Tuktu Resources Ltd. Announces Second Quarter 2025 Results and Operations Update

Core Insights - Tuktu Resources Ltd. reported significant growth in petroleum and natural gas sales for Q2 2025, with a 291% increase to $2.44 million compared to Q2 2024, and a 396% increase to $5.71 million for the first half of 2025 compared to the same period in 2024 [2][10] - The company continues to advance its light oil play in the Alberta Deep Basin, with a discovery well producing approximately 200 bbl/d of oil and a total of 97,000 bbl produced since its inception [6][7] - An incremental capital budget of $1.0 million has been approved for 2025, focusing on optimizing the Penny light oil asset and includes a four-well optimization program [8] Financial Highlights - Petroleum and natural gas sales for Q2 2025 reached $2,438,608, a 291% increase from $623,872 in Q2 2024 [2] - Cash flow from operating activities improved significantly, with a loss of $429,622 in Q2 2025 compared to a loss of $1,943,319 in Q2 2024, marking a 78% improvement [2] - Net loss decreased by 93% in Q2 2025 to $71,370 from $992,419 in Q2 2024 [2] Operating Highlights - Average production volumes increased by 55% to 622 boe/d in Q2 2025, with crude oil production rising by 593% to 298 bbl/d [2][10] - The average realized price for crude oil was $78.23/bbl, down 20% from $97.85/bbl in Q2 2024, while natural gas prices increased by 46% to $1.79/mcf [2][10] - Operating netback improved significantly to $9.66/boe from ($3.63)/boe in Q2 2024, reflecting enhanced operational performance [4][10] Operations Update - The company is focusing on targeting fracture systems in its drilling strategy, leveraging management's expertise in carbonate reservoirs [8] - The offset horizontal well drilled in Q1 2025 is producing at lower than expected rates, averaging 10 bbl/d, indicating the importance of fracture location in production performance [7] - Tuktu's operations generated adjusted funds flow used in operations of $81,126 in Q2 2025, a significant improvement from $1,738,903 in Q2 2024 [2][10]