Calgary, Alberta, January 5, 2024 – Prospera Energy Inc. (“Prospera” or the “Company”)
(TSX.V: PEI, OTC: GXRFF, FRA: OF6B, OF6B.SG, OF6B.F, OF6B.BE).
2023 was a highly successful year for the restructured Prospera Energy Inc. PEI drilled, completed and tied-in
nine horizontal wells in heavy oil reservoir with initial production rates exceeding expectations at 100+bpd per
well. The ninth well was rig released on December 24th and was brought online on December 28th. In addition,
PEI drilled a directional well accessing medium-light oil flowing at 500+ Bpd. Gross peak rates of 1,800 boepd
were attained prior to year-end, excluding the production of the recently drilled and completed horizontals, and
the shut-in production for drilling. This production was brought on throughout the month resulting in a monthly
average of approximately 1,300 gross boepd. Currently, the total production capability of Prospera is 2,200
boepd that will be optimized in the next few weeks barring any extreme winter weather conditions.
Prospera was effectively able to fund the 2023 development plan with minimal dilution. The Company raised a
total of $16.1 million through the issuance of multi-year promissory notes, GORR financing, private placement,
and the exercise of previously issued warrants. A significant amount of these funds was raised through insider
participation and strategic investment.
PEI’s future development plans are substantiated and encouraged by the 2023 development drilling and
production results. Therefore, in 2024, Prospera is proposing robust development and acquisition plans to attain
year end production rates of 5,000 boepd. Furthermore, PEI plans to pilot and implement Enhanced Oil
Recovery (EOR) methods and add to existing production levels. The strategic acquisitions are to expand the core
reserve base and to diversify the product mix. Funding for Prospera’s 2024 development program will be
facilitated from cash flow generated from existing operations, debt, and equity financing through private
placement.
These successful developments translate to significant additional reserve and appreciation of PEI net present
value (NPV) for the year end 2023. This production increase will translate to sustainable revenue for operations,
development and remains steadfast in its commitment to eliminating the legacy arrears to landowners,
regulators, and the local community anticipated by the year end 2024. The company’s Heavy Oil Joint Venture
partners are in receivables and therefore in default position until remedied. Consequently, Prospera assumes 100%
of the cash flow received from the partner’s share of oil sales.
About Prospera
Prospera Energy Inc. (TSX.V: PEI, OTC: GXRFF, FRA: OF6B) is a publicly traded energy company based in Western
Canada, specializing in the exploration, development, and production of crude oil and natural gas. Prospera is
primarily focused on optimizing hydrocarbon recovery from legacy fields through environmentally safe and
efficient reservoir development methods and production practices. Prospera was restructured in the first
quarter of 2021 to become profitable and in compliance with regulatory, environmental, municipal, landowner,
and service stakeholders.
(403) 454-9010
[email protected]
www.prosperaenergy.com
Suite 730, 444 – 7 th Avenue SW
Calgary, AB T2P 0X8
The company is in the midst of a three-stage restructuring process aimed at prioritizing cost effective operations
while appreciating production capacity and reducing liabilities. Prospera has completed the first phase by
optimizing low hanging opportunities, attaining free cash flow, while bringing operation to safe operating
condition, all while remaining compliant. Currently, Prospera is executing phase II of the restructuring process,
the horizontal transformation intended to accelerate growth and capture the significant remaining reserves (400
million bbls). These horizontal wells allow PEI to reduce its environmental and surface footprint by eliminating
the numerous vertical well leases along the lateral path. Phase III of Prospera’s corporate redevelopment
strategy is to optimize recovery through EOR applications. Furthermore, Prospera will pursue its acquisition
strategy to diversify its product mix and expand its core area. Its goal is to attain 50% light oil, 40% heavy oil and
10% gas.
PEI continues to apply efforts to minimize its environmental footprint. Also, efforts to reduce and eventually
eliminate emissions, alongside pursuing innovative ESG methods to enhance API quality, thereby achieving
higher margins and eliminating the need for diluents.
For Further Information:
Shawn Mehler, PR
Email: [email protected]
Website: www.prosperaenergy.com
FORWARD-LOOKING STATEMENTS
This news release contains forward-looking statements relating to the future operations of the Corporation and other
statements that are not historical facts. Forward-looking statements are often identified by terms such as “will,” “may,”
“should,” “anticipate,” “expects” and similar expressions. All statements other than statements of historical fact included in
this release, including, without limitation, statements regarding future plans and objectives of the Corporation, are forward-
looking statements that involve risks and uncertainties. There can be no assurance that such statements will prove to be
accurate and actual results and future events could differ materially from those anticipated in such statements.
Although Prospera believes that the expectations and assumptions on which the forward-looking statements are based are
reasonable, undue reliance should not be placed on the forward-looking statements because Prospera can give no
assurance that they will prove to be correct. Since forward-looking statements address future events and conditions, by their
very nature they involve inherent risks and uncertainties. Actual results could differ materially from those currently
anticipated due to a number of factors and risks. These include, but are not limited to, risks associated with the oil and gas
industry in general (e.g., operational risks in development, exploration and production; delays or changes in plans with
respect to exploration or development projects or capital expenditures; the uncertainty of reserve estimates; the uncertainty
of estimates and projections relating to production, costs and expenses, and health, safety and environmental risks),
commodity price and exchange rate fluctuations and uncertainties resulting from potential delays or changes in plans with
respect to exploration or development projects or capital expenditures.
The reader is cautioned that assumptions used in the preparation of any forward-looking information may prove to be
incorrect. Events or circumstances may cause actual results to differ materially from those predicted, as a result of
numerous known and unknown risks, uncertainties, and other factors, many of which are beyond the control of Prospera. As
a result, Prospera cannot guarantee that any forward-looking statement will materialize, and the reader is cautioned not to
place undue reliance on any forward- looking information. Such information, although considered reasonable by
management at the time of preparation, may prove to be incorrect and actual results may differ materially from those
anticipated. Forward-looking statements contained in this news release are expressly qualified by this cautionary statement.
(403) 454-9010
[email protected]
www.prosperaenergy.com
Suite 730, 444 – 7 th Avenue SW
Calgary, AB T2P 0X8
The forward-looking statements contained in this news release are made as of the date of this news release, and Prospera
does not undertake any obligation to update publicly or to revise any of the included forward-looking statements, whether
as a result of new information, future events or otherwise, except as expressly required by Canadian securities law.
Neither TSXV nor its Regulation Services Provider (as that term is defined in the policies of the TSXV) accepts
responsibility for the adequacy or accuracy of this release.
