After strong dividend yields? Look at these 3 ASX energy shares

These ASX stocks were the top dividend payers in 2025. And this year?

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These 3 energy shares were in the top of ASX dividend payers in 2025.

Yancoal Australia Ltd (ASX: YAL), New Hope Corporation Ltd (ASX: NHC) and Beach Energy Ltd (ASX: BPT) paid their shareholders strong dividends, even record ones.

Let's have a look at their dividend policy and what's to come.

Yancoal Australia Ltd (ASX: YAL)

At current prices, Yancoal tops the ASX 200 dividend yield table. With shares trading at $5.46 at the time of writing, the miner has been returning significant cash to shareholders. The result is a standout trailing dividend yield of 11%, fully franked, well ahead of the banks, telcos and energy majors.

Yancoal Australia ranks among Australia's biggest coal producers. The energy share has operations spread across New South Wales, Queensland and Western Australia.

Yancoal's generosity stems from its dividend framework, which targets payouts equal to the higher of 50% of net profit or 50% of free cash flow. The board, however, keeps full discretion and can rein in distributions if market conditions deteriorate.

That caveat matters. Yancoal's dividends rise and fall with coal prices, and yields at current levels are unlikely to persist through the cycle.

Even so, analysts remain broadly positive. The consensus 12-month price target sits near $5.95, pointing to potential upside of about 10%. Combined with dividends, total returns could approach 20% over the year.

Beach Energy Ltd (ASX: BPT)

Last year was a bonanza when it came to payouts from this ASX energy share. Shareholders received 9 cents per share in total dividend income. That gives it a 7.5% dividend yield at Beach's current share price of $1.20.

This record payout for Beach shareholders was an exception. Between 2017 and 2022, the annual total came to just 2 cents per share and in 2023 and 2024 it was 4 cents per share.

It proves that no ASX dividend stock offers guaranteed income. Energy shares especially are vulnerable to swings in passive income, with payouts rising and falling more sharply than most other parts of the market.

If the global oil price falls, for example, Beach's profits take an immediate hit. As it happens, many analysts are predicting that Beach will indeed be forced to slash its payouts next year.

Most brokers don't see much growth ahead for the ASX energy stock. Most predictions are below the last share price. Analysts at RBC for instance expect Beach Energy shares to fall to $1.05 compared with $1.20 currently.

New Hope Corporation Ltd (ASX: NHC)

New Hope has not escaped the recent slump in global coal prices, with its share price sliding in response. Yet income investors are still paying attention. At the current price of $4.33 a share, the energy stock offers a fully franked dividend yield of roughly 8.1%.

The question is whether that yield represents value or compensation for coal-price risk.

Operationally, New Hope remains a well-established producer, anchored by the Bengalla mine in NSW and New Acland in Queensland. Management continues to emphasise low-cost operations, diversification and disciplined execution despite softer pricing.

Dividends are carrying the investment case. A dividend reinvestment plan is now in place, and management says distributions remain the primary return lever. Shareholders received 34 cents fully franked over the past year, cushioning recent capital losses.

Broker sentiment is mixed. Some see upside above $4.50 if coal prices rebound. Others remain cautious, with Macquarie downgrading the stock and warning prices could fall further.

Motley Fool contributor Marc Van Dinther has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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