Kolibri says new Oklahoma wells are flowing back faster than prior Caney wells

Kolibri Global Energy gave an update on early production from its latest Tishomingo field wells in Oklahoma, saying the Clifton Mack wells are outperforming prior Caney wells and that a first False Caney test is about to begin flowback. The company said the results could add drilling locations, reserves and future cash flow if the new completion design continues to work.

Why it matters: - Kolibri Global Energy is signaling that a new fracture stimulation design could improve production at Tishomingo and unlock additional drilling opportunities. - The company said stronger early results could increase reserves, cash flow and shareholder value if the wells continue to clean up as expected.

What happened: - Kolibri Global Energy Inc. provided an operations update on its latest wells in the Tishomingo field in Oklahoma. - The three Clifton Mack wells have been flowing back fracture stimulation fluid for about three weeks. - The Lovina 5-8-1HF well has been successfully fracture stimulated, and flowback is expected to begin early next week after plugs are drilled out. - The Lovina 5-8-1HF well is the company’s first False Caney test.

The details: - The Clifton Mack wells have working interests ranging from 97.45% to 99.03%. - The wells are currently producing at a combined rate of about 2,100 barrels of oil equivalent per day, including about 925 barrels of oil per day. - That output is up about 55% from the prior week. - Daily frac fluid recovery rates have stayed nearly the same even as production improved. - Two of the Clifton Mack wells have recovered just over 15% of the fracture stimulation fluid. - One Clifton Mack well has recovered just over 7% of the fracture stimulation fluid. - The new fracture stimulation design has made the wells flow back differently than previous Caney wells. - The different flowback pattern has delayed peak oil and gas production rates compared with prior wells. - Kolibri said the wells can likely continue to clean up and improve further based on the current daily fracture stimulation fluid recovery. - The Lovina 5-8-1HF well uses the same new fracture stimulation design as the Clifton Mack wells. - Wolf Regener, Kolibri’s president and CEO, said the company is pleased that flowback rates remain high and that the wells posted a large BOEPD improvement in the last week. - Regener said the False Caney test could prove up a new bench and add many future drilling locations not currently booked. - Regener said the additional production and cash flow from these wells is expected to significantly increase company cash flow and add incremental value for shareholders. - Kolibri trades on the Toronto Stock Exchange as KEI and on Nasdaq as KGEI. - Kolibri owns and operates energy properties in the United States through subsidiaries.

Between the lines: - The update reads like an early read on a possible step change in completion performance, not a finished result. - The main signal is less about absolute production today and more about the pace of recovery from stimulation fluid, which can point to how the wells may behave after cleanup. - The False Caney test matters because a successful result could expand Kolibri’s inventory without the company having to book those locations today.

What's next: - Kolibri will start flowback on the Lovina 5-8-1HF well after the fracture stimulation plugs are drilled out. - The company will keep watching whether the Clifton Mack wells continue to clean up and post higher oil and gas rates. - Investors will be looking for confirmation that the new fracture stimulation design can sustain the stronger early performance across more than one well.

The bottom line: - Kolibri’s latest Oklahoma wells are showing stronger early production and fluid recovery than prior Caney wells, and the company is betting that performance could expand reserves and future drilling options if it holds up.