Greenfire Resources Reports Year End 2025 Reserves, Fourth Quarter and Full Year 2025 Financial and Operational Results, and Provides an Operational Update

Executive Summary

• Greenfire reported FY 2025 bitumen production of 16,169 bbl/d, adjusted funds flow of $143.5 M and a net loss of C$8.6 M; Q4 2025 production was 15,699 bbl/d with an adjusted free‑cash‑flow deficit of C$16.6 M.
• FY 2025 reserves increased modestly to 231.8 MMb (1P) and 408.9 MMb (2P), giving a 39‑year 1P life index and a 69‑year 2P life index; after‑tax PV‑10 values are $1.60 B (1P) and $1.99 B (2P).
• The Company lowered its 2026 production guidance to 13,500–15,500 bbl/d (previously 15,500–16,500 bbl/d) due to unplanned downtime at the Expansion Asset; it plans to drill Pad 7 (14 well pairs) in Q4 2026 and additional pads through 2027.
• Completed a rights offering of ~55.1 M shares raising $298.7 M and redeemed all 12 % senior secured notes due 2028, leaving Greenfire debt‑free with an undrawn $275 M revolving credit facility.
• Management change: former COO Jonathan Kanderka departed; Derek Meisner appointed Vice President, Operations.

Key Details

• Reserves (as of 31 Dec 2025) – Proved: 231.8 MMb (gross), 187.9 MMb (net); Probable: 177.1 MMb (gross), 134.5 MMb (net); 2P total 408.9 MMb (gross) / 322.4 MMb (net).
• PV‑10 (after‑tax) – 1P $1.60 B; 2P $1.99 B → implied NAV of C$13.12 and C$16.29 per share respectively after net surplus adjustment.
• Production – FY 2025 average 16,169 bbl/d (vs. outlook 15,000‑16,000); Q4 2025 average 15,699 bbl/d. Expansion Asset Q4 2025: 9,870 bbl/d (‑5% QoQ). Demo Asset Q4 2025: 5,829 bbl/d (+9% QoQ).
• Financials FY 2025 – Oil sales C$130.4 M; royalties (C$3.6 M); realized risk‑management gain C$13.5 M; operating netback $51.1 M ($35.26/bbl). Adjusted funds flow $143.5 M; adjusted free cash flow –C$16.6 M. Capital expenditures $111.8 M (below $130 M outlook).
• Liquidity – Cash C$41.97 M; net surplus (debt) +C$49.75 M; senior credit facility undrawn capacity $275 M; total available funding $324.7 M.
• 2026 Outlook & Capital Program – Production guidance 13,500‑15,500 bbl/d. Planned drilling: Pad 7 (14 well pairs) Q4 2026 first oil; redrill Pad 6 late‑2026; three new pairs on Pad 5 in 2027; Pad 8 (8 pairs) start Q1 2027.
• Sulphur Removal – Sulphur removal facilities installed & commissioned at Expansion Asset in Q4 2025, achieving compliance with SO₂ limits.
• Financing Completion – Rights offering closed Dec 19 2025; gross proceeds $298.7 M; backstop standby commitment not utilized. Redeemed all 12 % senior secured notes due 2028 on same date.
• Management Change – COO Jonathan Kanderka exited following elimination of the role. Derek Meisner appointed VP, Operations (20 years SAGD experience).

Notable Quotes

(Quotes were not provided in the release; omitted.)