HEADWATER EXPLORATION INC. ANNOUNCES SECOND QUARTER OPERATING AND FINANCIAL RESULTS AND DECLARES QUARTERLY DIVIDEND

CALGARY, AB, July 23, 2025 /CNW/ - Headwater Exploration Inc. (the "Company" or "Headwater") (TSX:HWX) is pleased to announce its operating and financial results for the three and six months ended June 30, 2025. Selected financial and operational information is outlined below and should be read in conjunction with the unaudited condensed interim financial statements and the related management's discussion and analysis ("MD&A"). These filings will be available at www.sedarplus.ca and the Company's website at www.headwaterexp.com.

 Financial and Operating Highlights

 

Three months ended

June 30,

 

 

PercentChange

 

Six months ended

June 30,

 

PercentChange

2025

2024

2025

2024

Financial (thousands of dollars except share data)  

Total sales, net of blending expense (1) (4)

138,808

157,057

(12)

301,996

284,423

6

Adjusted funds flow from operations (2)

74,218

88,023

(16)

166,577

164,469

1

     Per share - basic

0.31

0.37

(16)

0.70

0.70

-

                     - diluted

0.31

0.37

(16)

0.70

0.69

1

Cash flow provided by operating activities 

68,673

90,402

(24)

138,608

145,449

(5)

     Per share - basic

0.29

0.38

(24)

0.58

0.62

(6)

                     - diluted

0.29

0.38

(24)

0.58

0.61

(5)

Net income

38,023

53,868

(29)

88,027

91,487

(4)

     Per share - basic

0.16

0.23

(30)

0.37

0.39

(5)

                     - diluted

0.16

0.22

(27)

0.37

0.38

(3)

Capital expenditures (1)

50,704

50,717

-

113,551

115,984

(2)

Adjusted working capital (2)

58,472

62,381

(6)

Shareholders' equity

735,055

658,448

12

Dividends declared

26,155

23,765

10

52,310

47,494

10

     Per share

0.11

0.10

10

0.22

0.20

10

Weighted average shares (thousands) 

     Basic

237,763

237,275

-

237,767

236,096

1

     Diluted

239,471

239,452

-

239,469

238,026

1

Shares outstanding, end of period (thousands)

     Basic

237,763

237,654

-

     Diluted (5)

237,763

241,075

(1)

Operating (6:1 boe conversion)

Average daily production

  Heavy crude oil (bbls/d)

20,249

18,825

8

19,882

18,168

9

  Natural gas (mmcf/d)

10.8

5.5

96

12.6

8.5

48

  Natural gas liquids (bbl/d)

185

67

176

164

77

113

  Barrels of oil equivalent (9) (boe/d)

22,235

19,805

12

22,151

19,661

13

Average daily sales (6) (boe/d)

22,123

19,754

12

22,071

19,607

13

Netbacks ($/boe) (7)

  Operating

     Sales, net of blending (4)

68.95

87.37

(21)

75.61

79.70

(5)

     Royalties

(12.84)

(16.49)

(22)

(13.65)

(14.43)

(5)

     Transportation

(5.65)

(5.54)