Kolibri - update on latest three Tishomingo wells

[Petroleum economist]

THOUSAND OAKS, Calif. – Kolibri Global Energy Inc. (the “Company” or “Kolibri“) (TSX: KEI, NASDAQ: KGEI) is pleased to provide a further update on its latest wells in its Tishomingo field in Oklahoma.

Thirty-day Flow Rates

The initial thirty-day average production rate for the Alicia Renee 2-11-3H (“Alicia 3H”) was 1,062 Barrels of oil equivalent per day (“BOEPD”) (711 barrels of oil per day (“BOPD”)), the Alicia Renee, 2-11-4H (“Alicia 4H”) averaged 883 BOEPD (593 BOPD) and the Alicia Renee 2-11-5H (“Alicia 5H”) well averaged 706 BOEPD (474 BOPD). Current production is about 1,080 BOEPD, 980 BOEPD, and 800 BOEPD, for the Alicia 3H, Alicia 4H and Alicia 5H, respectively.

Kolibri owns a 100% working interest in the wells, which were drilled at a 6-well per section spacing pattern with a lateral length of 1.5 miles. The average cost for the facilities, drilling, and completing these wells is estimated to be less than US$6.3 million per well. These costs include the estimated future cost of installing the tubing and other associated completion equipment into the wells. These estimated future costs are not expected to be incurred until next year, as the wells are still flowing up casing and do not appear to need the tubing installed until then.

Wolf Regener, President and CEO, commented, “We are extremely pleased with how strong these longer lateral Caney wells are performing so far, with all of them still flowing up casing. Also, the expected all-in costs of less than US$6.3 million per well, combined with the great production results so far, indicate the wells to likely be more economic than we had forecast. Assuming the wells continue to perform as we anticipate, it should lead to demonstrating the higher rates of return and efficiencies that we were hoping for. Even with the expected natural declines from the wells, adding these three wells to our existing production, which was 3,032 BOEPD in the quarter ended September 30, 2024, we expect our cash flow to be significantly increased in the fourth quarter and into 2025.”

About Kolibri Global Energy Inc.

Kolibri Global Energy Inc. is a North American energy company focused on finding and exploiting energy projects in oil and gas. 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 in oil and gas. The Company’s shares are traded on the Toronto Stock Exchange under the stock symbol KEI and on the NASDAQ under the stock symbol KGEI.

[Petroleum economist]

The continued production from hese wells is positive news. I am increasing my Q4 production forecast of 4,790 BoE/d to 4,850 BoE/d.
The succes rate will make it more likely that Kolibri will try to drill more similar wells in 2025. No firm plans were made, pending the outcome of these wells, deliberating spending capex in 2025 or to start returning funds to shareholders.

Kolibri ranks a high 7th out of 82 in my oil and gas company ranking system.
The ranking dropped a bit because the share price over the last four weeks went up with a staggering 31%.
Despite this rise, I believe Kolibri has a long way to go.

[dan_s]

Kolibri believes that the Caney formation will be productive throughout all of their 17,000 acres of leasehold. There should be more than 100 horizontal drilling locations.

Wolf believes that their stock is grossly undervalued, so I expect them to announce a stock buyback soon.

[dan_s]

I will be finishing my review of the updated profile for Kolibri Global Energy (KGEI) tomorrow. The stocks had a nice run since this press release. The 3 new Alicia Renee horizontal wells are OUTSTANDING. My current valuation of $6.20US per share now looks too conservative. As I posted earlier, Kolibri has a lot of Running Room in the Tishomingo Field.

THOUSAND OAKS, Calif., December 05, 2024--(BUSINESS WIRE)--Kolibri Global Energy Inc. (the "Company" or "Kolibri") (TSX: KEI, NASDAQ: KGEI) is pleased to provide a further update on its latest wells in its Tishomingo field in Oklahoma.

Thirty-day Flow Rates

The initial thirty-day average production rate for the Alicia Renee 2-11-3H ("Alicia 3H") was 1,062 Barrels of oil equivalent per day ("BOEPD") (711 barrels of oil per day ("BOPD")), the Alicia Renee, 2-11-4H ("Alicia 4H") averaged 883 BOEPD (593 BOPD) and the Alicia Renee 2-11-5H ("Alicia 5H") well averaged 706 BOEPD (474 BOPD). Current production is about 1,080 BOEPD, 980 BOEPD, and 800 BOEPD, for the Alicia 3H, Alicia 4H and Alicia 5H, respectively.

Kolibri owns a 100% working interest in the wells, which were drilled at a 6-well per section spacing pattern with a lateral length of 1.5 miles. The average cost for the facilities, drilling, and completing these wells is estimated to be less than US$6.3 million per well. These costs include the estimated future cost of installing the tubing and other associated completion equipment into the wells. These estimated future costs are not expected to be incurred until next year, as the wells are still flowing up casing and do not appear to need the tubing installed until then.

Wolf Regener, President and CEO, commented, "We are extremely pleased with how strong these longer lateral Caney wells are performing so far, with all of them still flowing up casing. Also, the expected all-in costs of less than US$6.3 million per well, combined with the great production results so far, indicate the wells to likely be more economic than we had forecast. Assuming the wells continue to perform as we anticipate, it should lead to demonstrating the higher rates of return and efficiencies that we were hoping for. Even with the expected natural declines from the wells, adding these three wells to our existing production, which was 3,032 BOEPD in the quarter ended September 30, 2024, we expect our cash flow to be significantly increased in the fourth quarter and into 2025."

[dan_s]

I have posted my updated forecast/valuation model for KGEI to the EPG website. We will publish the updated profile on Saturday morning.

Over the last 30 days the share price has increased 59%.

You may have noticed that each of my monthly newsletters contains this paragraph: “Small-Caps have more risk than the larger companies in our Sweet 16, but they also have more potential. Size does matter in this business. As upstream companies grow production and proved reserves they deserve higher stock valuations. Since EPG was founded in 2003, our largest percentages gains have come from small-caps with high-quality management teams and lots of “Running Room”.

Kolibri and Solaris Energy Infrastructure (SEI) are perfect examples of fast the share price of small-caps can change.

My objective is to find small public companies that have a lot of potential, which the Wall Street Gang has yet to discover. KGEI and SEI have management teams that I trust, they are profitable and (most important) they have “Running Room”.

Kolibri recently completed three horizontal development wells that show the SIGNIFICANT upside of their Tishomingo Field in Central Oklahoma.

I believe that the macro outlook for the Energy Sector is very bright heading into 2025. Profitable growth companies should draw a lot of attention now that we have a pro-business and pro-American Energy president.