Pine Cliff Energy Ltd
TSX:PNE
Pine Cliff Energy Ltd
Pine Cliff Energy Ltd. engages in the acquisition, exploration, development, and production of oil and natural gas. The company is headquartered in Calgary, Alberta and currently employs 78 full-time employees. The company went IPO on 2005-04-11. The Company’s operating areas include Central Assets, Edson Assets, Southern Assets, and Other Assets. Central Assets include Ghost Pine and Viking Kinsella areas of Central Alberta. Edson, which includes the area in the Western Canadian Sedimentary Basin. Southern Assets includes properties in Southern Alberta and Southern Saskatchewan. Other Assets include liquids-rich natural gas assets in the Sundance, Carstairs, Garrington and Harmattan areas of Alberta and natural gas assets in the Cadillac area of Southern Saskatchewan.
Pine Cliff Energy Ltd. engages in the acquisition, exploration, development, and production of oil and natural gas. The company is headquartered in Calgary, Alberta and currently employs 78 full-time employees. The company went IPO on 2005-04-11. The Company’s operating areas include Central Assets, Edson Assets, Southern Assets, and Other Assets. Central Assets include Ghost Pine and Viking Kinsella areas of Central Alberta. Edson, which includes the area in the Western Canadian Sedimentary Basin. Southern Assets includes properties in Southern Alberta and Southern Saskatchewan. Other Assets include liquids-rich natural gas assets in the Sundance, Carstairs, Garrington and Harmattan areas of Alberta and natural gas assets in the Cadillac area of Southern Saskatchewan.
Challenging Quarter: Q3 was difficult due to low commodity prices, but hedging helped Pine Cliff realize prices substantially above market.
Strong Hedging Position: The company is the most hedged it has ever been, with about 50% of Q4 2025 natural gas hedged at $2.88/Mcf and about 33% hedged for 2026 at around $3/Mcf.
Optimism for 2026: Management is optimistic about the future, citing forward strip prices above $3/Mcf and expecting material free cash flow with these levels.
Drilling Program Restart: Pine Cliff plans to restart drilling after 2.5 years, expecting new wells to be self-funding with strong economics and quick paybacks.
Asset Sale: The company sold certain Central Alberta assets to fund the initial drilling program but does not expect asset sales to be a recurring funding source.
Dividend Commitment: Pine Cliff remains committed to its monthly dividend and may consider increasing it if 2026 free cash flow is strong.
Data Center Update: The company is involved in a data center project but has no new details to share as it is not the builder.
