Summary of Kolibri Global Energy (KGEI) Conference Call Company Overview - Company Name: Kolibri Global Energy Inc. - Ticker Symbols: KGEI (Nasdaq), KEI (Toronto Exchange) [5][28] - Industry: Oil and Gas Production - Location: Oklahoma, operating primarily in the Tishomingo Shale Oil Field [2][28] Key Financial Highlights - Market Capitalization: Approximately $193 million [5] - Net Debt: Approximately $30 million [5] - Enterprise Value: About $200 million [5] - Line of Credit: $65 million with about $30 million drawn [3] - Cash Flow Growth: Anticipated continued growth in cash flow [3] - Approved Reserves: 40 million barrels of oil equivalent, with a value of $535 million [6] - Production Guidance for 2025: Expected growth of 29% to 47% over 2024 [10] Operational Insights - Drilling Depth: Vertical depth between 8,500 to 11,000 feet, with horizontal drilling lengths increasing from one mile to one and a half to two miles [2][10] - Production Composition: Approximately 70% oil, with liquids production around 85% [10] - Recent Drilling Success: Four mile and a half lateral Caney wells (Lovina wells) producing 82% oil [11] - Future Drilling Plans: Two additional mile and a half lateral Caney wells (Barnes wells) planned for completion in October [12] Financial Performance - Adjusted EBITDA: Forecasted between $58 million to $71 million for the current year, up from $44 million in 2024 [12] - Capital Expenditure: Estimated between $48 million to $53 million [12] - Share Buyback Program: Renewed program with over half a million shares repurchased at approximately $5.20 each [13] Market Position and Valuation - Debt to EBITDA Ratio: 0.64, indicating low leverage [5] - Operating Netbacks: Positioned in the upper end of profitability per barrel of oil equivalent [24] - Per Share Value: Estimated at $15 to $19 based on reserves, compared to trading around $5.40 to $5.50 [25] Strategic Outlook - Future Growth: Focus on internal growth and potential external acquisitions that are accretive to shareholders [28] - Infrastructure: Proximity to gathering systems and established infrastructure supports operational efficiency [16][19] - Management Experience: Strong management team with extensive experience in oil and gas operations [26][27] Additional Considerations - Market Recognition: Company believes it has not yet fully realized its market value despite recent drilling successes [7] - Potential Upside: Additional 3,000 acres on the east side and other intervals not yet included in reserve reports present future opportunities [18][19] - Operational Efficiency: Improved drilling times and reduced costs, with recent wells drilled in an average of 10.5 days [21] This summary encapsulates the key points from the Kolibri Global Energy conference call, highlighting the company's operational performance, financial health, and strategic direction.
Kolibri Global Energy (NasdaqCM:KGEI) 2025 Conference Transcript