Capital risk management
The Company’s objectives when managing its capital structure are to safeguard the Company’s ability to continue as a going concern in order to provide returns for shareholders and to optimize the Company’s cost of capital while ensuring diversification of sources of external funds.
The Company mainly uses its corporate revolving credit facility (RCF, US$1.1 billion) and supply-chain financing (SCF, US$260 million) to bridge financing requirements on projects under construction.
As per December 31, 2025, all the debt associated with operating FPSOs is non-recourse.
The Company does not maintain a target net leverage ratio and continuously monitors prepayment and refinancing opportunities in its project finance facilities to optimize its capital structure. As such, from time to time, it may decide to refinance existing facilities based on the project specific circumstances and financial market conditions.
The gearing ratios at December 31, 2025, and December 31, 2024, were as follows:
Capital risk management
2025 | 2024 | |
|---|---|---|
Total borrowings and lease liabilities | 9,155 | 8,943 |
Less: net cash and cash equivalents | 1,086 | 806 |
Net debt | 8,068 | 8,137 |
Total equity | 6,482 | 5,844 |
Total capital | 14,550 | 13,981 |
Gearing ratio | 55.5% | 58.2% |