Peru: PetroTal announces Q3 2025 operations and financial updates

PetroTal, an oil and gas development and production Company domiciled in Calgary, Alberta, focused on the development of oil assets in Peru, has provided operational and financial updates. All amounts are in US dollars unless stated otherwise.

Key Highlights

Manuel Pablo Zuniga-Pflucker, President and Chief Executive Officer, commented:

'PetroTal's preliminary Q3 results show that the Company continues to deliver steady YoY production growth, even though the Bretana field has been producing below capacity for a substantial portion of the third quarter. I am confident that our technical team has addressed the root cause of the previously disclosed leaks in our production tubing and am pleased to report that a service rig is already back on site, preparing to replace the faulty tubing. We look forward to providing additional updates on our development program with the release of our full Q3 2025 financials on November 13.'

Q3 2025 Production and Operations Update

PetroTal's group production averaged 18,414 bopd in Q3 2025, including 17,938 bopd from the Bretana field (Block 95; PetroTal 100% WI) and 476 bopd from the Los Angeles field (Block 131; PetroTal 100% WI). Bretana field production decreased by approximately 2,600 bopd relative to the prior quarter but increased approximately 2,800 bopd relative to the same period last year. Meanwhile, Los Angeles field production declined by approximately 50 bopd compared to Q2 2025. PetroTal's cumulative annual production through September 30 amounted to just over 5.7 million barrels, approximately 21% higher than the first nine months of 2024.

As disclosed previously on September 22, 2025, the Bretana field has been producing below capacity since mid-August, due to leaks in production tubing which have necessitated the shut-in of five producing wells. As a result, corporate production during the first ten days of October has averaged approximately 16,000 bopd. Responding to the production downtime, PetroTal mobilized a service rig from Block 131 to Bretana in the first week of October and will begin a pulling campaign to restore production from shut-in wells by the end of the month. The Company will also proactively replace electric submersible pumps in several wells, as a preventative measure to mitigate against potential future downtime. Bretana field production is expected to ramp up throughout the months of November and December as the shut-in wells are returned to production. At this point, there is no change to PetroTal's 2025 annual average production guidance of 20,000-21,000 bopd, most recently updated with Q2 2025 results on August 7.

Also at Bretana, the erosion control project is well underway. PetroTal's contracted construction consortium has installed a jackup rig in front of the village of Bretana, where it is currently engaged in piling operations for the first of five breakwaters. PetroTal is also finalizing preparations to import its owned drilling rig to Peru during the first quarter of 2026, with development drilling operations expected to resume at Bretana in Q2 2026.

At the Los Angeles field, PetroTal executed a workover campaign during the month of September. The Company is currently evaluating the results and will provide additional updates on the future course of action as necessary.

Cash and Liquidity Update

PetroTal ended Q3 2025 with a total cash position of $141.5 million, of which approximately $108.8 million was unrestricted. This compares to unrestricted cash of $99.3 million at the end of Q2 2025 and $121 million at the same time last year. Of the approximately $32.7 million that PetroTal carried as Restricted Cash on September 30, approximately $25.2 million was related to the escrow account of the COFIDE loan, as previously announced on May 12, 2025.

As of September 30, PetroTal's unaudited accounts payable and receivable were approximately $51.9 million and $56.6 million, respectively (vs. comparable values of $57 million and $66 million as of June 30, 2025, respectively).

PetroTal did not initiate any new production hedges during Q3 2025. As of October 7, the Company maintains hedges on approximately 1 million barrels over the period from October 1, 2025 to March 30, 2026. Consistent with prior disclosure, the costless collars have a Brent floor price of $65.00/bbl and a ceiling of $82.50/bbl, with a cap of $102.50/bbl. As of October 7, PetroTal's production hedges had a present value of approximately $3.2 million.

Corporate Presentation Update

The Company has updated its Corporate Presentation, available for download or viewing at www.petrotalcorp.com.

Original announcement link

Source: PetroTal