Kolibri Global Energy Inc. Net Present Value of Proved Reserves Increased 43% to US$515 Million
Kolibri Global Energy Inc. has reported robust results from its December 31, 2022, independent reserves evaluation. The company's Proved Developed Producing reserves surged by over 69%, with their Net Present Value (NPV) rising by 159%. The Proved Reserves value reached US$514.8 million, a 43% increase from 2021. Overall, Proved plus Probable Reserves increased by 47% to US$724.4 million. The company anticipates further growth through a new drilling program set to begin this week, aiming to enhance cash flow and shareholder value. However, Proved Developed reserves slightly declined by 2%, reflecting evolving recovery estimates.
- Proved Developed Producing reserves increased by over 69%.
- Net Present Value of Proved Reserves rose to US$514.8 million, a 43% increase year-over-year.
- Proved plus Probable Reserves value increased by 47%, reaching US$724.4 million.
- Successful drilling program in 2022 contributed to higher estimates by Netherland, Sewell & Associates.
- Total Proved Reserves decreased by 2% compared to the December 31, 2021, estimate.
“Our Proved Reserves value of
“We look forward to continuing our success with the start of our 2023 drilling program, which is beginning this week. We expect our drilling program, which currently includes drilling and completing six to seven wells, to continue to significantly increase the Company’s cash flow and add incremental value to our shareholders. Our 2023 drilling program may be modified later in the year once we have more visibility on prices and well performance.
Net Present Value of Reserves discounted at
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Total Proved Reserves before tax of
U.S. $514.8 million -
an increase of
43% over theDecember 31, 2021 , estimate
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an increase of
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Proved plus Probable Reserves before tax of
U.S. $724.4 million -
an increase of
47% over theDecember 31, 2021 , estimate
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an increase of
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Proved plus Probable plus Possible Reserves before tax of
U.S. $939.2 million -
an increase of
46% over theDecember 31, 2021 , estimate
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an increase of
“The evaluation of the Company’s reserves in the
“As a result of the Company’s strong well performance, NSAI increased the expected ultimate recovery (‘EUR’) for most proved locations in the 2022 reserve report. However, for each section as a whole, where we drilled and completed wells in 2022, they left their EUR assumptions relatively unchanged from their
“We are pleased to report that, to date, all the 2022 wells are producing above the
2022 Gross Reserves Summary
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Total Proved Reserves 33.3 million Barrels of oil equivalent (BOE)
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a decrease of
2% over theDecember 31, 2021 , estimate
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a decrease of
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Proved plus Probable Reserves 54.4 million BOEs
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an increase of
2% over theDecember 31, 2021 , estimate
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an increase of
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Proved plus Probable plus Possible Reserves 77.5 million BOEs
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an increase of
2% over theDecember 31, 2021 , estimate
-
an increase of
The above total Proved reserves are attributed to 23 of the
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Summary of Oil & Gas Reserves |
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Tight Oil |
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Natural Gas Liquids |
MBOE’s |
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Reserve Category |
KEI
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Net
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KEI Gross
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Net
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KEI
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Net
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KEI
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Net
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Proved |
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Developed Producing |
4,364 |
3,425 |
4,165 |
3,269 |
874 |
686 |
5,932 |
4,656 |
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Undeveloped |
20,584 |
16,212 |
18,190 |
14,253 |
3,795 |
2,973 |
27,411 |
21,561 |
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Total Proved |
24,948 |
19,637 |
22,355 |
17,522 |
4,668 |
3,659 |
33,342 |
26,216 |
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Probable |
14,547 |
11,532 |
17,221 |
13,683 |
3,593 |
2,855 |
21,010 |
16,668 |
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Total Proved Plus Probable |
39,495 |
31,169 |
39,576 |
31,205 |
8,261 |
6,514 |
54,352 |
42,884 |
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Possible |
16,906 |
13,559 |
16,597 |
13,245 |
3,462 |
2,763 |
23,134 |
18,530 |
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Total Proved Plus Probable Plus Possible |
56,401 |
44,728 |
56,173 |
44,450 |
11,724 |
9,277 |
77,487 |
61,413 |
Net Present Value of Future Net Revenue |
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As of |
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Forecast Prices & Costs |
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Net Present Value of Future Net Revenue ($ millions) |
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Before Income Tax |
After Income Tax |
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Reserve Category |
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Proved |
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Developed Producing |
262.8 |
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187.3 |
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147.9 |
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124.1 |
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108.3 |
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262.8 |
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187.3 |
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147.9 |
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124.1 |
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108.3 |
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Undeveloped |
933.1 |
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556.1 |
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366.9 |
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257.0 |
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186.3 |
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657.8 |
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420.6 |
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280.8 |
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194.2 |
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137.4 |
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Total Proved |
1,195.9 |
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743.4 |
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514.8 |
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381.1 |
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294.7 |
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920.6 |
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607.9 |
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428.7 |
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318.3 |
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245.7 |
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Probable |
797.4 |
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377.6 |
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209.6 |
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127.3 |
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81.1 |
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587.5 |
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303.2 |
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169.8 |
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101.7 |
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64.0 |
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Total Proved Plus Probable |
1,993.3 |
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1,121.0 |
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724.4 |
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508.4 |
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375.8 |
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1,508.1 |
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911.1 |
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598.5 |
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420.0 |
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309.7 |
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Possible |
1,104.2 |
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435.8 |
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214.8 |
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119.7 |
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71.6 |
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813.6 |
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355.4 |
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171.5 |
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90.3 |
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51.0 |
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Total Proved Plus Probable plus Possible |
3,097.5 |
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1,556.8 |
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939.2 |
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628.1 |
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447.4 |
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2,321.7 |
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1,266.5 |
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770.0 |
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510.3 |
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360.7 |
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Note: All dollar values are expressed in |
The Company's reserves are derived from non-conventional oil and gas activities. The Company's reserves are contained in a shale oil reservoir from which gas and natural gas liquids are produced as by-products. "Tight oil" means crude oil (a) contained in dense organic-rich rocks, including low-permeability shales, siltstones, and carbonates, in which the crude oil is primarily contained in microscopic pore spaces that are poorly connected to one another, and (b) that typically requires the use of hydraulic fracturing to achieve economic production rates. "Shale gas" means natural gas (a) contained in dense organic-rich rocks, including low-permeability shales, siltstones, and carbonates, in which the natural gas is primarily adsorbed on the kerogen or clay minerals, and (b) that usually requires the use of hydraulic fracturing to achieve economic production rates.
These after-income tax net present values reflect the tax burden on the Company’s Tishomingo Field interests on a standalone basis, do not consider the business-entity-level tax situation or tax planning, and do not provide an estimate of the value at the level of the business entity, which may be significantly different. The financial statements and the management’s discussion and analysis (MD&A) of the Company should be consulted for information at the level of the business entity.
Readers are referred to the Company’s Form 51-101F1 Statement of Reserves Data and Other Oil & Gas Information for the year ended
“BOEs” refers to barrels of oil equivalent. BOEs/boes may be misleading, particularly if used in isolation. A boe conversion ratio of 6 Mcf:1 Bbl is based on an energy equivalency conversion method primarily applicable at the burner tip and does not represent a value equivalency at the wellhead. Possible reserves are those additional reserves that are less certain to be recovered than probable reserves. There is a
About
Caution Regarding Forward-Looking Information
Certain statements contained in this news release constitute "forward-looking information" as such term is used in applicable Canadian securities laws, including statements regarding estimates of reserves and future net revenue and cash flow, expectations regarding additional reserves and statements regarding
Information on other important economic factors or significant uncertainties that may affect components of the reserves data and the other forward looking statements in this release are contained in the Company’s Form 51-101F1 Statement of Reserves Data and Other Oil & Gas Information for the year ended
View source version on businesswire.com: https://www.businesswire.com/news/home/20230313005264/en/
Email: wregener@kolibrienergy.com
Website: www.kolibrienergy.com
Source:
FAQ
What were the results of Kolibri Global Energy's independent reserves evaluation as of December 31, 2022?
How did the Proved plus Probable Reserves change for Kolibri Global Energy in 2022?
What is the significance of the new drilling program announced by Kolibri Global Energy?
How did Kolibri Global Energy's Proved Reserves perform compared to 2021?