CALGARY, Alberta, March 31, 2026 (GLOBE NEWSWIRE) — Prairie Provident Resources Inc. (“Prairie Provident” or the “Company”) (TSX:PPR) announces its financial and operating results for the fourth quarter and year ended December 31, 2025, along with its year-end reserves. Prairie Provident’s audited annual consolidated financial statements and related Management’s Discussion and Analysis (“MD&A”) for the year ended December 31, 2025, and Annual Information Form dated March 31, 2026 containing year-end reserves data and other information for the period, are available on the Company’s website at www.ppr.ca and filed on SEDAR+ at www.sedarplus.ca.
2025 REVIEW AND UPDATE
- Prairie Provident drilled six wells, five in Michichi and one in its Princess area. Four of the wells are on-stream and producing. Two wells in Michichi were abandoned as a result of production casing failures believed to be caused by an oblique slip in a system of critically stressed sub-seismic faults;
- At Princess, the Company installed and commissioned a water disposal facility at 10-23-018-11W4M, which included tie-in of the 102/10-23-018-11W4M Pekisko water disposal well. The Company expects annual area operating cost savings of approximately $600,000 from the project, by eliminating produced water trucking and third-party water disposal charges;
- The Company met its Alberta Energy Regulator annual mandatory spending requirement of $2.35 million;
- In March 2025, the Company completed a brokered equity financing, raising aggregate gross proceeds of $8.7 million to facilitate further development in the Michichi Basal Quartz formation;
- On October 31, 2025, Prairie Provident completed a preferred share financing, raising $26.5 million of gross proceeds, and completed amendments to its debt agreements to extend maturities by 24 months, defer cash interest obligations through 2026 and adjust financial covenants;
- The Company completed a 30-to-1 consolidation of its outstanding common shares, on the basis of one post-consolidation common share for every 30 pre-consolidation common shares, effective December 31, 2025;
- Production averaged 2,367 boe/d (59% liquids)1 for the year ended December 31, 2025, and 2,193 boe/d (58% liquids)1 for Q4 2025;
- Operating expenses were $30.01/boe for the year ended December 31, 2025, a 9% decrease relative to the $32.98/boe in 2024;
- Operating netback2 for the year ended December 31, 2025 was $11.0 million ($12.68/boe), an 18% increase relative to 2024. This increase was as a result of higher production as well as lower operating expenses and royalties on a per boe basis, offset by lower realized commodity prices;
- Net loss was $14.1 million for the year ended December 2025, a $2.9 million reduction compared to 2024. Excluding the impact of non-cash items, this decrease was impacted by higher operating netbacks and lower G&A expenses in 2025; and
- During Q1 2026, Prairie Provident has focused capital spending on well and facility optimization, and liability management. The capital efficient optimization work has kept corporate production flat at approximately 2,200 boe/d (59% oil and natural gas liquids)3.
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| 1 | Comprised of medium crude oil, natural gas liquids (NGLs) and conventional natural gas in the volumes indicated as crude oil and condensate, NGLs and natural gas in the “Financial and Operating Summary” table below. |
| 2 | Operating netback is a Non-GAAP financial measure and is defined below under “Advisories – Non-GAAP and Other Financial Measures”. |
| 3 | Comprised of approximately 1,235 bbl/d of medium crude oil, 65 bbl/d of NGLs and 5,400 Mcf/d of conventional natural gas. |
FINANCIAL AND OPERATING SUMMARY
| ($000s, except per unit amounts or as indicated) | Q4 2025 | Q3 2025 | Q4 2024 | YTD 2025 | YTD 2024 | |||||
| FINANCIAL | ||||||||||
| Revenue | ||||||||||
| Petroleum and natural gas sales | 8,786 | 9,394 | 11,111 | 41,807 | 43,246 | |||||
| Royalties | (1,116 | ) | (1,040 | ) | (567 | ) | (4,920 | ) | (5,578 | ) |
| Revenue | 7,670 | 8,354 | 10,544 | 36,887 | 37,668 | |||||
| Realized loss on derivatives | – | – | – | – | (485 | ) | ||||
| Unrealized gain on derivatives | – | – | – | – | 416 | |||||
| Revenue, net of gains (losses) on derivatives | 7,670 | 8,354 | 10,544 | 36,887 | 37,599 | |||||
| Net income (loss) | 5,477 | (6,897 | ) | (10,123 | ) | (14,058 | ) | (16,964 | ) | |
| $ per share – Basic(3) | 0.12 | (0.15 | ) | (0.26 | ) | (0.31 | ) | (0.61 | ) | |
| $ per share – Diluted(3) | 0.10 | (0.15 | ) | (0.26 | ) | (0.31 | ) | (0.61 | ) | |
| Adjusted Funds Flow(1) | (3,736 | ) | (557 | ) | (192 | ) | 606 | (2,137 | ) | |
| $ per share – Basic(3) | (0.08 | ) | (0.01 | ) | – | 0.01 | (0.08 | ) | ||
| $ per share – Diluted(3) | (0.08 | ) | (0.01 | ) | – | 0.01 | (0.08 | ) | ||
| Capital expenditures(1) | 9,059 | 115 | 9,083 | 20,120 | 10,757 | |||||
| Net capital expenditures(1) | 9,017 | 103 | 9,023 | 20,142 | (13,656 | ) | ||||
| Adjusted working capital (deficit)(1) | 6,058 | (7,342 | ) | (7,253 | ) | 6,058 | (7,253 | ) | ||
| Adjusted net debt(1) | (67,168 | ) | (77,821 | ) | (72,154 | ) | (67,168 | ) | (72,154 | ) |
| Common Shares outstanding (000s)(3) | ||||||||||
| End of period(3) | 46,719 | 46,719 | 39,913 | 46,719 | 39,913 | |||||
| Weighted average – Basic(3) | 46,719 | 46,719 | 39,010 | 45,669 | ||||||