Kolibri Global Energy Inc. press release

Kolibri Global Energy Inc. Announces Another Record for Its Highest Quarterly Revenue of $22.5 Million With a 46% Production Increase and a 197% Net Income Increase for the Second Quarter of 2026

2026-08-13

TSX - Toronto Stock Exchange · United States · Corporate Finance

All amounts are in U.S. Dollars unless otherwise indicated:

SECOND QUARTER HIGHLIGHTS

Revenue, net of royalties was $22.5 million in the second quarter of 2026 compared to $10.8 million for the second quarter of 2025, an increase of 109% due to a 46% increase in production and a 41% increase in average prices Average production for the second quarter of 2026 was 4,690 BOEPD, an increase of 46% compared to the second quarter of 2025 average production of 3,220 BOEPD. The increase was primarily due to production from the wells that were drilled and completed in the last half of 2025 Net income in the second quarter of 2026 was $8.5 million and basic EPS was $0.24/share, compared to $2.9 million and basic EPS of $0.08/share in the second quarter of 2025. The 197% increase was due to higher revenues, partially offset by higher operating expense and depletion expense due to the higher production and realized losses on commodity contracts in 2026 Adjusted EBITDA (1) was $16.4 million in the second quarter of 2026 compared to $7.7 million in the second quarter of 2025, an increase of 114% due to higher revenues partially offset by higher operating expenses and realized losses on commodity contracts in 2026 Average netback from operations (2) for the second quarter of 2026 was $43.92/BOE, an increase of 48% from the prior year second quarter of $29.66/BOE due to higher average prices partially offset by higher operating costs per BOE Production and operating expense per barrel averaged $8.90 per BOE in the second quarter of 2026 compared to $7.15 per BOE in the second quarter of 2025, an increase of 24%. The increase was primarily due to workover costs on a non-operated well which was $0.59 per BOE in the second quarter of 2026. The increases were also due to temporary higher water hauling volumes from wells offsetting the wells that were fracked at the end of 2025 and thus resulted in higher water hauling costs compared to the prior year period At June 30, 2026, the Company had $30.5 million of available borrowing capacity on its credit agreement. In May 2026, the credit facility was redetermined and the borrowing capacity was increased from $65 million to $75 million

| (1) | | Adjusted EBITDA is considered a non-GAAP measure. Refer to the section entitled “Non-GAAP Measures” of this earnings release. | | (2) | | Netback from operations is considered a non-GAAP ratio. Refer to the section entitled “Non-GAAP Measures” of this earnings release. |

Management will host an earnings conference call for investors this morning at 9:00 a.m. Pacific time to discuss the Company’s results and host a Q&A session. Interested parties are invited to participate by calling: 1-833-890-5570 or for international callers: 1-412-502-9708. Please request to be joined to the Kolibri Global Energy Inc. call.

Kolibri’s President and Chief Executive Officer, Wolf Regener commented:

“We are excited to announce another Company record for highest quarterly revenue of $22.5 million which was an increase of 109% compared to the prior year quarter. Continuing to execute the Company’s strategy of growing production by converting our reserves into producing wells resulted in a 46% production increase. We also benefited from an increase in average prices of 41% in the second quarter of 2026 compared to the prior year quarter. We generated Adjusted EBITDA (1) of $16.4 million which was a 114% increase from the prior year quarter.

“The Company has just completed drilling the last of the three Clifton Mack wells and expects to begin fracture stimulation operations this month with production expected during the end of the third quarter. As we previously disclosed, the geologic conditions in this area required additional casing strings, which increased the cost of these wells compared to our standard Caney well design. We believe the pressures we encountered are supportive of potential high production rates from these wells. The geologic conditions that were encountered in this southwest corner of our acreage position appear to be isolated to this area, and we anticipate using our normal Caney well design on future Caney wells.

“As we recently announced, we revised our strategy to target additional benches in our field while we continue to develop the lower Caney as we have in the past. We are excited to begin drilling the Lovina 8-5-1HF well, which will test the False Caney bench and will also be our first 2 mile lateral well. Successful results in these additional benches will have the potential to add many future drilling locations which would increase our reserves and thus value for our shareholders.”

| | Second Quarter | | | | First Six Months | | | | | | | | | | | | | | | | | 2026 | | 2025 | | % | | 2026 | | 2025 | | % | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | Net Income | $ | 8,470 | | | $ | 2,853 | | 197 | % | | $ | 12,497 | | $ | 8,618 | | | 45 | % | | Net income per basic common share | $ | 0.24 | | | $ | 0.08 | | 200 | % | | $ | 0.35 | | $ | 0.24 | | | 46 | % | | Net Income per diluted common share | $ | 0.23 | | | $ | 0.08 | | 188 | % | | $ | 0.35 | | $ | 0.24 | | | 46 | % | | | | | | | | | | | | | | | | | | | | | | | Capital Expenditures | $ | 21,670 | | | $ | 16,898 | | 28 | % | | $ | 23,542 | | $ | 26,851 | | | (12 | )% | | Adjusted EBITDA | $ | 16,434 | | | $ | 7,681 | | 114 | % | | $ | 31,252 | | $ | 20,501 | | | 52 | % | | | | | | | | | | | | | | | | | | | | | | | Average Production (Boepd) | | 4,690 | | | | 3,220 | | 46 | % | | | 4,688 | | | 3,646 | | | 29 | % | | Average Price per Barrel | $ | 66.50 | | | $ | 47.06 | | 41 | % | | $ | 62.51 | | $ | 52.75 | | | 19 | % | | Average Netback from operations (2) per Barrel | $ | 43.92 | | | $ | 29.66 | | 48 | % | | $ | 41.18 | | $ | 34.05 | | | 21 | % | | Average Netback including commodity contracts (2) per Barrel | $ | 41.21 | | | $ | 29.79 | | 38 | % | | $ | 39.48 | | $ | 34.11 | | | 16 | % | | | | | | | | | | | | | | | | | | | | | | | | June 30, 2026 | | | | March 31, 2026 | | | | December 31, 2025 | | | | | | | | | | | | Cash and Cash Equivalents | | 1,635 | | | | | 2,692 | | | | | | 2,797 | | | | | | | | Working Capital | | (14,082 | ) | | | | (5,082 | ) | | | | | (12,573 | ) | | | | | | | Borrowing Capacity | | 30,542 | | | | | 16,542 | | | | | | 15,542 | | | | | | | | | | | | | | | | | | | | | | | | | | | |

| (1) | | Adjusted EBITDA is considered a non-GAAP measure. Refer to the section entitled “Non-GAAP Measures” of this earnings release. | | (2) | | Netback from operations and netback including commodity contracts are considered non-GAAP ratios. Refer to the section entitled “Non-GAAP Measures” of this earnings release. |

Second Quarter 2026 versus Second Quarter 2025

Oil and gas gross revenues totaled $28.4 million in the quarter versus $13.8 million in the second quarter of 2025, an increase of 106%. Oil revenues increased $14.0 million or 117% as average oil prices increased by 53% and oil production increased by 42%. Natural gas revenues decreased $0.8 million or 99%. In the second quarter of 2026, the Company’s gas purchaser reassessed prior period production quantities from natural gas to NGL production, which reduced natural gas production by 368 MCFPD and reduced natural gas gross revenue by $0.3 million. Natural gas liquids (NGLs) revenues increased $1.4 million or 139% as NGL production increased 96%. In the second quarter of 2026, the Company’s gas purchaser reassessed prior period production quantities from natural gas to NGL production which increased NGL production by 355 BOEPD and increased NGL gross revenue by $0.7 million.

Average production for the second quarter of 2026 was 4,690 BOEPD, an increase of 46% compared to the second quarter of 2025 average production of 3,220 BOEPD due primarily to production from the wells that were drilled in 2025. Second quarter production also increased by 294 BOEPD from reassessed prior period volume adjustments made by the Company’s gas purchaser which increased NGL production by 355 BOEPD and decreased natural gas production by 61 BOEPD for the second quarter of 2026. Second quarter production was reduced due to the temporary shut-in of the three Alicia Renee wells for approximately 30 days during the quarter. The shut-ins were implemented as a precautionary measure due to the close proximity of the Clifton Mack drilling. Prior to being shut in, the three wells were producing at a combined average rate of approximately 860 BOEPD. The Alicia Renee wells are currently expected to resume production once completion operations on the Clifton Mack wells are complete.

Oil made up 64% of the production mix in the second quarter of 2026 compared to 66% for the same period in 2025. The 64% oil mix in the second quarter was due to the reassessed prior period production quantities, which increased NGL production and reduced natural gas production, that was recorded in April 2026. In May and June 2026, the oil mix was 70%.

Production and operating expenses for the second quarter of 2026 were $3.4 million compared to $1.7 million in the prior year comparable period. The increase was due to higher production compared to the prior year quarter and also due to workover costs on a non-operated well, which totaled $0.3 million in the second quarter of 2026. The increases were also due to temporary higher water hauling volumes from wells offsetting the wells that were fracked at the end of 2025 resulting in higher water hauling costs compared to the prior year period.

General and administrative expenses for the second quarter of 2026 were $1.6 million compared to $1.4 million for the second quarter of 2025, an increase of 12%. The increase was due to higher consulting and legal costs in 2026 compared to the prior year quarter.

Finance income increased $1.6 million in the second quarter of 2026 compared to the prior year second quarter due to higher unrealized gains on commodity contracts in 2026.

Finance expense increased $1.7 million in the second quarter of 2026 compared to the prior year second quarter due to a realized loss on commodity contracts of $1.2 million in the second quarter of 2026 and higher interest expense as a result of an increase in the outstanding bank loan balance in 2026.

FIRST SIX MONTHS 2026 HIGHLIGHTS

Revenue, net of royalties was $42.1 million in the first six months of 2026 compared to $27.2 million for first six months of 2025, an increase of 55%, due to a 29% increase in production and a 19% increase in average prices Average production for the first six months of 2026 was 4,688 BOEPD, an increase of 29% compared to the first six months of 2025 average production of 3,646 BOEPD. The increase is due to production from the wells that were drilled and completed in 2025 Net income in the first six months of 2026 was $12.5 million and basic EPS was $0.35/share compared to $8.6 million and basic EPS of $0.24/share in the first six months of 2025. The increase was due to higher revenue partially offset by higher operating expense and depletion expense from the increase in production and interest expense and realized losses on commodity contracts in 2026 Adjusted EBITDA (1) was $31.3 million in the first six months of 2026 compared to $20.5 million in the first six months of 2025. The increase was due to the increase in revenue partially offset by higher operating expenses and realized losses on commodity contracts in 2026 Production and operating expense per barrel averaged $8.45 per BOE in the first six months of 2026 compared to $7.11 per BOE in the first six months of 2025, an increase of 19%. The increase was primarily due to workover costs on a non-operated well, as well as a smaller amount due to the Company’s gas purchaser reassessing prior year gathering and processing fees, which together totaled $0.5 million in the first six months of 2026. The increases were also due to temporary higher water hauling volumes from wells offsetting the wells that were fracked at the end of 2025 and thus resulted in higher water hauling costs compared to the prior year period Average netback from operations (2) for the first six months of 2026 was $41.18/boe, an increase of 21% from the prior year period of $34.05/boe. The increase was due to higher prices in 2026 compared to the prior year partially offset by higher operating expense

| (1) | | Adjusted EBITDA is considered a non-GAAP measure. Refer to the section entitled “Non-GAAP Measures” of this earnings release. | | (2) | | Netback from operations and netback including commodity contracts are considered non-GAAP ratios. Refer to the section entitled “Non-GAAP Measures” of this earnings release. |

First Six Months of 2026 versus First Six Months of 2025

Oil and gas gross revenues totaled $53.0 million in the first six months of 2026 versus $34.8 million in the first six months of 2025, an increase of 52%. Oil revenues increased $17.8 million or 59% as average oil prices increased by 22% and production increased by 30%. Natural gas revenues decreased $0.6 million or 26% as average natural gas prices decreased by 23% and natural gas production decreased by 4%. NGL revenues increased $1.0 million or 38% as NGL production increased by 52% partially offset by a decrease in average NGL prices of 9%.

Average production for the first six months of 2026 was 4,688 BOEPD, an increase of 29% compared to the first six months 2025 average production of 3,646 BOEPD. The increases are due to production from the wells that were drilled and completed in 2025.

Production and operating expense was $6.3 million in the first six months of 2026 compared to $4.0 million for the same period of 2025, an increase of 59%. The increase was due to higher production compared to the prior year quarter and also due to workover costs on a non-operated well which totaled $0.5 million in the first six months of 2026. The increases were also due to temporary higher water hauling volumes from wells offsetting the wells that were fracked at the end of 2025 and thus resulted in higher water hauling costs compared to the prior year period.

Finance income decreased by $0.5 million for the first six months of 2026 due to realized and unrealized gains on commodity contracts in the first six months of 2025.

Finance expense decreased $3.1 million in the first six months of 2026 compared to the prior year comparable period due to realized and unrealized losses on commodity contracts in 2026 and higher interest expense as a result of an increase in the outstanding bank loan balance in 2026.

| KOLIBRI GLOBAL ENERGY INC.

CONDENSED CONSOLIDATED STATEMENTS OF FINANCIAL POSITION

(Unaudited, Expressed in Thousands of United States Dollars) | | | | | | | | | | | | | | | | | | | | | | | | | | | June 30 | | | December 31 | | | | | | | | | 2026 | | | 2025 | | | | | | | | | | | | | | | | | | Current Assets | | | | | | | | | | | | Cash and cash equivalents | | $ | 1,635 | | | $ | 2,797 | | | | | Accounts receivables and other receivables | | | 9,358 | | | | 8,070 | | | | | Deposits and prepaid expenses | | | 928 | | | | 769 | | | | | Fair value of commodity contracts | | | - | | | | 393 | | | | | | | | 11,921 | | | | 12,029 | | | | | | | | | | | | | | | | | Non-current assets | | | | | | | | | | | | Property, plant and equipment | | | 294,627 | | | | 280,172 | | | | | Right of use assets | | | 1,567 | | | | 1,741 | | | | | | | | 296,194 | | | | 281,913 | | | | | | | | | | | | | | | | | Total Assets | | $ | 308,115 | | | $ | 293,942 | | | | | | | | | | | | | | | | | Current Liabilities | | | | | | | | | | | | Accounts payable and other payables | | $ | 24,525 | | | $ | 23,183 | | | | | Lease liabilities | | | 1,335 | | | | 1,419 | | | | | Fair value of commodity contracts | | | 143 | | | | - | | | | | | | | 26,003 | | | | 24,602 | | | | | | | | | | | | | | | | | Non-current liabilities | | | | | | | | | | | | Loans and borrowings | | | 43,749 | | | | 48,757 | | | | | Asset retirement obligations | | | 2,428 | | | | 2,259 | | | | | Deferred taxes | | | 17,871 | | | | 14,083 | | | | | Lease liabilities | | | 286 | | | | 365 | | | | | Fair value of commodity contracts | | | 8 | | | | - | | | | | | | | 64,342 | | | | 65,464 | | | | | | | | | | | | | | | | | Equity | | | | | | | | | | | | Shareholders’ capital | | | 295,898 | | | | 294,300 | | | | | Treasury stock | | | (75 | ) | | | (202 | ) | | | | Contributed surplus | | | 25,855 | | | | 26,183 | | | | | Accumulated deficit | | | (103,908 | ) | | | (116,405 | ) | | | | Total Equity | | | 217,770 | | | | 203,876 | | | | | | | | | | | | | | | | | Total Equity and Liabilities | | $ | 308,115 | | | $ | 293,942 | | | |

| KOLIBRI GLOBAL ENERGY INC.

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME | | | | | | | | | | | | | | | | | (Unaudited, expressed in Thousands of United States dollars, except per share amounts) | | | | | | | | | | | | | | | | | ($000 except as noted) | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | Second Quarter | | First Six Months | | | | | | | | | | | | | | | | 2026 | | | | 2025 | | | | 2026 | | | | 2025 | | | | | | | | | | | | | | | | | | | | Oil and natural gas revenue, net | $ | 22,542 | | | $ | 10,788 | | | $ | 42,111 | | | $ | 27,160 | | | Other income | | 1 | | | | 325 | | | | 1 | | | | 326 | | | | | 22,543 | | | | 11,113 | | | | 42,112 | | | | 27,486 | | | | | | | | | | | | | | | | | | | | Production and operating expenses | | 3,377 | | | | 1,738 | | | | 6,311 | | | | 3,965 | | | Depletion and depreciation expense | | 5,096 | | | | 3,516 | | | | 10,141 | | | | 7,579 | | | General and administrative expenses | | 1,577 | | | | 1,409 | | | | 3,100 | | | | 2,734 | | | Stock based compensation | | 928 | | | | 488 | | | | 1,293 | | | | 725 | | | | | 10,978 | | | | 7,151 | | | | 20,845 | | | | 15,003 | | | | | | | | | | | | | | | | | | | | Finance income | | 2,153 | | | | 540 | | | | 4 | | | | 512 | | | Finance expense | | (2,442 | ) | | | (713 | ) | | | (4,587 | ) | | | (1,460 | ) | | Income tax expense | | (2,806 | ) | | | (936 | ) | | | (4,187 | ) | | | (2,917 | ) | | Net income | | 8,470 | | | | 2,853 | | | | 12,497 | | | | 8,618 | | | Basic net income per share | $ | 0.24 | | | $ | 0.08 | | | $ | 0.35 | | | $ | 0.24 | | | Diluted net income per share | $ | 0.23 | | | $ | 0.08 | | | $ | 0.35 | | | $ | 0.24 | | | | | | | | | | | | | | | | | | |

| KOLIBRI GLOBAL ENERGY | | | | | | | | | | | | | | | SECOND QUARTER 2026 | | | | | | | | | | | | | | | (Unaudited, expressed in Thousands of United States dollars, except as noted) | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | Second Quarter | | First Six Months | | | | | | | | | | | | | 2026 | | 2025 | | 2026 | | 2025 | | | | | | | | Oil gross revenue | $ | 25,973 | | | $ | 11,980 | | $ | 47,817 | | | $ | 30,028 | | Gas gross revenue | | 11 | | | | 809 | | | 1,573 | | | | 2,127 | | NGL gross revenue | | 2,396 | | | | 1,001 | | | 3,654 | | | | 2,655 | | Oil and Gas gross revenue | | 28,380 | | | | 13,790 | | | 53,044 | | | | 34,810 | | | | | | | | | | | | | | | | | Adjusted EBITDA (1) | | 16,434 | | | | 7,681 | | | 31,252 | | | | 20,501 | | Capital expenditures | | 21,670 | | | | 16,898 | | | 23,542 | | | | 26,851 | | | | | | | | | | | | | | | | | Statistics: | Second Quarter | | First Six Months | | | | | | | | | | | | | | 2026 | | | | 2025 | | | 2026 | | | | 2025 | | Average oil production (Bopd) | | 3,002 | | | | 2,115 | | | 3,226 | | | | 2,477 | | Average natural gas production (mcf/d) | | 2,764 | | | | 2,880 | | | 3,192 | | | | 3,339 | | Average NGL production (Boepd) | | 1,227 | | | | 625 | | | 930 | | | | 612 | | Average production (Boepd) | | 4,690 | | | | 3,220 | | | 4,688 | | | | 3,646 | | Average oil price ($/bbl) | $ | 95.08 | | | $ | 62.25 | | $ | 81.90 | | | $ | 66.96 | | Average natural gas price ($/mcf) | $ | 0.04 | | | $ | 3.09 | | $ | 2.72 | | | $ | 3.52 | | Average NGL price ($/bbl) | $ | 21.46 | | | $ | 17.59 | | $ | 21.71 | | | $ | 23.95 | | | | | | | | | | | | | | | | | Average price ($/boe) | $ | 66.50 | | | $ | 47.06 | | $ | 62.51 | | | $ | 52.75 | | Less: Royalties ($/boe) | | 13.68 | | | | 10.25 | | | 12.88 | | | | 11.59 | | Less: Operating expenses ($/boe) | | 8.90 | | | | 7.15 | | | 8.45 | | | | 7.11 | | Netback from operations (2) ($/boe) | $ | 43.92 | | | $ | 29.66 | | $ | 41.18 | | | $ | 34.05 | | Price adjustment from commodity contracts ($/boe) | | (2.71 | ) | | | 0.13 | | | (1.70 | ) | | | 0.06 | | Netback including commodity contracts (2) ($/boe) | $ | 41.21 | | | $ | 29.79 | | $ | 39.48 | | | $ | 34.11 |