SPARTAN DELTA CORP. ANNOUNCES THIRD QUARTER 2025 RESULTS AND OPERATIONS UPDATE

Executive Summary

• Spartan Delta Corp. reported unaudited Q3 2025 production of 43,193 BOE/d (39% liquids), a 17% YoY increase and 12% QoQ increase versus the prior quarter.
• Oil‑and‑gas sales rose 61% YoY to C$82.7 M, generating Adjusted Funds Flow of C$50.4 M (C$0.25 per share basic).
• The company increased its total credit capacity from C$250 M to C$450 M and remains well‑capitalized with Net Debt of C$178.9 M (0.9× annualized Adjusted Funds Flow).

Key Details

• Production & Drilling Activity
• Total wells drilled in Q3: 6.0 (5.7 net); completed: 8.0 (7.7 net); on‑stream: 10.0 (8.5 net).
• Duvernay (West Shale Basin): 3.0 net wells drilled, 4.0 net wells completed, 6.0 net wells on‑stream.
  • Pad 02‑22‑042‑03W5: IP30 1,627 BOE/d, 80% liquids; IP90 1,312 BOE/d, 79% liquids.
  • Pad 07‑15‑044‑03W5: IP30 1,482 BOE/d, 85% liquids.
  • Pad 04‑20‑041‑03W5: 3 net wells slated for late‑Nov on‑stream.

• Deep Basin: 3.0 (2.7 net) wells drilled; 4.0 (3.7 net) wells completed & on‑stream.

  • Viking pad IP30 1,746 BOE/d, 65% liquids.
  • Falher pads IP30 1,473 BOE/d, 34% liquids; IP60 1,348 BOE/d.
  • Wilrich pad IP30 1,358 BOE/d, 28% liquids; IP60 1,628 BOE/d.

• Financial Highlights

• Oil & gas sales: C$82,744 k (+37% YoY).
• Net income: C$5,331 k (+51% YoY).
• Adjusted Funds Flow: C$50,365 k (+61% YoY), C$0.25 per share basic.
• Cash provided by operating activities: C$53,994 k (+54% YoY).
• Capital expenditures (before A&D): C$105.1 M, ~80% on drilling/completion/tie‑ins.

• Net Debt: C$178.9 M (0.9× annualized Adjusted Funds Flow).

• Pricing & Hedging

• Realized crude oil price: US$84.14/bbl (down 13% YoY).
• Natural gas price: US$0.82/mcf (up 8%).
• Hedged Q4 2025 natural gas: 98,880 GJ/d at C$2.35/GJ.

• Hedged crude oil & condensate: 3,149 bbl/d at US$97.77/bbl.

• Credit Facility

• On Oct 7 2025 increased total credit capacity to C$450 M (from C$250 M).

• Guidance Outlook

• Company expects to meet or exceed the high‑end of its 2025 production guidance range (39,000–41,000 BOE/d) and will release 2026 operating budget/guidance before annual results.
• Ongoing acquisition of additional Duvernay acreage; net holdings now 421,000 net acres (68% increase YoY).

Notable Quotes

• “Our strong Q3 performance underscores the effectiveness of our disciplined capital allocation and cost‑reduction initiatives, positioning us well to deliver on our 2025 production targets and pursue growth in both the Duvernay and Deep Basin,” – Fotis Kalantzis, President & CEO.

Materiality Assessment: Material – Positive (significant earnings uplift, production increase, credit facility expansion).