Pine Cliff Energy Ltd. Announces 2025 Annual Results, Filing of Disclosure Documents, Annual Reserves, Dividend Declaration and Corporate Outlook

Executive Summary

• Pine Cliff Energy released its 2025 annual financial and operating results, showing adjusted funds flow of $7.8 M for Q4 and $29.9 M for the year, a 20% reduction in net debt to $49.6 M, and production of ~20,200 Boe/d.
• The company’s independent reserve report indicates total proved‑plus‑probable (TPP) reserves valued at $534.6 M (10% discount), a modest 2% decline YoY, with a reserve replacement ratio of 83%.
• A regular monthly dividend of $0.00125 per share was declared for March 2026, and the Board approved a 2026 capital‑expenditure budget of $15.2 M (including $6.5 M for abandonment, reclamation and well completion).

Key Details

• Financial Highlights – Q4 2025 vs. Q4 2024
• Adjusted funds flow: $7.8 M ($0.02/share) vs. $8.6 M ($0.02/share).
• Net debt reduced by $12.7 M (20%) to $49.6 M.
• Production: 20,173 Boe/d vs. 22,738 Boe/d (‑11%).

• Capital expenditures: $8.7 M vs. $0 in Q4 2023 (previous year’s quarter).

• Full‑Year 2025 vs. 2024

• Adjusted funds flow: $29.9 M ($0.08/share) vs. $38.0 M ($0.11/share).
• Net debt unchanged at $49.6 M (down from $62.3 M).
• Production averaged 20,763 Boe/d vs. 23,248 Boe/d (‑11%).
• Disposition proceeds: $16.2 M (including $14.9 M in Q4).

• Capital expenditures: $14.8 M vs. $2.5 M.

• Dividend

• Declared regular monthly dividend of $0.00125 per common share, payable March 31 2026 to shareholders of record March 16 2026 (non‑eligible for Canadian tax purposes).

• Reserve Report – Highlights

• Total TPP net present value (10% discount): $534.6 M, down $13.5 M (‑2%) YoY.
• TPP reserves increased by 6.3 MMBoe before production adjustments; reserve replacement ratio 83%.
• Remaining TPP reserves: 92.8 MMBoe (69% conventional gas/CBM).

• Proved reserves: 61,813 MBoe; Probable reserves: 31,008 MBoe.

• Reserve Category Breakdown (Dec 31 2025)

• Proved – Developed Producing: Oil 2,430 MBbl, Natural Gas 5,800 MMcf, Liquids 184,976 MMcf, Total 42,546 MBoe.
• Proved – Undeveloped: Oil 878 MBbl, Natural Gas 8,269 MMcf, Liquids 60,726 MMcf, Total 19,268 MBoe.

• Probable (total): Oil 2,278 MBbl, Natural Gas 9,175 MMcf, Liquids 111,725 MMcf, Total 31,008 MBoe.

• Hedging Position (2026)

• Natural gas: ~37% of gross production hedged at $3.19/Mcf.

• Crude oil: ~31% of gross production hedged at US$63.45/Bbl.

• Capital Expenditure Budget – 2026

• Total approved CAPEX: $15.2 M.

• Includes $6.5 M for abandonment, reclamation, facility maintenance and completion of one gross (1.0 net) Glauconite well drilled in late‑2025 (brought on production Feb 2026).

• Operating Metrics – Year End

• Commodity sales (before royalties): $42.7 M (Q4), $172.2 M (FY).
• Cash provided by operating activities: -$0.9 M (Q4) vs. +$0.5 M (FY‑2024); $25.1 M FY‑2025 vs. $23.8 M FY‑2024.

• Net income: $3.8 M Q4 2025; net loss for FY‑2025 of $12.1 M (vs. $21.4 M loss FY‑2024).

• Webcast

• Live webcast scheduled for 9:00 AM MDT / 11:00 AM EDT on Thursday, March 5 2026; archived recording to be posted on the company website.

Notable Quotes

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