Trans Canada ships 7,239 bbl oil in June, July, August

Executive Summary

• Trans Canada Gold Corp. reported steady heavy oil production from its Lloydminster multilateral well for June, July, and August 2025, totaling 7,239 barrels.
• The company has received all regulatory approvals (AER well licence and drill permit) for a new seven-leg Sparky multilateral well (Lloyd 5-23-49-1W4) adjacent to its existing successful well.
• The new well is scheduled for drilling in the fall, with estimated drilling, completion, and equipping costs of $1.9 million, fully financed by production cash flow to avoid share dilution.

Key Details

• Production Performance (June-August 2025):
  • June: 2,370 barrels produced at an average daily rate of 79 bbl/d gross (15 bbl/d net).
  • July: 2,517 barrels produced at an average daily rate of 81 bbl/d gross (15 bbl/d net).
  • August: 2,348 barrels produced at an average daily rate of 76 bbl/d gross (14 bbl/d net).
  • Total: 7,239 barrels shipped via trucking and oil sales to Altex.
  • Ownership: The company holds an 18.75% working interest in the well; Croverro Energy Ltd. is the operator.
  • Historical Context: Production commenced on the first newly drilled multilateral well on Oct. 6, 2023. The adjacent 12-14 Sparky multilateral well has produced over 114,000 barrels since 2023.
• New Drilling Program (Lloyd 5-23-49-1W4):
  • Status: Formal approval received from the Alberta Energy Regulator (AER); well licence and drill permit issued.
  • Well Design: Seven-leg Sparky multilateral well, situated adjacent to the successful 12-14 multilateral well.
  • Expected Reserves: The existing 12-14 well encountered 2,486 metres of oil pay in the Sparky formation; the new well is planned to open an estimated 3,000 metres of Sparky formation.
  • Schedule: Drilling scheduled for later this fall, subject to stable oil pricing and rig availability.
  • Costs: Estimated drilling, completion, and equipping costs are $1.9 million.
  • Net Cost to Company: $350,000 (based on 18.75% interest).
  • Funding: Costs are fully financed out of production cash flow, preventing any share dilution.
• Strategic Outlook:
  • The company is continuing its multilateral well drilling strategy for 2025-2026 using state-of-the-art techniques in Alberta and Saskatchewan.
  • Management is exploring additional oil exploration drilling and acquisition opportunities in central Canada and the United States.
  • The company acknowledges current market volatility and lower energy prices but expects increased oil production for 2025.

Notable Quotes

• Tim Coupland: "We continue to focus on continued multilateral drilling success in the Sparky zone, while waiting patiently for direction and guidance from our operator and navigating the increased market volatility and lower energy prices in the oil sector... We are expecting increased oil production for 2025 with our upcoming drill programs, and we are exploring additional oil exploration drilling and acquisition opportunities in both central Canada and the United States."