Core Insights - Athabasca Oil Corporation reported strong Q1 2025 results, showcasing robust operational execution and a successful completion of its second annual share buyback program, positioning the company well to navigate market volatility [1][5][9] Financial Performance - Average production reached 37,714 boe/d, with 98% being liquids, marking a 13% year-over-year growth [5] - Adjusted Funds Flow was 130million(0.25 per share), reflecting a 63% increase per share year-over-year [5] - Free Cash Flow amounted to 71millionfromThermalOiloperations[5]−OperatingIncomeforthequarterwas145.6 million, up from 105.1millioninQ12024[11][44]OperationalHighlights−Leismerproductionwasapproximately28,000bbl/dasofApril2025,followingthestartupofsixredrills[5][14]−Hangingstoneproductionincreasedtoabout8,900bbl/d,benefitingfromnewwellpairs[5][17]−DuvernayEnergy′sproductionwas2,972boe/d,withafocusoncompletingmulti−wellpads[19][21]CapitalExpendituresandGrowthPlans−TotalcapitalexpendituresforQ12025were63 million, with 44millionallocatedtoLeismerforitsgrowthproject[5][20]−ThecompanyplanstomaintainproductionratesatfacilitycapacitythroughadditionalwellpairsinH22025[5][15]−The2025capitalprogramforDuvernayEnergyisestimatedat75 million, reflecting disciplined execution [23] Market Position and Strategy - Athabasca is well-positioned to withstand macro volatility, with a net cash position of 115millionandliquidityof438 million [5][12] - The company has a long-term thermal oil operating break-even estimated at approximately 32/bblWTI[5]−Athabasca′scapitalallocationstrategyemphasizesreturning100289 million to shareholders by purchasing and canceling 55 million shares [9] - Athabasca has reduced its fully diluted share count by approximately 20% since March 31, 2023 [9] - The company anticipates a compounded annual cash flow per share growth of around 20% from 2025 to 2029 [9][38]
