Pieridae Releases Q4 and Full Year 2024 Financial & Operating Results and 2024 Reserves

NOT FOR DISTRIBUTION TO UNITED STATES NEWS WIRE SERVICES ORDISSEMINATION IN UNITED STATES

CALGARY, Alberta, March 19, 2025 (GLOBE NEWSWIRE) -- Pieridae Energy Limited ("Pieridae" or the "Company") (TSX:PEA) announces the release of its fourth quarter and full year 2024 financial and operating results and year-end reserves. Pieridae generated Net Operating Income1 ("NOI") of $64.6 million and produced 27,763 boe/d (84% natural gas) during 2024. The Company posted Q4 NOI of $13.7 million and production of 22,568 boe/d, while 2024 exit production was approximately 25,558 boe/d.

The Company also filed its Annual Information Form ("AIF") for the year ended December 31, 2024, including the 2024 independent oil and natural gas reserves evaluation as required under National Instrument 51-101 Standards of Disclosure of Oil and Gas Activities ("NI 51-101"). Pieridae's 2024 NI 51-101 Proved Developed Producing ("PDP") PV10 value is $621.4 million and Total Proved plus Probable ("TPP") PV10 value is $1,252.2 million2.

The Company's AIF, management's discussion and analysis ("MD&A") and audited consolidated financial statements and notes for the year ended December 31, 2024 are available at www.pieridaeenergy.com and on SEDAR+ at www.sedarplus.ca.

"2024 was pivotal for Pieridae," said Darcy Reding, President and CEO. "We divested our legacy LNG assets, repaid our high-cost bridge loan prior to its maturity, completed our Waterton turnaround on budget, and raised over $33 million in equity from existing shareholders and insiders to invest in value accretive production and optimization projects. Our strong hedge position, operating cost reductions, and proactive production curtailments helped the Company withstand deeply discounted natural gas prices in 2024. As we look towards 2025 and beyond, we continue our efforts to dramatically reduce costs and pay down debt, while capitalizing on new accretive opportunities. Key priorities for 2025 include repositioning the Company's sulphur business to benefit from the upcoming expiry of the long-term sulphur marketing agreement on December 31, 2025, and working towards a commercial solution to consolidate approximately 75 MMcf/d of currently shut-in raw gas from a third-party facility into our Caroline Gas Plant. We continue to advance our strategy successfully and are very excited about 2025 and beyond."________________________1 Refer to the "non-GAAP measures" section of the Company's MD&A.2 PV10 at effective date of Dec. 31, 2024 using Jan. 1, 2025 evaluator consensus ("IC4") price forecast.

2024 ANNUAL HIGHLIGHTS

Generated NOI of $64.6 million ($0.24 per basic and fully diluted share).

Generated Funds Flow from Operations1 of $18.1 million ($0.07 per basic and fully diluted share).

Incurred operating expenses of $185.7 million, down 17% from 2023 on continued efforts to reduce field and facility operating cost structure.

Produced 27,763 boe/d (84% natural gas), down 15% from 2023 due primarily to the voluntary shut-in of approximately 9,400 boe/d of uneconomic dry gas production during the second half of 2024.

Incurred net loss of $38.9 million (-$0.20 per basic and fully diluted share).

Grew third-party raw gas processing volumes to 63 MMcf/d, up 3.6% from 2023.

Completed disposition of legacy Goldboro assets for gross cash proceeds of $12.0 million, simplifying the Company's strategic focus.

Completed a $4.5 million non-brokered private placement, resulting in the issuance of 12.8 million common shares to an existing shareholder.

Settled convertible bridge loan for $24.0 million in advance of its December 13, 2024 maturity date.

Completed a $29.0 million equity rights offering (the "Rights Offering") resulting in the issuance of 118.5 million common shares to existing shareholders and insiders with net proceeds used to repay long term debt, fund working capital and invest in value accretive production and optimization projects.

Incurred capital expenditures of $25.7 million in 2024, focused primarily on phase 2 of the Waterton facility maintenance turnaround, along with well and facility optimization projects.

Recorded 2024 NI 51-101 TPP reserves of 244.3 MMboe and TPP PV10 reserve value of $1,252.2 million at the Jan. 1, 2025 IC4 price forecast.

 

 

 

 

 

 

 

Selected Annual Results ($ 000s unless otherwise noted)

2024

 

2023

 

2022

 

Production

 

 

 

Natural gas (mcf/d)

139,710

 

168,821

 

181,677

 

Condensate (bbl/d)

2,397

 

2,339

 

2,860

 

NGLs (bbl/d)

2,082

 

2,296

 

3,729

 

Sulphur (tonne/d)

1,319

 

1,306

 

1,459

 

Total production (boe/d) (1)

27,763

 

32,772

 

36,868

 

Third-party volumes processed (mcf/d) (2)

63,013

 

60,834

 

60,039

 

Reserves

 

 

 

Net proved plus probable (2P) reserves NPV10 (3)

1,252,170

 

1,371,735

 

1,507,413

 

Financial

 

 

 

Natural Gas Price ($/mcf)

 

 

 

Realized before Risk Management Contracts (4)

1.58

 

2.67

 

5.30

 

Realized after Risk Management Contracts (4)

3.15

 

3.67

 

4.40

 

Benchmark natural gas price

1.45

 

2.63

 

5.36

 

Condensate Price ($/bbl)

 

 

 

Realized before Risk Management Contracts (4)

94.48

 

97.01

 

114.66

 

Realized after Risk Management Contracts (4)

86.73

 

95.55

 

111.18

 

Benchmark condensate price

100.02

 

102.73

 

121.46

 

Sulphur Price ($/tonne)

 

 

 

Realized sulphur price (5)

13.52

 

21.86

 

44.88

 

Benchmark sulphur price

126.76

 

128.60

 

344.42

 

Revenue (6)

268,840

 

374,029

 

443,835

 

Net income (loss)

(38,905)

 

8,981

 

146,620

 

Net income (loss) $ per share basic

(0.20)

 

0.06

 

0.93

 

Net income (loss) $ per share diluted

(0.20)

 

0.04

 

0.91

 

Net operating income (7)

64,608

 

130,929

 

200,989

 

Cashflow provided by operating activities

7,132

 

104,202

 

88,167

 

Funds flow from operations (7)

18,107

 

85,692

 

153,679

 

Total assets

612,423

 

638,541

 

615,477

 

Adjusted working capital deficit (7)

(29,777)

 

(31,830)

 

(11,249)

 

Net debt (7)

(197,564)

 

(204,046)

 

(214,503)

 

Non-current liabilities

326,853

 

300,261

 

157,104

 

Capital expenditures (8)

25,697

 

55,539

 

39,526

 

(1)    Total production excludes sulphur.(2)    Third-party volumes processed are raw natural gas volumes reported by activity month, which do not include accounting accruals.(3)    Estimated pre-tax net present value of discounted cash flows from reserves using a 10% discount rate.(4)    Includes physical commodity and financial risk management contracts inclusive of cash flow hedges, together ("Risk Management Contracts").(5)    Realized sulphur price is net of customary deductions such as transportation, market and storage fees.(6)    Revenue is inclusive of petroleum and natural gas revenue, royalties, processing, marketing and other revenue, and realized gains and losses on risk management contracts.(7)    Refer to the "Net Operating Income", "Capital Resources", "Funds Flow from Operations" and "Working Capital and Capital Strategy" sections of the Company's MD&A for reference to non-GAAP measures.(8)    Excludes reclamation and abandonment activities.

 

 

 

 

 

 

 

2024 RESERVES

Deloitte, Pieridae's independent, qualified reserves evaluator, performed reserves evaluations on the Company's assets at December 31, 2024 and 2023. The following table summarizes those reserves based on the Deloitte NI 51-101 reserve report using the January 1, 2025 and January 1, 2024 IC4 price forecasts, respectively:

 

Year ended December 31

Year ended December 31

Reserve Volume and Net Present Value

MMboe

$000, NPV10(1)

 

2024

2023

% Change

2024

2023

% Change

Reserves Category (2)

 

 

 

 

 

 

Net proved developed producing (PDP) reserves

114.9

120.7

(5)

621,393

614,072

1

Net proved (1P) reserves

183.2

191.2

(4)

961,491

1,053,896

(9)

Net proved plus probable (2P) reserves

244.3

252.5

(3)

1,252,170

1,371,735

(9)

(1)    Estimated pre-tax net present value of discounted cash flows from reserves using a 10% discount rate at evaluator consensus (IC4) year end price forecast.(2)    Net reserves reflect working interest share of the asset prior to the deduction of royalties.

 

 

 

 

 

 

 

2024 Reserve Reconciliation

 

Light & Medium Oil

Conventional Gas

Natural Gas Liquids

 

Proved

Probable

Proved + Probable

Proved

Probable

Proved + Probable

Proved

Probable

Proved + Probable

 

Mbbl

Mbbl

Mbbl

MMcf

MMcf

MMcf

Mbbl

Mbbl

Mbbl

Opening Balance

-

-

-

959,614

322,150

1,281,764

31,244

7,636

38,880

Production

(1)

-

(1)

(51,030)

-

(51,030)

(1,628)

-

(1,628)

Technical Revisions

1

-

1

89,887

(3,572)

86,315

2,638

653

3,291

Extensions

-

-

-

-

-

-

-

-

-

Acquisitions