjusted EBITDA of USD 21 million compared to USD 48 million in H1 2024. Notwithstanding higher product prices and an increase in revenue YoY, H1 2025 operational profitability was challenged by a 38% YoY increase in European gas prices, together with lower sales volumes on account of plant outages during the period.
• OCI made considerable progress in reducing its corporate cost base during H1 2025. Underlying corporate costs excluding one-offs at Corporate Entities in H1 2025 were USD 20 million, compared to USD 41 million in H1 2024.
• Reported net profit attributable to shareholders from Total Operations was USD 343 million in H1 2025. The reported net profit in H1 2025 reflects a USD 688 million gain from the sale of OCI Methanol. Reported net loss attributable to shareholders from Continuing Operations was USD 331 million in H1 2025 compared to a reported net loss of USD 167 million in H1 2024, driven largely by non-cash foreign exchange losses, Beaumont Clean Ammonia project spend, and debt modification adjustments linked to the early repayment of the 2033 bonds at a premium.
• The adjusted net loss attributable to shareholders from Total Operations was USD 30 million in H1 2025. For Continuing Operations, the adjusted net loss attributable to shareholders was USD 46 million in H1 2025 compared to an adjusted net loss of USD 104 million in H1 2024.
Free Cash Flow and Net Debt Highlights
• Operating free cash outflow from Continuing Operations was USD 83 million in H1 2025, compared to USD 70 million in H1 2024. European Nitrogen was cash flow positive in the period, albeit negatively impacted by higher maintenance capex and lost production from planned maintenance and plant outages. The overall Continuing Operations cash outflow reflects exceptional costs incurred at the Corporate Entities segment related to the strategic review and ongoing cost optimization initiatives.
• Total project spend for the Beaumont New Ammonia project in H1 2025 amounted to USD 336 million, while total project spend as of 30 June 2025 was USD 1,290 million. OCI now expects the total investment cost through Project Completion in Q1 2026 to be approximately USD 1.65 billion, including contingencies. From an accounting perspective, project expenditures following the 30 September 2024 transaction close date are recorded as payments against a liability.
• Net cash from Continuing Operations was USD 1,030 million on 30 June 2025. The USD 340 million decrease in net cash from 31 December 2024 primarily represents movements including proceeds received from the sale of OCI Methanol, and outflows relating to the USD 1 billion shareholder distribution in May 2025, Beaumont New Ammonia project spend, and operating free cash outflow.
Key Strategic and Business Highlights
H1 2025 has been another busy period for OCI, characterized by disciplined transaction execution related to the strategic review, and a continued focus on right sizing our balance sheet and returning capital to shareholders.
• On 27 June 2025, OCI successfully closed the sale of its global methanol business, OCI Methanol, to Methanex Corporation. The transaction was valued at USD 1.6 billion, comprising USD 1.3 billion of cash and the issuance of 9.9 million common shares of Methanex, valued at USD 346 million and representing 12.9% of total share ownership. The disposal crystallises significant value for OCI, further strengthens the company's net-cash position and provides strategic optionality through an equity stake in the enlarged Methanex platform.
• OCI returned USD 1 billion of cash to shareholders through an extraordinary distribution made on 7 May 2025. Following the Methanex sale, OCI made a further USD 700 million distribution (USD 3.31 per share) to shareholders on 5 September 2025 through a mix of capital repayment and extraordinary cash dividend. Cumulatively, OCI has distributed approximately USD 7 billion since resuming dividend payouts in 2022.
• Following completion of the OCI Methanol transaction, OCI formally concluded the tender process on the 2033 bonds. 100% of the principal on the bond was called at a price of 110.75% for a total cash amount of USD 680.2 million, including USD 15.7 million of accrued interest. Payment was settled on 7 August 2025.
• As part of its strategic review, OCI can confirm that it has progressed discussions with potential buyers regarding its European Nitrogen assets, which may result in a sale by year-end.
• OCI and Orascom Construction PLC (ADX and EGX: ORAS, "Orascom Construction") announced on 22 September that they are pursuing a potential merger of OCI and Orascom Construction (the "Combination", the "Combined Company"). The contemplated Combination would establish a scalable infrastructure and investment platform anchored in Abu Dhabi, with global reach. OCI's independent directors have retained Rothschild & Co as financial advisor to provide a fairness opinion, and De Brauw Blackstone Westbroek as legal counsel.
Download full press release:
https://live.euronext.com/sites/default/files/company_press_releases/attachments/2025/09/25/Connect_h12025-results-report.pdf
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