Financings

Prospera Announces Comprehensive Operations Update and $3.0 Million Non-Brokered Equity Financing to Advance Core Heavy-Oil Strategy

By The Northwire Desk — AI Analysis Jan 19, 2026 · 08:31 PEI · 0.035 Prospera Energy Inc.

PEI · Price

Prospera Energy Inc. announced a non‑brokered private placement of units for gross proceeds of $3.0 million at $0.035 per unit to fund well reactivation, optimization and workover programs in its Luseland and Cuthbert heavy‑oil assets.
The offering includes one common share and one warrant per unit (exercise price $0.05, two‑year term). Warrant terms were amended, extending expiry to Feb 14 2027 and adjusting exercise prices.
Concurrently, the company provided a detailed operations update highlighting production gains from multiple reactivated wells, pipeline replacement in Cuthbert, and strong net operating income contributions from key wells in Q4 2025.

Offering Size: $3.0 million gross proceeds.
Unit Price: $0.035 per unit (1 common share + 1 warrant).
Warrant Terms: Exercise price $0.05, exercisable for two years from issuance; amendment extends expiry to Feb 14 2027, with 13,363,000 warrants at $0.06 and 1,967,000 at $0.09. Acceleration clause if share price > $0.075 for ten consecutive trading days.
Use of Proceeds:
Luseland Well Reactivation Program – bring shut‑in heavy‑oil wells back on line.
Luseland Well Optimization Program – install recycle pumps, pump‑upsize projects, sand cleanouts.
Cuthbert Workover Program – targeted workovers on shut‑in wells.
Financing Structure: Non‑brokered private placement; units consist of equity and warrants; potential finder’s fees payable under TSX V regulations; subject to TSX V approval and statutory hold periods.

Luseland Pool: Multiple “proof‑of‑concept” wells reactivated, delivering incremental production and cash flow without new drilling. Notable wells: 10‑07, 10‑08, 01‑17, 16‑07, 03‑09, 07‑33, 16‑08, 04‑17, 04‑33, 02‑33.
Cuthbert Pool: Production increased from 40 m³/d (252 bbl/d) to 64 m³/d (403 bbl/d) after pipeline replacement and facility upgrades (Nov 2024 – Jan 2026).
Net Operating Income (Q4 2025): Top contributors include wells 16‑07‑36‑25W3 ($55,587 cumulative), 10‑08‑36‑25W3 ($51,465), 10‑07‑36‑25W3 ($50,541).

Shares for Debt Settlements: Issuance of 46,408 shares (valued at $2,320.42) and 23,149 shares (valued at $1,157.43) to two vendors; trading restriction of four months + one day.
Loan Amendment: Additional $1 million added to existing $11 million promissory note, raising total principal to $19.7 million; 12% interest, two‑year maturity; proceeds earmarked for production‑increasing capital projects.

Monthly conference call launch – first call scheduled for Wednesday, Jan 21 2026 at 1 PM MT (audio on X Spaces, recording available).

(No direct quotes were provided in the release.)

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