Westgate brings three Beaverdam wells on production

Executive Summary

• Westgate Energy Inc. reported initial production from three newly drilled horizontal Mannville Stack oil wells in the Beaverdam area of Alberta, achieving approximately 330 barrels per day (bpd) combined.
• The company is constructing a new holding tank facility designed to improve operating efficiency, increase oil recoveries, and add incremental production of >30 bpd while reducing disposal costs.
• Management announced plans for a 2026 drilling program targeting nine additional horizontal wells, aiming to bring the total producing well count at Beaverdam to 15 by year-end 2026.

Key Details

• Well Production: Three horizontal wells brought on stream in mid-to-late December 2025; current combined production is ~330 bpd over a seven-day period.
• Operational Strategy: Wells were started at conservative pump rates to mitigate sand production and equipment wear; production rates are expected to increase as the cleanup phase progresses and pumping rates are raised.
• Vertical Test Results: Two vertical stratigraphic test wells were drilled to map prospective Mannville Stack horizons, confirming future drilling inventory and defining potential pool boundaries.
• New Tank Facility:
  • Currently under construction on the existing Beaverdam pad site.
  • Designed to service up to 25 wells.
  • Expected to provide incremental production of >30 bpd from existing six wells.
  • Expected to increase operating netbacks by >$5 per barrel.
  • Aims to reduce third-party handling and disposal costs.
• 2026 Drilling Plan:
  • Intends to drill nine additional horizontal wells at Beaverdam.
  • Program based on an anticipated WTI oil price of $60–$65 USD per barrel.
  • Total producing well count at Beaverdam expected to reach 15 by year-end 2026.
  • Next drilling program expected to commence in late May or early June 2026, subject to weather conditions.

Notable Quotes

• "The company is pleased with the overall results delivered by its second three-well program at Beaverdam. The company expects the modified initial pumping rates to be beneficial for run times of the new wells."
• "Westgate looks forward to building on its operational performance while continuing to pursue cost-efficiencies as the company advances into 2026."