Alvopetro Announces Year End 2025 Financial Results, Q1 2026 Dividend of US$0.12/share, and Filing of our AIF
Executive Summary
- Alvopetro Energy Ltd. reported FY 2025 results with net income of $23.1 M (up 42% YoY) and funds flow from operations of $40.6 M, reflecting strong production growth and reserve additions.
- The Board declared a quarterly cash dividend of US $0.12 per common share payable on April 15 2026.
- Reserves increased markedly: 1P reserves rose 79% to 8.1 MMboe (production replacement ratio 485%) and 2P reserves grew 43% to 13.1 MMboe (replacement ratio 530%).
Key Details
- Financial Highlights – FY 2025
- Net income: $23.1 M vs. $16.3 M in 2024 (+42%).
- Funds flow from operations: $40.6 M ($1.09 per basic share) vs. $33.3 M (+22%).
- Capital expenditures: $33.5 M (including $4.9 M for Murucututu and Saskatchewan projects).
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Working capital surplus: $18.5 M; net of debt: $2.5 M.
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Quarterly Highlights – Q4 2025
- Average daily sales: 2,867 boepd (+65% YoY).
- Revenue: $15.8 M (+54%).
- Operating netback: $49.70/boe (down $5.39 vs. Q4 2024).
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Funds flow from operations: $10.6 M ($0.28 per share).
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Production & Sales
- Average daily sales FY 2025: 2,523 boepd (+41%).
- Brazil contribution: 2,417 boepd (+35% YoY).
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Canada contribution: 106 bopd (newly added).
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Reserve Update (GLJ Report dated Feb 25 2026)
- 1P reserves: 8.1 MMboe (+79%). NPV10 $245.6 M (+38%).
- 2P reserves: 13.1 MMboe (+43%). NPV10 $393.6 M (+20%).
- 2P reserve life index: 12.5 years.
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2P F&D cost: $15.42/boe; recycle ratio: 3.4×.
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Operational Update
- Murucututu field capacity target: increase from ~150 e³m³/d to 600 e³m³/d.
- Recompletion of well 183‑1 underway; new Caruaçu well drilling slated for next month.
- Canada: two wells drilled in 2026 (1.0 net); total production wells now 7 (3.5 net).
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Land base expanded to 80.5 gross sections (25,760 net acres) targeting Mannville heavy‑oil play.
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Financing
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Entered a $20 M loan (2‑year term, 7% interest, quarterly payments starting 30 Nov 2026).
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Dividend
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Quarterly dividend: US $0.12 per common share, payable 15 Apr 2026 to shareholders of record 31 Mar 2026.
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Annual Information Form (AIF)
- Filed on SEDAR+; contains detailed reserve and resource disclosures under NI 51‑101.
Notable Quotes
“2025 was a transformational year for Alvopetro… we increased average daily sales by 41% … and grew 2P reserves by 43% to 13.1 MMboe, replacing production over 5 times.” – Corey C. Ruttan, President & CEO