TOPAZ ANNOUNCES TUCK-IN ACQUISITION OF NEBC MONTNEY ROYALTY ASSETS

Executive Summary

• Topaz Energy Corp. entered into definitive agreements to acquire gross overriding royalty interests on approximately 134,000 gross acres in the NEBC Montney core royalty area from Tourmaline Oil Corp. for a cash consideration of $71.7 million (pre‑closing adjustments).
• The acquired lands contain roughly 410 tier‑one future Montney drilling locations, with over 65% currently undeveloped, providing significant upside and alignment with Tourmaline’s multi‑year growth plan.
• Funding for the transaction will be sourced from Topaz’s existing credit facilities; the company also announced its upcoming Q3 2025 results release (Nov 3) and conference call (Nov 4).

Key Details

• Acquisition Target: Gross overriding royalty interests on ~134,000 gross acres in NEBC Montney core area.
• Seller: Tourmaline Oil Corp.
• Purchase Price: $71.7 million cash (subject to customary closing adjustments).
• Asset Highlights:
• Approximately 410 tier‑one future drilling locations identified by Tourmaline.
• Over 65% of the acreage is undeveloped, offering substantial growth potential.
• Multi‑zone upside optionality and full alignment with Tourmaline’s NEBC Montney build‑out plan.
• Funding: Transaction to be financed through Topaz’s existing credit facilities; no new debt or equity issuance disclosed.
• Closing Timeline: Not specified in release; subject to customary closing conditions.
• Upcoming Corporate Events:
• Q3 2025 financial results scheduled for November 3, 2025.
• Q3 2025 earnings conference call on November 4, 2025 at 9:00 a.m. MST (11:00 a.m. EST).

Notable Quotes

• “The acquisition provides Topaz with a strategic foothold in one of Canada’s most prolific natural‑gas basins and aligns us closely with Tourmaline’s growth trajectory,” said Marty Staples, President and CEO of Topaz Energy Corp.

Materiality: Material – Positive (significant asset purchase enhancing future production potential).