Highwood's Wilson wells return 2,400 boe/d for 3 weeks

Executive Summary

• Highwood Asset Management Ltd. reports successful completion and initial production results from two new wells (102/13-043-06W5 and 100/11-042-05W5) at its Wilson Creek operations, drilled in Q4 2025.
• The wells achieved a 50-day cycle time with capital costs 10% below budget. Initial production averages 1,700 bbl/d light oil and 2,400 boe/d combined, with strong individual well performance observed over the first 10 days.
• The company projects the wells will pay out in fewer than three months with recycle ratios exceeding 3.5 at current strip pricing, reinforcing confidence in the Basal Belly River play inventory.

Key Details

• Well Completion: Two gross (approx. 1.8 net) locations drilled in Q4 2025:
  • Well 1: 102/13-043-06W5
  • Well 2: 100/11-042-05W5
• Construction Metrics:
  • Cycle time: Approximately 50 days.
  • Capital costs: Approximately 10% below budget.
• Initial Production Performance (First 3 Weeks):
  • Combined Average: 1,700 bbl/d light oil and 2,400 boe/d (85% liquids).
  • Breakdown: 1,450 bbl/d and 1,950 boe/d net.
• Recent Production Performance (Past 10 Days):
  • Well 13-02:
    • Gross: 900 bbl/d light oil, 1,500 boe/d.
    • Net: 698 bbl/d light oil, 1,163 boe/d.
  • Well 11-33:
    • Gross: 900 bbl/d light oil, 1,110 boe/d.
    • Net: 900 bbl/d light oil, 1,110 boe/d.
• Financial Projections:
  • Payback period: Fewer than three months.
  • Projected recycle ratios: Greater than 3.5 at current strip pricing.
• Inventory & Corporate Status:
  • Wilson Creek Inventory: 16.5 net booked and 13 net unbooked locations.
  • Total Company Production: Greater than 6,300 boe/d.
  • Q1 2026 Plan: Drill one to three additional wells in the Basal Belly River horizon, dependent on market conditions.