Kelt talks start-up of Albright gas plant, Wembley

Executive Summary

• Kelt Exploration Ltd. confirms that the third-party Albright gas plant, located near its Wembley/Pipestone lands in Alberta, has completed commissioning and commenced operations.
• The company has initiated gas deliveries to the plant and expects to gradually increase volumes as the facility stabilizes during its start-up phase.
• Due to the delayed start-up of the Albright plant and previous production shut-ins caused by low AECO prices, Kelt expects its 2025 annual average production guidance to be reduced by 3% to 5% from the previous low-end forecast of 42,000 BOE per day.

Key Details

• Plant Status: Albright gas plant, owned and operated by CSV Midstream Solutions Corp., has finalized commissioning and commenced operations.
• Delivery Status: Kelt has started delivering gas to Albright and plans to increase deliveries as the plant works through start-up operations.
• Production Guidance Update:
  • Previous low-end forecast for 2025 average daily production: 42,000 BOE per day.
  • New expected reduction: 3% to 5% from the previous low-end guidance.
  • Updated guidance will be provided during the third-quarter earnings release on November 13, 2025.
• Wembley/Pipestone Division Production:
  • Average production for the seven months ended July 31, 2025: ~14,300 BOE per day (55% oil/NGLs, 45% gas).
  • Expected production range post-Albright start-up: 23,000 to 25,000 BOE per day.
• Market Conditions & Shut-ins:
  • Kelt previously shut-in approximately 60 MMcf per day of relatively dry gas for ~15 days due to low to negative AECO prices.
  • Shut-in production has been brought back on-stream following a strong recovery in AECO prices.
  • November 2025 AECO contract trading near $2.45/GJ.
  • December 2025 AECO contract trading near $3.25/GJ.

Notable Quotes

• "CSV has informed Kelt that it has finalized commissioning and has now commenced operations at Albright."
• "Kelt has initiated deliveries of gas to the plant and expects to gradually increase deliveries as the plant works through its start-up operations."
• "Kelt will monitor the rate at which it can increase deliveries to Albright over the coming days and expects to provide updated 2025 production guidance when the company releases its third quarter results on Nov. 13, 2025."