Homerun Resources Inc. Executes Binding Term Sheet with Institutional
“May sales included the first full month of production from our first two wells drilled in Western Canada averaging 346 bopd gross (173 bopd net), exceeding our pre-farmin expectations and we are looking forward to drilling our next two wells here starting this summer. We are also encouraged by our 183-D4 results and expect to have this well on production in Q3 to fuel continued production growth in Brazil .”
May Sales Volumes
|
Natural gas, NGLs and crude oil sales: |
May 2025 |
April 2025 |
Q1 2025 |
|
Brazil: |
|||
|
Natural gas (Mcfpd), by field: |
|||
|
Caburé |
10,800 |
12,636 |
11,710 |
|
Murucututu |
1,500 |
844 |
2,093 |
|
Total natural gas (Mcfpd) |
12,300 |
13,480 |
13,803 |
|
NGLs (bopd) |
111 |
126 |
135 |
|
Oil (bopd) |
– |
– |
10 |
|
Total (boepd) – Brazil |
2,161 |
2,373 |
2,446 |
|
Canada: |
|||
|
Oil (bopd) – Canada |
173 |
90 |
– |
|
Total Company – boepd (1) |
2,334 |
2,463 |
2,446 |
|
(1) |
Alvopetro reported volumes are based on sales volumes which, due to the timing of sales deliveries, may differ from production volumes. |
May sales volumes in Brazil averaged 2,161 boepd, including natural gas sales of 12.3 MMcfpd and associated natural gas liquids sales from condensate of 111 bopd, based on field estimates. Sales volumes decreased 9% compared to April due to turnarounds at both Alvopetro facilities and Bahiagás end user plants, which impacted demand in the month. In Canada , with a full month of production in May, Alvopetro’s net 50% share of oil sales volumes increased to 173 bopd, bringing the Company’s total sales to 2,334 boepd, based on field estimates.
Operational Update
183-D4 Well Results
We have now completed the sidetrack and drilling of our 183-D4 well on our 100% Murucututu natural gas field. The well was drilled to a total measured depth of 3,072 metres and has been cased and cemented. The well encountered the Caruaçu Member of the Maracangalha Formation 106 metres structurally updip of our 183-A3 success.
Based on cased-hole gamma ray logs and normalized gas while drilling, the well encountered potential natural gas pay in the Caruaçu Member of the Maracangalha Formation, with an aggregate 61 metres of potential natural gas pay between 2,439 and 2,838 meters TVD.
Based on these drilling results, we plan to complete the well in up to 5 intervals and expect the well to be on production to the field production facility in the third quarter.
Caburé Unit Development Drilling Program
Our planned Caburé Unit development drilling program has commenced. The first well has now been spud and we expect to have four wells drilled by the end of the third quarter.
Western Canadian Capital Plan
In Western Canada , well pad construction for our next two wells has commenced and we expect the wells to be drilled in the third quarter.
Annual General Meeting
Alvopetro’s annual general and special meeting (the “Meeting”) will be held on Wednesday, June 18, 2025 at the offices of Torys LLP (Suite 4600, 525 8 th SW, Calgary, Alberta ) beginning at 9:30 a.m….
