Kelt Exploration ( (KELTF) ) has released its Q4 earnings. Here is a breakdown of the information Kelt Exploration presented to its investors.
Kelt Exploration Ltd. is a Canadian oil and gas company operating primarily in the exploration and production sector, with a focus on the Montney and Charlie Lake formations in Western Canada.
Kelt Exploration Ltd. has released its financial and operating results for the fourth quarter and full year ending December 31, 2024, highlighting a mixed performance with some growth in production but declines in financial metrics.
The company reported a 13% increase in average daily production for the fourth quarter of 2024 compared to the same period in 2023, reaching 36,450 BOE per day. However, petroleum and natural gas sales decreased by 3% in the fourth quarter and 5% for the full year. Adjusted funds from operations saw a slight increase in the quarter but fell 20% year-over-year. Net income for 2024 was significantly lower, dropping 47% compared to the previous year. Despite these financial challenges, Kelt’s capital expenditures rose by 18% year-over-year, reflecting ongoing investment in development and acquisitions.
Kelt’s reserves showed positive growth, with proved developed producing reserves increasing by 11% and proved plus probable reserves rising by 5%. The company also maintained a strong financial position with a net debt to adjusted funds from operations ratio of 0.6 times. Looking ahead, Kelt plans to maintain its capital expenditure program at $328 million for 2025, with expectations to ramp up production significantly as new gas processing plants come online.
Kelt’s management remains optimistic about future growth, with plans to increase production and capitalize on new infrastructure developments. The company’s strategic focus on development and multi-well pad drilling is expected to drive operational efficiency and enhance shareholder value in the coming year.