Logan Energy Corp. press release
LOGAN ENERGY CORP. ANNOUNCES A 31% INCREASE IN YEAR-END 2025 RESERVES
TSXV - TSX Venture Exchange · Oil · Natural Gas · Natural Gas Liquids · Canada
Canada NewsWire
CALGARY, AB, Feb. 17, 2026/CNW/ - Logan Energy Corp.(TSXV: LGN) ("Logan" or the "Company") announces the results of the 2025 year end reserves evaluation.
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2025 RESERVES EVALUATION HIGHLIGHTS
Logan is pleased to provide below select highlights from the results of its oil and gas reserves evaluation as of December 31, 2025 (the "McDaniel Report"), as prepared by its independent qualified reserves evaluator, McDaniel & Associates Consultants Ltd. ("McDaniel"). The evaluation of Logan's properties was prepared in accordance with the definitions, standards and procedures contained in the most recent publication of the Canadian Oil and Gas Evaluation Handbook ("COGEH") and National Instrument 51-101 – _Standards of Disclosure for Oil and Gas Activities_("NI 51-101"), and was based on the published average forecast pricing of three independent reserves evaluation firms (McDaniel, GLJ Ltd., Sproule Associates Limited). See _"Reader Advisories – Reserves Disclosure"_for more information. Additional reserves information as required under NI 51-101 will be included in Logan's AIF for the year ended December 31, 2025, which is expected to be filed on or before March 31, 2026 on SEDAR+ at www.sedarplus.ca.
The Company delivered significant growth in reserves volumes across all categories in 2025 (in addition to replacing 2025 annual production of 4.8 MMBOE): Proved Developed Producing ("PDP") reserves of 17.8 MMBOE increased 22% Total Proved ("TP") reserves of 80.3 MMBOE increased 28% Total Proved plus Probable ("TPP") reserves of 139.2 MMBOE increased 31%
The net present value of reserves, discounted at 10% before tax ("NPV10"), also increased significantly across all categories despite a significant decrease in benchmark commodity prices. Year-over-year, the three-consultant average forecast oil price decreased 12% and the average forecast gas price decreased 6% for the years 2026-2030. The increase in reserve values was driven by strong well performance, material operating and transportation cost reductions, demonstrated improvements to capital costs and newly booked locations. PDP NPV10 of $170 million (increase of 63%), despite a year-over-year price deck impact of negative $67 million TP NPV10 of $532 million (increase of 35%), despite a year-over-year price deck impact of negative $142 million TPP NPV10 $983 million (increase of 30%), despite a year-over-year price deck impact of negative $196 million
With the growth in reserves value, Logan's net asset value ("NAV") per share increased as follows: TP NAV of $0.70 per fully diluted shared (increase of 19%) TPP NAV of $1.37 per fully diluted share (increase of 20%)
As at December 31, 2025, the Company has identified 701 net Montney locations, of which 85.0 and 123.3 net Montney undeveloped drilling locations are booked in the McDaniel Report within the TP and TPP categories, respectively. In addition to these booked Montney locations, there are now 18.4 net booked locations within the Duvernay and other horizons in the TPP category. The McDaniel Report supports a growth plan to over 30,000 BOE per day (39% liquids) by 2029, excluding any contribution from Flatrock. Logan's production replacement ratio for PDP, TP and TPP is 166%, 469% and 798%, respectively. The reserve life index ("RLI") is 3.7 times on a PDP basis, 16.8 times on a TP basis and 29.1 times on a TPP basis.
| RESERVES HIGHLIGHTS | December 31, 2025 | December 31, 2024 | % change | | Reserves Volumes (MBOE) | | | | | Proved Developed Producing ("PDP") | 17,804 | 14,643 | 22 % | | Total Proved ("TP") | 80,269 | 62,640 | 28 % | | Total Proved plus Probable ("TPP") | 139,215 | 105,880 | 31 % | | NPV of Reserves, discounted at 10% before-tax ($MM) | | | | | Proved Developed Producing | 170 | 104 | 63 % | | Total Proved | 532 | 394 | 35 % | | Total Proved plus Probable | 983 | 755 | 30 % |
The following tables highlight the findings of the McDaniel Report. The numbers in the tables below may not add due to rounding.
Summary of Reserves Volumes as at December 31, 2025
The Company's reserves volumes and undiscounted future development capital ("FDC") costs as at December 31, 2025 are summarized below:
| SUMMARY OF RESERVE VOLUMES (1) | Crude Oil
(Mbbls) | NGL(2)
(Mbbls) | Natural Gas
(MMcf) | Combined
(MBOE) | FDC Costs
($MM) | | Proved developed producing | 4,354 | 1,563 | 71,319 | 17,804 | 18 | | Proved developed non-producing | - | - | - | - | - | | Proved undeveloped | 18,935 | 4,057 | 236,839 | 62,465 | 977 | | Total Proved | 23,289 | 5,620 | 308,158 | 80,269 | 995 | | Probable | 16,772 | 4,057 | 228,700 | 58,946 | 463 | | Total Proved plus Probable | 40,062 | 9,677 | 536,859 | 139,215 | 1,459 |
| (1) Gross working interest reserves before royalty deductions. | | (2) Natural gas liquids include condensate volumes. |
Net Present Value of Future Net Revenue as at December 31, 2025
The following table summarizes the NPV of the Company's reserves (before-tax) as at December 31, 2025. The reserves value on a $/BOE basis, discounted at 10% per year, is also summarized for each category.
| NET PRESENT VALUE | 0 % | 5 % | 10 % | 15 % | 20 % | Unit Value (1)
Before Tax
Discounted at
10%/Year | | BEFORE-TAX | ($MM) | ($MM) | ($MM) | ($MM) | ($MM) | ($/BOE) | | Proved developed producing | 161 | 178 | 170 | 159 | 148 | 10.85 | | Proved developed non-producing | - | - | - | - | - | - | | Proved undeveloped | 791 | 531 | 362 | 249 | 172 | 6.56 | | Total Proved | 952 | 709 | 532 | 408 | 320 | 7.50 | | Probable | 1,127 | 685 | 451 | 317 | 235 | 9.08 | | Total Proved plus Probable | 2,080 | 1,394 | 983 | 725 | 555 | 8.15 |
| (1) Unit values are based on net reserves. Net reserves are the Company's working interest reserves after deduction of royalties, plus its royalty
interests in reserves. |
Future Development Capital
The following table outlines estimated annual future development capital expenditures required to bring TP and TPP reserves on production per the McDaniel Report:
| FUTURE DEVELOPMENT CAPITAL | TP Reserves ($MM) | TPP Reserves ($MM) | | 2026 | 118 | 118 | | 2027 | 202 | 202 | | 2028 | 218 | 218 | | 2029 | 221 | 221 | | 2030 | 218 | 218 | | Thereafter | 19 | 483 | | Total FDC, undiscounted | 995 | 1,459 | | Total FDC, discounted at 10% | 776 | 1,029 |
ABOUT LOGAN ENERGY CORP.
Logan is a growth-oriented exploration, development and production company formed through the spin-out of the early stage Montney assets of Spartan Delta Corp. Logan has three high quality and opportunity rich Montney assets located in the Simonette and Pouce Coupe areas of northwest Alberta and the Flatrock area of northeastern British Columbia. Additionally, the Company has established a position within the greater Kaybob Duvernay oil play with assets in the North Simonette, Ante Creek and Two Creeks areas. The management team brings proven leadership and a track record of generating excess returns in various business cycles.
Logan's corporate presentation has been updated as of February 2026 and can be accessed on the Company's website at www.loganenergycorp.com.
READER ADVISORIES
Reserves Disclosure
The reserves information and data provided in this press release presents only a portion of the disclosure required under NI 51-101. Logan's Statement of Reserves Data and Other Oil and Gas Information on Form 51-101F1 dated February 17, 2026 effective as at December 31, 2025, which includes further disclosure of Logan's oil and gas reserves and other oil and gas information in accordance with NI 51-101 and COGEH forming the basis of this press release, will be included in the Company's AIF for the year ended December 31, 2025, which will be made available on SEDAR+ at www.sedarplus.caon or before March 31, 2026.
All reserves values, future net revenue and ancillary information contained in this press release are derived from the McDaniel Report unless otherwise noted. All reserve references in this press release are "Company gross reserves". Company gross reserves are the Company's total working interest reserves before the deduction of any royalties payable by the Company. Estimates of reserves and future net revenue for individual properties may not reflect the same level of confidence as estimates of reserves and future net revenue for all properties, due to the effect of aggregation. There is no assurance that the forecast price and cost assumptions applied by McDaniel in evaluating Logan's reserves will be attained and variances could be material.
All evaluations and summaries of future net revenue are stated prior to the provision for interest, debt service charges or general and administrative expenses and after deduction of royalties, operating costs, estimated well abandonment and reclamation costs and estimated future capital expenditures. It should not be assumed that the estimates of future net revenues presented represent the fair market value of the reserves. The recovery and reserve estimates of Logan's oil, NGLs and natural gas reserves provided herein are estimates only and there is no guarantee that the estimated reserves will be recovered. Actual oil, natural gas and NGL reserves may be greater than or less than the estimates provided herein. There are numerous uncertainties inherent in estimating quantities of crude oil, reserves and the future cash flows attributed to such reserves. The reserve and associated cash flow information set forth herein are estimates only.
Proved reserves are those reserves that can be estimated with a high degree of certainty to be recoverable. It is likely that the actual remaining quantities recovered will exceed the estimated proved reserves. Probable reserves are those additional reserves that are less certain to be recovered than proved reserves. It is equally likely that the actual remaining quantities recovered will be greater or less than the sum of the estimated proved plus probable reserves. Proved developed producing reserves are those reserves that are expected to be recovered from completion intervals open at the time of the estimate. These reserves may be currently producing or, if shut-in, they must have previously been on production, and the date of resumption of production must be known with reasonable certainty. Undeveloped reserves are those reserves expected to be recovered from known accumulations where a significant expenditure (e.g., when compared to the cost of drilling a well) is required to render them capable of production. They must fully meet the requirements of the reserves category (proved, probable, possible) to which they are assigned. Certain terms used in this press release but not defined are defined in NI 51-101, CSA Staff Notice 51-324 – _Revised Glossary to NI 51-101 _("CSA Staff Notice 51-324") and/or the COGEH and, unless the context otherwise requires, shall have the same meanings herein as in NI 51-101, CSA Staff Notice 51-324 and the COGEH, as the case may be.
Drilling Locations
This press release discloses drilling inventory in three categories: (a) proved locations; (b) probable locations; and (c) unbooked locations. Proved locations and probable locations are derived from the McDaniel Report and account for drilling locations that have associated proved and/or probable reserves, as applicable.
The following table summarizes the Company's drilling inventory:
| LOCATIONS (1) | Total | Proved | Probable | Unbooked | | Simonette Montney | 319.9 | 49.8 | 24.4 | 245.8 | | Flatrock Montney | 244.0 | - | - | 244.0 | | Pouce Coupe Montney | 137.3 | 35.3 | 14.0 | 88.1 | | Ante Creek Duvernay | 70.1 | - | - | 70.1 | | Simonette Duvernay | 49.8 | 11.0 | 3.0 | 35.8 | | Simonette Spirit River (2) | - | - | 2.5 | - | | Two Creeks Duvernay | 34.0 | - | - | 34.0 | | Simonette Dunvegan (2) | - | - | 1.9 | - |
| (1) | The numbers in the table above may not add due to rounding | | (2) | Total unbooked and total locations undisclosed. |
Unbooked locations are internal estimates based on the Company's assumptions as to the number of wells that can be drilled per section based on industry practice and internal review. Unbooked locations do not have attributed reserves or resources. Unbooked locations have been identified by management as an estimation of Logan's multi-year drilling activities based on evaluation of applicable geologic, seismic, engineering, production and reserves information. There is no certainty that the Company will drill all unbooked drilling locations and if drilled there is no certainty that such locations will result in additional oil and gas reserves, resources or production. The drilling locations on which the Company actually drills wells will ultimately depend upon the availability of capital, regulatory approvals, seasonal restrictions, oil and natural gas prices, costs, actual drilling results, additional reservoir information that is obtained and other factors. While certain of the unbooked drilling locations have been de-risked by drilling existing wells in relative close proximity to such unbooked drilling locations, the majority of other unbooked drilling locations are farther away from existing wells where management has less information about the characteristics of the reservoir and therefore there is more uncertainty whether wells will be drilled in such locations and if drilled there is more uncertainty that such wells will result in additional oil and gas reserves, resources or production.
Forecast Prices Used in Estimates
The following table outlines forecasted future prices that McDaniel has used in their evaluation of the Company's reserves at December 31, 2025, which are based on a three-consultant average price forecast. The forecast cost and price assumptions assume increases in wellhead selling prices and consider inflation with respect to future operating and capital costs.
| FUTURE COMMODITY PRICE FORECAST | WTI Cushing
Oklahoma
US$/bbl | Canadian
Light Sweet
CA$/bbl | NYMEX
Henry Hub
US$/MMBtu | AECO-C
Spot
CA$/GJ | USD/CAD
Exchange | | 2026 | 59.92 | 77.54 | 3.74 | 2.84 | 0.73 | | 2027 | 65.10 | 83.60 | 3.78 | 3.13 | 0.74 | | 2028 | 70.28 | 90.17 | 3.85 | 3.31 | 0.74 | | 2029 | 71.93 | 92.32 | 3.93 | 3.40 | 0.74 | | 2030 | 73.37 | 94.17 | 4.01 | 3.46 | 0.74 | | Five year average | 68.12 | 87.56 | 3.86 | 3.23 | 0.74 |
This press release contains metrics commonly used in the oil and natural gas industry which have been prepared by management, such as "RLI", "production replacement" and "net asset value". These terms do not have a standardized meaning and may not be comparable to similar measures presented by other companies, and therefore should not be used to make such comparisons. Management uses these oil and gas metrics for its own performance measurements and to provide shareholders with measures to compare the Company's operations over time. Readers are cautioned that the information provided by these metrics, or that can be derived from the metrics presented in this press release, should not be relied upon for investment or other purposes.
2029 Production Forecast
The McDaniel Report forecasts production within the Total Proved plus Probable category of 31,789 BOE per day in 2029 which is comprised of 116,298 mcf/d of natural gas, 1,980 bbl/d of NGLs, 86 bbl/d of condensate and 10,340 bbl/d of oil.
Reserve Life Index
The Company calculates its reserve life index or RLI based on reserves volumes, by category, divided by 2025 annual production of 4,777.2 MBOE. Readers are cautioned that the RLI may be misleading, particularly if used in isolation, and may not reflect the actual duration of inventory or life of reserves.
Production Replacement
The production replacement ratio is calculated as net reserves additions, by category, being the change in reserves volumes adding back produced reserves, divided by 2025 annual production of 4,777.2 MBOE.
Net Asset Value
The components of Logan's "Net Asset Value" calculation are set-forth in the table below. The reader is cautioned that these amounts may not be directly comparable to other companies, as the term Net Asset Value does not have a standardized meaning under IFRS Accounting Standards or NI 51-101. The NPV of reserves was determined by McDaniel in their year-end evaluation reports, based on a discount rate of 10% before-tax.
| NET ASSET VALUE | December 31, 2025 | December 31, 2024 | | | | ($ millions, except per share amounts) | TP | TPP | TP | TPP | | NPV of reserves, discounted at 10% before tax | 532 | 983 | 394 | 755 | | Less: Net Debt [unaudited] (1) | (89) | (89) | (28) | (28) | | Proceeds from exercise of options & warrants (2)(3) | 36 | 36 | 23 | 23 | | Net asset value | 479 | 930 | 388 | 750 | | Fully diluted common shares outstanding (MM) (2)(3) | 680 | 680 | 660 | 660 | | Net asset value ($ per common share) | 0.70 | 1.37 | 0.59 | 1.14 | | Change year-over-year | 19 % | 20 % | 20 % | 31 % |
| (1) | Net debt, a non-GAAP financial measure, at December 31, 2025 of $89 million is unaudited and may change upon
finalization of the audited year-end financial statements. "Net Debt" includes bank debt, net of "Adjusted Working
Capital", also a non-GAAP financial measure. Adjusted Working Capital includes cash and cash equivalents,
accounts receivable, prepaids and deposits, and accounts payable and accrued liabilities. | | (2) | The calculation of dilutive proceeds and the fully diluted number of common shares outstanding only includes
outstanding securities that are "in-the-money" based on the closing price of Logan common shares of $0.85 and
$0.70 per share as at December 31, 2025 and 2024, respectively. | | (3) | For purposes of the net asset value per share calculation, the Company does not apply the treasury stock-method
prescribed by IFRS Accounting Standards. Rather, the fully diluted number of common shares outstanding is
determined by adding the total number of outstanding "in-the-money" securities to the number of common shares
outstanding at the calculation dates. |
Other Measurements
All dollar figures included herein are presented in Canadian dollars, unless otherwise noted. This press release contains various references to the abbreviation "BOE" which means barrels of oil equivalent. Where amounts are expressed on a BOE basis, natural gas volumes have been converted to oil equivalence at six thousand cubic feet (mcf) per barrel (bbl). The term BOE may be misleading, particularly if used in isolation. A BOE conversion ratio of six thousand cubic feet per barrel is based on an energy equivalency conversion method primarily applicable at the burner tip and does not represent a value equivalency at the wellhead and is significantly different than the value ratio based on the current price of crude oil and natural gas. This conversion factor is an industry accepted norm and is not based on either energy content or current prices. Such abbreviation may be misleading, particularly if used in isolation.
References to "oil" or "crude oil" in this press release include light crude oil, medium crude oil, heavy oil and tight oil combined. NI 51-101 includes condensate within the product type of "natural gas liquids". References to "natural gas liquids" or "NGLs" include pentane, butane, propane and ethane. References to "gas" or "natural gas" relates to conventional natural gas.
Share Capital
Common shares of Logan trade on the TSX Venture Exchange ("TSXV") under the symbol "LGN".
As at December 31, 2025 and the date hereof, there are 595.7 million common shares outstanding. There are no preferred shares or special shares outstanding. Logan's convertible securities outstanding as of the date of this press release include: 64.3 million common share purchase warrants with an exercise price of $0.35 per share expiring July 12, 2028; and 42.7 million stock options with an exercise price of $0.78 per share and an average remaining term of 3.4 years.
Forward-Looking and Cautionary Statements
Certain statements contained within this press release constitute forward-looking statements within the meaning of applicable Canadian securities legislation. All statements other than statements of historical fact may be forward-looking statements. Forward-looking statements are often, but not always, identified by the use of words such as "anticipate", "plan", "endeavor", "continue", "estimate", "evaluate", "expect", "forecast", "monitor", "may", "will", "can", "able", "potential", "target", "intend", "consider", "focus", "identify", "use", "utilize", "manage", "maintain", "remain", "result", "cultivate", "could", "should", "believe" and similar expressions (or grammatical variations or negatives thereof). Logan believes that the expectations reflected in such forward-looking statements are reasonable as of the date hereof, but no assurance can be given that such expectations will prove to be correct and such forward-looking statements should not be unduly relied upon. Without limitation, this press release contains forward-looking statements pertaining to: the business plan, objectives and strategy of Logan; the Company's opportunity rich assets; the success of the Company's growth plan; and Logan's booked and unbooked drilling inventory. Statements relating to reserves, RLI, recovery, costs and valuation are also deemed to be forward looking statements, as they involve the implied assessment, based on certain estimates and assumptions, that the reserves described exist in the quantities predicted and that the reserves can be profitably produced in the future.