Prairie Provident Announces Second Quarter 2025 Results
CALGARY, Alberta, Aug. 12, 2025 (GLOBE NEWSWIRE) -- Prairie Provident Resources Inc. ("Prairie Provident" or the "Company") (TSX:PPR) announces its financial and operating results for the second quarter of 2025. The Company's interim financial statements for the three and six months ended June 30, 2025 and related Management's Discussion and Analysis ("MD&A") are available on our website at www.ppr.ca and filed on SEDAR+ at www.sedarplus.ca.
SECOND QUARTER 2025 FINANCIAL AND OPERATING HIGHLIGHTS
In late April 2025, the Company brought on production the three 100% working interest Basal Quartz ("BQ") wells drilled in Q1 2025.
Production averaged 2,762 boe/d (62% liquids)1 for Q2 2025, which was 35% or 717 boe/d higher than Q2 2024, and 24% or 541 boe/d higher than Q1 2025, due to the increased BQ production.
Q2 2025 operating expenses were $25.37 boe/d, a decrease of 35% or $13.99 per boe/d from Q2 2024, principally due to the impact of higher production volumes on fixed operating expenses.
Q2 2025 operating netback2 was $4.9 million ($19.45/boe), a 634% increase, relative to Q2 2024. The increase was a result of higher production in Q2 2025 and lower operating expenses on a per boe basis, offset by weakened crude oil commodity prices.
Net loss was $6.5 million in Q2 2025, a $0.4 million reduction compared to Q2 2024. The decrease was due to higher operating netback, foreign exchange translation differences and lower general and administrative expenses, offset by higher impairment expenses, depletion and depreciation and finance costs.
In early June 2025, the Company received additional funding of US$0.6 million through an issuance of additional Second Lien Notes to its current lender.
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Comprised of approximately 1,616 bbl/d of medium crude oil, 6,260 Mcf/d of conventional natural gas and 102 bbl/d of NGLs.
Operating netback is a Non-GAAP financial measure and is defined below under "Advisories - Non-GAAP and Other Financial Measures".
MICHICHI BASAL QUARTZ UPDATE
The following table summarizes the initial 90-day production ("IP90") rates and key operational details for the three BQ wells drilled during the first quarter of 2025, which were brought on production in April 2025:
Well Identifier
Days from Spud to Rig Release
Lateral Length (metres)
Fracture Stages
IP Period
Medium Crude Oil (bbl/d)(1)
Conventional Natural Gas (Mcf/d)(1)
Total (boe/d)(1)
Peak Oil Rate (bbl/d)(1)
100/14-32-029-18W4
7
1,340
49
IP90
190
742
313
357
102/13-32-029-18W4
7
1,319
48
IP90
222
810
357
367
100/07-19-030-18W4
8
2,154
78
IP90
241
885
389
585
(1) Initial production rates are based on field estimates at wellhead. See "Advisories, Initial Production Rates" below.
OUTLOOK
Prairie Provident continues to be excited with the emerging BQ/Ellerslie oil play on its Michichi lands. Direct offsetting operational activity remains strong. To date, Prairie Provident has drilled five 100% working interest Basal Quartz wells on its Michichi land base. The Michichi BQ play is a statistical play with variable reservoir and geological rock characteristics. The Company's Michichi core area consists of several defined geological channel systems that Prairie Provident is actively pursuing. This supports the need for additional delineation drilling on the Company's land base. Prairie Provident has identified approximately 50 potential drilling opportunities targeting medium crude oil on its Michichi lands. Legacy vertical well control, extensive 3D/2D seismic data, and offset drilling activity are important factors in de-risking the Michichi BQ play. The Company owns and controls key Michichi infrastructure, which provides a competitive advantage for the future development of this play, and has sizeable tax pools, including approximately $330 million of non-capital losses.
FINANCIAL AND OPERATING SUMMARY
($000s, except per unit amounts or as indicated)
Q2 2025
Q1 2025
Q2 2024
YTD 2025
YTD 2024
(Restated)(1)
(Restated)(1)
FINANCIAL
Revenue
Petroleum and natural gas sales
12,554
11,073
9,488
23,627
22,484
Royalties
(1,292)
(1,472)
(1,517)
(2,764)
(3,388)
Revenue
11,262
9,601
7,971
20,863
19,096
Realized gain (loss) on derivatives
-
-
-
-
(485)
Unrealized gain (loss) on derivatives
-
-
-
-
416
Revenue, net of gains (losses) on derivatives
11,262
9,601
7,971
20,863
19,027
Net loss(1)
(6,501)
(6,137)
(6,935)
(12,638)
(11,880)
$ per share, Basic
-
-
(0.01)
(0.01)
(0.02)
$ per share, Diluted
-