Greenfire Resources Ltd. ("Greenfire" or the "Company"), a Calgary-based energy company focused on the production and development of thermal energy resources from the Athabasca region of Alberta, Canada, provides an update on its strategic review process and timeline for the updated reserves evaluation. Greenfire intends to release its operating and financial results for the quarter ended September 30, 2024 after markets close on Thursday, November 14, 2024.
Strategic Review Process Update
Following the Board's initiation of a strategic review in July 2024, TD Securities was engaged as financial advisor. The Company is exploring a corporate sale and may consider other strategic alternatives to maximize shareholder value.
Initial market outreach has generated interest from multiple parties over the past four weeks. While the Company's updated reserves report will be a key component for evaluating the opportunity, several interested parties have indicated that if the proposed transaction between Waterous Energy Fund Management Corp. and certain selling shareholders is not completed it would significantly enhance their interest in pursuing a transaction.
The Company also announces that the Special Committee of independent directors leading the ongoing strategic review process has engaged TPH&Co, the energy business of Perella Weinberg Partners, to support its evaluation of potential transactions and strategic alternatives.
While the Company cannot guarantee any specific outcome of its strategic review process, it is committed to thoroughly exploring all avenues that could accelerate Greenfire's growth and enhance shareholder value.
Reserves Evaluation Update
As part of the Company's strategic review process, Greenfire's independent reserves evaluator, McDaniel & Associates Consultants Ltd. will prepare an updated independent reserves evaluation for the Company, which is expected to include:
Assessment of the Company's modern drilling practices, SAGD technologies and updated development plan
Additional evaluation areas, including all of Greenfire's acreage at Hangingstone Expansion and Demo
Review of projects to increase production capacity at existing operations, as outlined in the Company's October 7, 2024, "Future Growth Plans" press release and presentation
Initially planned for completion by year-end, the updated independent reserves evaluation is now expected to be completed in the second half of November 2024.
Timing of Q3 2024 Results and Conference Call
Greenfire intends to release its operating and financial results for the quarter ended September 30, 2024 after markets close on Thursday, November 14, 2024. The Company plans to host a conference call on Friday, November 15, 2024 at 7:00 a.m. Mountain Time (9:00 a.m. Eastern Time) during which members of the Company's leadership team will discuss Q3 2023 financial and operating results followed by a question-and-answer session.
