Tamarack Valley Energy Announces 2026 Corporate Budget, Additional Shareholder Returns and Appointment of New Director

CALGARY, AB, Dec. 3, 2025 /CNW/ – Tamarack Valley Vitality Ltd. is happy to announce its 2026 price range and steering for the upcoming yr in respect of the continued growth of the Firm’s Clearwater and Charlie Lake property.

Tamarack has designed a scaled 2026 capital funding program of $390 to $410 million to maximise whole return whereas sustaining flexibility within the prevailing commodity worth cycle. This moderated capital program is projected to generate year-over-year manufacturing development of ~3% primarily reflecting the influence of growth actions in 2026 and ongoing waterflood investments in 2024 and 2025. At a price range worth of US$60 per barrel WTI, Tamarack expects to generate vital free funds circulation⁽¹⁾ and ship robust returns to shareholders by means of sustainable base dividends, share buybacks and internet debt⁽¹⁾ discount.

Tamarack is projecting a sustaining free funds circulation breakeven price⁽¹⁾ of ~US$35 per barrel WTI (US$40 per barrel WTI, unhedged), because the Firm continues to drive increased margins within the enterprise by means of improved capital efficiencies, increased worth realizations, decrease prices and portfolio optimization. Tamarack’s company manufacturing decline price⁽²⁾ is anticipated to be 22% for the complete yr, with ongoing success from main growth and secondary waterflood enlargement within the Clearwater persevering with to exceed expectations driving increased manufacturing development and decrease declines. Collectively, the low breakeven oil worth and declining reinvestment charges have offered Tamarack with larger resiliency in a decrease commodity worth atmosphere.

Finances & Steering Replace

Roughly 70% of the Firm’s 2026 capital funding program is devoted to the Clearwater for ongoing main growth and waterflood enlargement. Growth actions embody the drilling of >75 Clearwater main growth wells, an ~18% decline from 2025, and the implementation of >65 new injection wells (together with 25 conversions) throughout the Nipisi, West Marten, Marten Hills and South Clearwater areas. Waterflood investments are forecasted to be $100 million, which represents double that of 2025 in response to the continued success of this system. Clearwater injection charges are anticipated to develop by 70% to 60,000 bbl per day (exit to exit injection charges) and with larger than 35% of Clearwater oil manufacturing below waterflood by the top of 2026. Tamarack expects that expanded waterfloods investments will additional speed up decline mitigation and decrease future reinvestment ratios long run, which is able to allow the Firm to supply extra torque to development at increased commodity worth cycles.

Tamarack is allocating 20% of the capital funding price range for ongoing growth of Charlie Lake with plans to take care of a flat exit price manufacturing profile, using a one-rig program to drill 10 wells at Pipestone and Wembley. Tamarack’s scalable Charlie Lake asset continues to draw capital with top-tier mild oil stock characterised by fast cycle occasions, low breakeven prices and first payouts inside one yr.

Tamarack’s de-risk and exploration price range consists of alternatives within the larger Clearwater fairway and Pelican Space. Tamarack lately elevated its land place within the Pelican space to 31.25 internet sections. Trade exercise at Pelican has been promising with two operators implementing polymer-enhanced restoration schemes offsetting Tamarack’s lands within the Wabiskaw oil formation, and a 3rd operator within the space demonstrating early success within the Clearwater. Tamarack plans to drill each the Wabiskaw and Clearwater oil zones at Pelican in 2026.

Tamarack estimates 2026 sustaining capital⁽¹⁾ to be $265 million, reflecting a 16% discount in sustaining capital necessities in comparison with the prior yr. Robust reservoir response and decline mitigation from the waterflood enlargement, mixed with ongoing capital efficiencies from multi-well-pad growth, level-loaded drilling schedules and stable run occasions, have lowered the sustaining capital and reinvestment necessities for the Firm to take care of company manufacturing ranges.  

The Firm’s capital funding program is predicted to ship year-over-year manufacturing development of ~3%, which equates to ~9% when adjusted for non-core asset divestitures in 2025. This development primarily displays the influence of growth actions in 2026 and ongoing waterflood investments in 2024 and 2025. Tamarack is concentrating on decrease manufacturing development in 2026 in response to the weaker WTI worth outlook for the complete yr. Tamarack stays nimble and will scale the 2026 capital program in both route if costs materially fluctuate through the yr.

Internet manufacturing bills⁽¹⁾ in 2026 are anticipated to say no by 6% in comparison with the prior yr, primarily because of non-core property inclinations in 2025, which carried increased per barrel prices relative to Tamarack’s company averages on retained property. The Firm additionally continues to drive decrease per barrel prices by means of discipline infrastructure investments, decrease water dealing with and trucking prices from waterflood reinjection, carbon abatement initiatives, increased manufacturing and decreased workover prices.

5-year Plan Replace & Extra Shareholder Returns

Tamarack’s lately up to date five-year plan displays the continued enhancements within the profitability of the enterprise by means of a mixture of a decrease price construction, decrease company decline charges, decrease reinvestment necessities and decrease company breakeven oil costs resulting in increased free money circulation⁽¹⁾ era. Along with decrease debt and a laddered debt maturity, Tamarack is uniquely positioned to generate sustainable whole returns to shareholders by means of a mixture of development, debt discount, share buybacks and the bottom dividend.

With the enhancements demonstrated within the up to date long-range plan, the Firm has achieved its internet debt goal of 1X Internet Debt to Adjusted EBITDA⁽¹⁾ at US$50 per bbl WTI and is allocating further free funds circulation to share buybacks in 2026. Tamarack seeks to maximise per share returns and worth to shareholders throughout commodity worth cycles. Confer with the investor presentation on Tamarack’s web site for extra data relating to the Firm’s up to date five-year plan and accelerated shareholder returns.

Board of Administrators Replace

Tamarack is happy to announce the Board appointment of Mr. Craig Bryksa to the Firm’s Board of Administrators, efficient December 2, 2025. Mr. Bryksa most lately served as President and Chief Government Officer of Veren Inc. till its mixture with Whitecap Assets Inc. in Could 2025. Previous to this position, he held numerous senior administration positions throughout the group, together with Vice President, Engineering West, after becoming a member of the corporate in 2006. His business expertise as an expert engineer additionally consists of roles with Enerplus Assets Fund and McDaniel & Associates Consultants. He at present serves on the Board of Administrators of Whitecap Assets Inc.

About Tamarack Valley Vitality Ltd.

Tamarack is an organization engaged within the exploration, growth, manufacturing and sale of oil and pure fuel within the Western Canadian Sedimentary Basin. The Firm is at present creating two tasks in Northern Alberta – a Clearwater heavy oil place at Nipisi, Marten Hills and South Clearwater and a Charlie Lake mild oil place at Valhalla, Wembley and Pipestone. Tamarack holds an in depth stock of low-risk, oil growth drilling areas and is pursuing enhanced oil restoration upside throughout the Firm’s core asset areas. Tamarack is dedicated to creating long-term worth for its shareholders by means of sustainable free funds circulation era, monetary stability and the return of capital. The Firm is publicly traded on the Toronto Inventory Trade below the image “TVE”. For extra data, go to www.tamarackvalley.ca.

Reader Advisories

Chosen monetary and working data must be learn with Tamarack’s unaudited consolidated monetary statements and associated administration’s dialogue and evaluation for the three and 9 months ended September 30, 2025, which can be found on SEDAR+ at www.sedarplus.ca and on Tamarack’s web site at www.tamarackvalley.ca

Disclosure of Oil and Gasoline Data

For the aim of calculating unit prices, pure fuel volumes have been transformed to a boe utilizing six thousand cubic ft equal to 1 barrel until in any other case said. A boe conversion ratio of 6:1 is predicated upon an vitality equivalency conversion technique primarily relevant on the burner tip and doesn’t characterize a price equivalency on the wellhead. This conversion conforms with Canadian Securities Directors’ Nationwide Instrument 51 101 – Requirements of Disclosure for Oil and Gasoline Actions (“NI 51-101”). Boe could also be deceptive, notably if utilized in isolation.

Oil and Gasoline Metrics

This information launch accommodates metrics generally used within the oil and pure fuel business, equivalent to company decline price. “Company decline price” represents the proportion decline of the Firm’s manufacturing base, excluding the manufacturing from new wells drilled within the yr. Company decline price isn’t a monetary measure and doesn’t have a standardized that means below NI 51-101. This time period has been calculated by administration and doesn’t have a standardized that means and is probably not similar to comparable measures introduced by different corporations and, due to this fact, shouldn’t be used to make such comparisons. Administration makes use of this oil and fuel metric for its personal efficiency measurements and to supply shareholders with a measure to match Tamarack’s operations over time. Readers are cautioned that the data offered by these metrics shouldn’t be relied upon for funding or different functions.

Product Sorts

References on this information launch to “crude oil” or “oil” refers to mild, medium and heavy crude oil product sorts as outlined by NI 51-101. References to “NGL” all through this information launch comprise pentane, butane, propane, and ethane, being all NGL as outlined by NI 51-101. References to “pure fuel” all through this information launch refers to standard pure fuel as outlined by NI 51-101. Company steering of 69,000 – 71,000 boe/d: 47,020 – 48,380 bbl/d heavy oil, 9,070 – 9,330 bbl/d mild/med. oil, 2,560 – 2,640 bbl/d NGL and 62,100 – 63,900 mcf/d pure fuel.

Ahead Trying Data

This information launch accommodates sure forward-looking data (collectively referred to herein as “forward-looking statements”) throughout the that means of relevant Canadian securities legal guidelines. Ahead-looking statements are sometimes, however not all the time, recognized by means of phrases equivalent to “price range”, “steering”, “outlook”, “anticipate”, “goal”, “plan”, “proceed”, “intend”, “contemplate”, “estimate”, “count on”, “might”, “will”, “ought to”, “may” or comparable phrases (together with negatives or grammatical variations) suggesting future outcomes. Extra notably, this information launch accommodates statements regarding: Tamarack’s enterprise technique, goals, energy and focus; the Firm’s exploration and growth plans and methods; producing vital free funds circulation at a budgeted worth of US$60 per bbl WTI, permitting the Firm to proceed delivering robust returns for traders by means of sustainable dividends, share buybacks and internet debt discount; expectations that sustaining free funds circulation breakeven price shall be US$35 per barrel WTI in 2026 (US$40 per barrel WTI, unhedged) because the Firm continues to drive increased margins within the enterprise by means of improved capital efficiencies, increased worth realizations; company manufacturing decline charges of twenty-two% in 2026; collectively, the low breakeven oil worth and declining reinvestment charges have offered Tamarack with larger resiliency in a decrease commodity worth atmosphere; projections that year-over-year manufacturing development shall be roughly 3%; excluding the influence of decrease manufacturing from non-core asset divestitures in 2025, year-over manufacturing development is predicted to be 9%; 2026 price range and steering expectations, together with capital investments of $390 – 410 million and the allocation thereof, annual common manufacturing of 69,000 – 71,000 boe/day, common oil and pure fuel weightings of 84 – 86%, royalty charges of 19 – 21%, company wellhead worth differentials – oil of $1.00 – 1.50 per boe, internet manufacturing bills of $6.85 – 7.15 per boe, transportation bills of $4.00 – 4.50 per boe, common and administrative bills of $1.30 – 1.45 per boe, curiosity expense of $2.70 – 3.10 per boe and earnings taxes as a % of adjusted funds circulation earlier than tax of 10 – 12%; plans to ramp up Clearwater injection charges by 70% to 60,000 bbl per day in 2026 and expectations that larger than 35% of Clearwater oil manufacturing to be below waterflood by the top of the yr; growth actions in 2026, together with over >75 wells (18% decline over 2025) and related growth prices (together with plans to start creating each the Wabiskaw and Clearwater oil zones at Pelican in 2026); the implementation of >65 new waterflood injection wells (together with 25 conversions) throughout the Nipisi, West Marten, Marten Hills and South Clearwater areas; plans to take care of a flat exit price manufacturing profile within the Charlie Lake; Tamarack’s scalable Charlie Lake asset continues to draw capital with top-tier mild oil stock characterised by fast cycle occasions, low breakeven prices and first payouts inside one yr; Tamarack’s de-risk/exploration price range; expectations that internet manufacturing bills in 2026 are anticipated to say no by as much as 6% in comparison with 2025; expectations that the Firm continues to drive decrease per barrel prices by means of discipline infrastructure investments, decrease water dealing with and trucking prices from waterflood reinjection, carbon abatement initiatives, increased manufacturing and decreased workover prices; the Firm remaining nimble and capable of scale the 2026 capital program in both route if commodity costs materially fluctuate through the yr; decrease sustaining capital necessities for the Firm to take care of company manufacturing ranges, together with $265 million of sustaining capital in 2026; Tamarack’s lately up to date five-year plan displays the continued enhancements within the profitability of the enterprise by means of a mixture of a decrease price construction, decrease company decline charges, decrease reinvestment necessities and decrease company breakeven oil costs resulting in increased free money circulation era; along with decrease debt and a laddered debt maturity, Tamarack is uniquely positioned to generate sustainable whole returns to shareholders by means of a mixture of development, debt discount, share buybacks and the bottom dividend; with the enhancements demonstrated within the up to date lengthy vary plan, the Firm has achieved its internet debt goal of 1X Internet Debt to Adjusted EBITDA at US$50 per bbl WTI and is allocating further free funds circulation to share buybacks in 2026; Tamarack seeks to maximise per share returns and worth to shareholders throughout commodity worth cycles; future main growth and secondary waterflood enlargement and enhanced oil restoration within the Clearwater persevering with to exceed expectations and driving increased manufacturing development, decrease company decline charges and decrease future reinvestment ratios long run; the efficiency traits of the Firm’s oil and pure fuel properties; and the supply of funding for the Firm’s actions. As well as, statements associated to “restoration” are deemed to be forward-looking data as they contain the implied evaluation, primarily based on sure estimates, that the assets will be found and profitably produced sooner or later.

Future dividend funds and share buybacks, if any, and the extent thereof, are unsure, because the Firm’s return of capital framework and the funds obtainable for such actions once in a while relies upon, amongst different issues, free funds circulation monetary necessities for the Firm’s operations and the execution of its technique, fluctuations in working capital and the timing and quantity of capital expenditures, debt service necessities and different components past the Firm’s management. Additional, the flexibility of Tamarack to pay dividends and buyback shares shall be topic to relevant legal guidelines (together with the satisfaction of the solvency check contained in relevant company laws) and contractual restrictions contained within the devices governing its indebtedness, together with its credit score facility.

The forward-looking statements contained on this doc are primarily based on sure key expectations and assumptions made by Tamarack, together with these referring to: the marketing strategy of Tamarack; execution of the Firm’s 2026 price range; precise fourth quarter 2025 outcomes and exit values; the timing of and success of future drilling, conversion, growth and completion actions; the geological traits of Tamarack’s properties; prevailing commodity costs, worth volatility, worth differentials and the precise costs acquired for the Firm’s merchandise; the belief of anticipated advantages of the Firm’s infrastructure, waterflood growth program and up to date acquisitions and divestitures; the supply and efficiency of drilling rigs, amenities, pipelines and different oilfield providers; the timing of previous operations and actions within the deliberate areas of focus; the efficiency of recent and current wells; the applying of current drilling and fracturing methods; the Firm’s capability to safe enough quantities of water; prevailing climate and break-up circumstances; royalty regimes and alternate charges; influence of inflation on prices; the applying of regulatory and licensing necessities; the continued availability of capital and expert personnel; the flexibility to take care of or develop the banking amenities; the accuracy of Tamarack’s geological interpretation of its drilling and land alternatives, together with the flexibility of seismic exercise to reinforce such interpretation; and Tamarack’s capability to execute its plans and methods.

Though administration considers these assumptions to be affordable primarily based on data at present obtainable, undue reliance shouldn’t be positioned on the forward-looking statements as a result of Tamarack can provide no assurances that they could show to be right. By their very nature, forward-looking statements are topic to sure dangers and uncertainties (each common and particular) that might trigger precise occasions or outcomes to vary materially from these anticipated or implied by such forward-looking statements. These dangers and uncertainties embody, however usually are not restricted to: dangers with respect to unplanned third celebration pipeline outages and dangers referring to inclement and extreme climate occasions and pure disasters, equivalent to hearth, drought and flooding, together with in respect of security, asset integrity and shutting-in manufacturing; the chance that future dividend funds thereunder are decreased, suspended or cancelled; incorrect assessments of the worth of advantages to be obtained from exploration and growth applications; dangers related to the oil and fuel business typically (e.g. operational dangers in growth, exploration and manufacturing; and delays or adjustments in plans with respect to exploration or growth tasks or capital expenditures); the chance that (i) the U.S. and Canadian governments keep tariffs, improve the speed or scope of tariffs, or impose new tariffs on the import of products from one nation to the opposite, together with on oil and pure fuel, (ii) the U.S. and/or Canada imposes every other type of tax, restriction or prohibition on the import or export of merchandise from one nation to the opposite, together with on oil and pure fuel, and (iii) the tariffs imposed by the U.S. on different nations and responses thereto may have a cloth antagonistic impact on the Canadian, U.S. and world economies, and by extension the Canadian oil and pure fuel business and the Firm; commodity costs, together with the influence of the actions of OPEC and OPEC+ members; dangers referring to reliance on third events, together with in respect of the Firm’s use of third-party infrastructure at Charlie Lake; the uncertainty of estimates and projections referring to manufacturing, money era, prices and bills, together with elevated working and capital prices because of inflationary pressures; well being, security, litigation and environmental dangers; entry to capital; and pandemics. As well as, ongoing army actions within the Center East and between Russia and Ukraine have the potential to threaten the availability of oil and fuel from these areas. The long-term impacts of the actions between these nations stays unsure. As a result of nature of the oil and pure fuel business, drilling plans and operational actions could also be delayed or modified to reply to market circumstances, outcomes of previous operations, regulatory approvals or availability of providers inflicting outcomes to be delayed. Please consult with the newest annual data type and administration’s dialogue and evaluation of the Firm, for extra threat components referring to Tamarack, which will be accessed both on Tamarack’s web site at www.tamarackvalley.ca or below the Firm’s profile on www.sedarplus.ca. The forward-looking statements contained on this information launch are made as of the date hereof and the Firm doesn’t undertake any obligation to replace publicly or to revise any of the included statements, besides as required by regulation. The forward-looking statements contained herein are expressly certified by this cautionary assertion.

This information launch accommodates future-oriented monetary data and monetary outlook data (collectively, “FOFI”) about producing sustainable long-term development in free funds circulation, dividends, share buybacks and debt discount, the 2026 capital price range of $390 – 410 million, steering and price range pricing and allocation, together with potential outcomes of operations, manufacturing (together with annual common manufacturing of 69,000 – 71,000 boe/day, common oil and pure fuel weightings of 84 – 86% and manufacturing development of three%) and free funds circulation, working prices (together with internet manufacturing bills in 2026 declining by as much as 6% in comparison with 2025), steadiness sheet energy, and elements thereof, all of that are topic to the identical assumptions, threat components, limitations and {qualifications} as set forth within the above paragraphs. FOFI contained on this doc was accepted by administration as of the date of this doc and was offered for the aim of offering additional details about Tamarack’s future enterprise operations. Tamarack and its administration imagine that FOFI has been ready on an inexpensive foundation, reflecting administration’s finest estimates and judgments, and characterize, to the perfect of administration’s information and opinion, the Firm’s anticipated plan of action. Nonetheless, as a result of this data is very subjective, it shouldn’t be relied on as essentially indicative of future outcomes. Tamarack disclaims any intention or obligation to replace or revise any FOFI contained on this doc, whether or not because of new data, future occasions or in any other case, until required pursuant to relevant regulation. Readers are cautioned that the FOFI contained on this doc shouldn’t be used for functions apart from for which it’s disclosed herein. Modifications in commodity costs, variations within the timing and allocation of capital expenditures, and variances in common manufacturing estimates can have a big influence on the important thing efficiency measures included in Tamarack’s steering. Precise outcomes might differ materially from these estimates.

Specified Monetary Measures

This information launch consists of numerous specified monetary measures, together with non-IFRS monetary measures, non-IFRS monetary ratios, capital administration measures and supplemental monetary measures as additional described herein. These measures should not have a standardized that means prescribed by Worldwide Monetary Reporting Requirements (“IFRS”) and, due to this fact, is probably not comparable with the calculation of comparable measures by different corporations.

Internet Manufacturing Bills (Non-IFRS Monetary Measures, and Non-IFRS Monetary Ratio if calculated on a per boe foundation) is calculated as manufacturing bills much less processing earnings. Tamarack generates processing earnings from third events that make the most of extra capability at Tamarack’s amenities. If Tamarack has extra capability at one in all its amenities, the Firm will search to course of third-party volumes as a way of offsetting a portion of the ability prices. Accordingly, internet manufacturing bills permit Tamarack and others to evaluate the profitability of discipline working outcomes by together with the related earnings generated from plant operations.

Adjusted funds circulation (capital administration measure) is outlined as money offered by working actions excluding asset retirement obligation expenditures, transaction prices and adjustments in non-cash working capital. Asset retirement obligation expenditures and transactions prices from enterprise mixtures each outcome from the Firm’s capital budgeting and strategic planning processes, which first considers obtainable adjusted funds circulation. Asset retirement obligation expenditures fluctuate from interval to interval relying on capital applications, authorities laws and the maturity of the Firm’s working areas. By additionally excluding adjustments in non-cash working capital from money offered by working actions, the adjusted funds circulation measure supplies a significant metric for Tamarack and others by establishing a transparent hyperlink between the Firm’s money flows, earnings assertion and working netbacks by isolating the influence of adjustments within the timing between accrual and money settlement dates, which may typically be inside administration’s management. Tamarack makes use of adjusted funds circulation to evaluate the Firm’s monetary efficiency and money generated from working actions.

Free funds circulation (capital administration measure) is outlined as adjusted funds circulation much less investments in oil and pure fuel property (excluding acquisitions and inclinations) and the settlement of asset retirement obligations. Administration makes use of free funds circulation to evaluate how a lot money was generated in extra of the Firm’s capital funding and asset retirement applications throughout the similar interval, which will be utilized to cut back debt, fund acquisitions or return capital.

Internet debt (capital administration measure) is calculated because the sum of the Firm’s debt, authorities loans and different, money, accounts receivable, pay as you go bills and deposits, cross-currency swap legal responsibility (asset), property held on the market (internet), accounts payable and accrued liabilities. Tamarack and others make the most of internet debt to evaluate liquidity and steadiness sheet energy by aggregating the choose monetary property and monetary liabilities on the Firm’s steadiness sheet.

Adjusted EBITDA (capital administration measure) is calculated as internet earnings (loss) earlier than curiosity, earnings taxes, depletion, depreciation, impairment losses, non-cash bills, unrealized positive factors (losses) and different non-recurring gadgets. Tamarack makes use of adjusted funds circulation to evaluate the Firm’s monetary efficiency. Internet debt to adjusted EBITDA (capital administration ratio) is calculated as internet debt divided by Adjusted EBITDA and supplies a measure of earnings relative to the Firm’s debt ranges.

Sustaining capital (supplementary monetary measure) represents administration’s estimate of annual capital investments required to take care of company manufacturing at prior interval ranges. This measure permits Administration and others to evaluate the approximate composition of Tamarack’s annual capital funding applications and its company monetary sustainability. Sustaining capital can be utilized to calculate the Firm’s free funds circulation breakeven price.

Free funds circulation breakeven price (capital administration measure) displays the common minimal WTI worth (US per bbl) acquired by Tamarack the place adjusted funds circulation internet of the bottom dividend and sustaining capital necessities is roughly equal to zero, with sustained present hedged manufacturing ranges and all different variables held fixed. Administration believes that free funds circulation breakeven supplies a helpful measure to determine company monetary sustainability.

The calculation of Tamarack’s free funds circulation breakeven price of US$35 per bbl was primarily decided by using the ranges inside price range assumptions included within the desk on web page 1 of this information launch, apart from for capital investments, which make the most of the Firm’s sustaining capital necessities of $265.0 million below an assumed scaled-budget, break-even worth situation, and common royalty charges which might be anticipated to say no to 14 – 15% at WTI worth of $35 per bbl. Different assumptions utilized by the Firm to calculate the free funds circulation breakeven price consists of annual dividends of $0.16 per share, hedging positive factors of $4.67 per boe and asset retirement obligation expenditures of $5.0 million.

Please consult with the administration’s dialogue and evaluation for extra data referring to specified monetary measures together with non-IFRS monetary measures, non-IFRS monetary ratios and capital administration measures. The administration’s dialogue and evaluation will be accessed both on Tamarack’s web site at www.tamarackvalley.ca or below the Firm’s profile on www.sedarplus.ca.

Abbreviations

SOURCE Tamarack Valley Vitality Ltd.