Kolibri Global Energy Inc. (the “Company” or
“KEI”) (TSX: KEI, OTCQX: KGEIF) is pleased to provide an
update on the production exit rate and its latest wells in its
Tishomingo field in Oklahoma.
Exit Rate
The Company exited the year with a production rate over 4,000
BOEPD (barrels of oil equivalent per day). This is 1,300 BOEPD, or
48% higher than the Company’s forecasted exit rate released in May
of 2022.
Emery 17-2H Well, Brock 9-3H Well & Glenn 16-3H
Well
The Emery 17-2H well (98.725% working interest) had a 30-day
Initial Production Rate (“IP30”) of 715 BOEPD (560 BOPD) (barrels
of oil per day).
The Brock 9-3H well (100% working interest) had an IP30 of 970
BOEPD (820 BOPD).
The Glenn 16-3H well (100% working interest) has averaged about
935 BOEPD (765 BOPD) for twenty-two production days while the well
has been flowing back the completion stimulation fluid. The
production from this well had been halted for a portion of December
due to a packer malfunction, but production had resumed on the well
by the end of the month.
Wolf Regener, President and CEO, commented, “These latest three
wells have far exceeded our expectations and contributed to the
Company significantly surpassing its year-end forecasted exit rate.
The 4,000 BOEPD exit rate was achieved without the production
contribution of one legacy well, which had been reworked in late
December. We look forward to drilling our next wells later this
quarter, as we have signed a drilling rig contract, where the rig
is expected to arrive around March 1st, 2023.
“To put these excellent well results in perspective, the
forecasted 30-day proved curve case (IP30) utilized by our
third-party engineering firm for our December 31, 2021 reserve
report was 388 BOEPD (“Reserve Report IP30”), while the initial
30-day type curve used by the Company’s management for wells in the
corridor assumes a 472 BOEPD IP30 rate (“Management IP30”). The
Emery 17-2H well IP-30 and the Brock 9-3H well IP-30 are about 1.8
and 2.5 times higher, respectively, than the Reserve Report
IP30.
“While three of the wells are early in the production cycle, the
five wells we drilled this year with our latest generation
completion technique demonstrates some of the best results we have
had in this field. This illustrates the consistency that management
believes it can continue to achieve.
“Based on the current performance of the Glenn 16-3H well and
the expectation that it will perform similarly to our previous core
area wells, we anticipate that it will end up with an IP30 rate
that is also much higher than the Reserve Report IP30 and above the
Management IP30. However, there can be no assurance as to what the
well’s IP30 rate or ultimate productivity will be.”
About Kolibri Global Energy Inc.
Kolibri Global Energy Inc. is a North American energy company
focused on finding and exploiting energy projects in oil, gas, and
clean and sustainable energy. Through various subsidiaries, the
Company owns and operates energy properties in the United States.
The Company continues to utilize its technical and operational
expertise to identify and acquire additional projects. The
Company's shares are traded on the Toronto Stock Exchange under the
stock symbol KEI and on the OTCQX under the stock symbol KGEIF.
Cautionary Statements
In this news release and the Company’s other public disclosure:
The references to barrels of oil equivalent ("Boes") reflect
natural gas, natural gas liquids and oil. 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. Given that the value ratio based
on the current price of crude oil as compared to natural gas is
significantly different from the energy equivalency of 6:1,
utilizing a conversion on a 6:1 basis may be misleading as an
indication of value. Possible reserves are those additional
reserves that are less certain to be recovered than probable
reserves. There is a 10% probability that the quantities actually
recovered will equal or exceed the sum of proved plus probable plus
possible reserves. The type curve utilized by the Company’s
management is the average of the 7 Caney wells that were drilled
prior to December 31st, 2021, are located in the Corridor (well
names can be found on the Company’s Corporate presentation), with
lateral lengths normalized to a 4,900 ft lateral length, the other
assumptions are the same as in the Company’s December 31, 2021
independent reserves evaluation.
Readers should be aware that references to initial production
rates and other short-term production rates are preliminary in
nature and are not necessarily indicative of long-term performance
or of ultimate recovery. Readers are referred to the full
description of the results of the Company's December 31, 2021
independent reserves evaluation and other oil and gas information
contained in its Form 51-101F1 Statement of Reserves Data and Other
Oil and Gas Information for the year ended December 31, 2021, which
the Company filed on SEDAR on March 8, 2022.
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 and “forward-looking statements” within
the meaning of United States securities laws (collectively,
“forward looking information”), including statements regarding the
timing of and expected results from planned wells development, the
anticipated IP30 rate of the Glenn 16-3H well, and management’s
expectation regarding achieving consistency in future wells.
Forward-looking information is based on plans and estimates of
management and interpretations of data by the Company's technical
team at the date the data is provided and is subject to several
factors and assumptions of management, including that that
indications of early results are reasonably accurate predictors of
the prospectiveness of the shale intervals, that required
regulatory approvals will be available when required, that no
unforeseen delays, unexpected geological or other effects,
including flooding and extended interruptions due to inclement or
hazardous weather conditions, equipment failures, permitting delays
or labor or contract disputes are encountered, that the necessary
labor and equipment will be obtained, that the development plans of
the Company and its co-venturers will not change, that the offset
operator’s operations will proceed as expected by management, that
the demand for oil and gas will be sustained, that the price of oil
will be sustained or increase, that the Company will continue to be
able to access sufficient capital through financings, farm-ins or
other participation arrangements to maintain its projects, and that
global economic conditions will not deteriorate in a manner that
has an adverse impact on the Company's business, its ability to
advance its business strategy and the industry as a whole.
Forward-looking information is subject to a variety of risks and
uncertainties and other factors that could cause plans, estimates
and actual results to vary materially from those projected in such
forward-looking information. Factors that could cause the
forward-looking information in this news release to change or to be
inaccurate include, but are not limited to, the risk that any of
the assumptions on which such forward looking information is based
vary or prove to be invalid, including that the Company or its
subsidiaries is not able for any reason to obtain and provide the
information necessary to secure required approvals or that required
regulatory approvals are otherwise not available when required,
that unexpected geological results are encountered, that equipment
failures, permitting delays, labor or contract disputes or
shortages of equipment or labor are encountered, the risks
associated with the oil and gas industry (e.g. operational risks in
development, exploration and production; delays or changes in plans
with respect to exploration and development projects or capital
expenditures; the uncertainty of reserve and resource estimates and
projections relating to production, costs and expenses, and health,
safety and environmental risks, including flooding and extended
interruptions due to inclement or hazardous weather conditions),
the risk of commodity price and foreign exchange rate fluctuations,
that the offset operator’s operations have unexpected adverse
effects on the Company’s operations, that completion techniques
require further optimization, that production rates do not match
the Company’s assumptions, that very low or no production rates are
achieved, that the price of oil will decline, that the Company is
unable to access required capital, that occurrences such as those
that are assumed will not occur, do in fact occur, and those
conditions that are assumed will continue or improve, do not
continue or improve, and the other risks and uncertainties
applicable to exploration and development activities and the
Company's business as set forth in the Company's management
discussion and analysis and its annual information form, both of
which are available for viewing under the Company's profile at
www.sedar.com, any of which could result in delays, cessation in
planned work or loss of one or more concessions and have an adverse
effect on the Company and its financial condition. The Company
undertakes no obligation to update these forward-looking
statements, other than as required by applicable law.
View source
version on businesswire.com: https://www.businesswire.com/news/home/20230109005335/en/
Wolf E. Regener +1 (805) 484-3613 Email:
wregener@kolibrienergy.com Website: www.kolibrienergy.com
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