- Alberta-based oil and gas stock Tamarack Valley Energy (TSX:TVE) announced the results of its year-end independent oil and gas reserves evaluations as of December 31st, 2024
- Tamarack reported year-over-year debt-adjusted reserves per share increases of 22 per cent for proved developed producing (PDP) and 19 per cent for total proved plus probable (TPP) reserves
- Annual production for 2024 averaged 64,331 boe/d, with Clearwater contributing 41,269 boe/d and Charlie Lake 16,963 boe/d
- Tamarack Valley Energy stock (TSX:TVE) last traded at C$4.56
Alberta-based oil and gas stock Tamarack Valley Energy (TSX:TVE) announced the results of its year-end independent oil and gas reserves evaluations as of December 31st, 2024.
Prepared by McDaniel & Associates Consultants, Tamarack highlighted significant operational outperformance and execution in a news release.
Highlights
- Reserves growth: Tamarack reported year-over-year debt-adjusted reserves per share increases of 22 per cent for proved developed producing (PDP) and 19 per cent for total proved plus probable (TPP) reserves. PDP reserves increased by 9 per cent to 70 MMboe, total proved (TP) reserves by 9 per cent to 140 MMboe, and TPP reserves by 8 per cent to 243 MMboe.
- Production exceeds expectations: Q4 2024 production averaged 66,104 boe/d (85 per cent oil & liquids), driven by strong performance in the Clearwater and Charlie Lake assets. Annual production for 2024 averaged 64,331 boe/d, with Clearwater contributing 41,269 boe/d and Charlie Lake 16,963 boe/d.
- Capital efficiency: Tamarack’s full-year capital expenditures were in line with prior guidance at $440 million. The company achieved top-tier finding and development (F&D) costs, with PDP, TP, and TPP F&D costs of $15.20/boe, $14.16/boe, and $10.94/boe, respectively.
- Financial metrics: The company’s field operating netback was $46.41/boe, leading to PDP, TP, and TPP recycle ratios of 3.1x, 3.3x, and 4.2x, respectively. The before-tax net present value of PDP, TP, and TPP booked reserves was $1.9 billion, $3.0 billion, and $5.1 billion, respectively.
- Clearwater and Charlie Lake performance: The Clearwater asset saw 18 per cent growth in TPP reserves, driven by primary development and waterflood reserves. Charlie Lake achieved a 5 per cent increase in reserves and a 155 per cent reserve replacement on a TPP basis.
- Resource evaluation: McDaniel evaluated Tamarack’s Clearwater heavy oil assets, estimating 106 MMbbl of contingent resources and 98 MMbbl of prospective resources. The evaluation included 635 net contingent and 1,035 net prospective drilling locations.
- Non-core asset divestment: Tamarack entered into an agreement to divest its Penny Barons assets in southern Alberta for $28 million, with proceeds to be used for debt reduction.
About Tamarack Valley Energy
With a stock listed under an overall consensus as a “strong buy” among analysts, Tamarack Valley is an oil and gas exploration and production company committed to creating long-term value for its shareholders through sustainable free funds flow, financial stability and the return of capital.
Tamarack Valley Energy stock (TSX:TVE) last traded at C$4.56 and has risen nearly 50 per cent since this time last year.
Join the discussion: Find out what everybody’s saying about this Canadian oil and gas stock on the Tamarack Valley Energy Ltd. Bullboard and check out Stockhouse’s stock forums and message boards.
The material provided in this article is for information only and should not be treated as investment advice. For full disclaimer information, please click here.
(Top photo: Tamarack Valley Energy)
