Petrus Resources Announces Second Quarter 2025 Financial & Operating Results

Core Viewpoint - Petrus Resources Ltd. reported its financial and operational results for Q2 2025, highlighting increased production, capital spending, and strategic hedging to maintain financial stability amid fluctuating commodity prices [1][2][4]. Financial Performance - Average production for Q2 2025 was 9,155 boe/d, a 3% increase from 8,929 boe/d in Q1 2025 [5]. - Oil and natural gas sales amounted to CAD 21.5 million in Q2 2025, down from CAD 23.6 million in Q1 2025 [7][15]. - Net income for Q2 2025 was CAD 10.4 million, compared to a net loss of CAD 3.1 million in Q1 2025 [7][15]. - Funds flow generated was CAD 12.3 million, consistent with the previous quarter [5][7]. Production and Capital Activity - Capital spending in the first half of 2025 reached CAD 30.5 million, a 58% increase from the same period in 2024 [5][7]. - The company completed drilling and completion operations on four operated wells, which began production in mid-July [3][4]. - Average liquids weighting increased to 35% in Q2 2025, up from 33% in Q1 2025 [5]. Cost Management - Operating expenses averaged CAD 6.10/boe in Q2 2025, down 10% from CAD 6.76/boe in Q1 2025 [5][7]. - The cost to drill, complete, equip, and tie in a two-mile well decreased by approximately 25% compared to the average over the past three years [5]. Commodity Prices and Hedging - Total realized price was CAD 25.77/boe in Q2 2025, a 12% decrease from CAD 29.35/boe in Q1 2025 [5][7]. - Approximately 60% of forecasted production for the remainder of 2025 is hedged at an average price of CAD 2.70/GJ for natural gas and CAD 92.09/bbl for oil [4][21]. Outlook - Full-year capital investment is forecasted to remain within the 2025 budget range of CAD 40 to 50 million, with average annual production expected to be between 9,000 and 10,000 boe/d [3][4][21]. - The company remains optimistic about its 2025 development program and overall performance due to constructive forward commodity prices [4][21].