AIM-listed Buccaneer Energy, the international oil & gas exploration and production company with development and production assets in Texas, USA, has completed the acquisition of a 100% working interest in the Carlisle-1 well located in the Fouke area of the Pine Mills field. The transaction closed on 13 March 2026, with an effective date of 1 January 2026.
The Acquisition was partially funded from the proceeds of the £350,000 fundraise previously announced on 2 March 2026. Read the full announcement here.
Carlisle-1 Well Highlights
- 100% working interest acquired in the Carlisle-1 well.
- Immediate production of approximately 25 barrels of oil per day (bopd).
- Company production increases to approximately 155 bopd.
- Carlisle-1 features low operating costs of US$6.23/barrel (bbl).
- Strong netback of cUS$65/bbl at current field prices.
- Estimated net cash flow of approximately US$50,000 per month at current oil prices.
- PV10 value of US$910,540 based on independent reserve report using bank price deck (see below).
- Approximately 51,000 barrels of proved reserves (third-party estimate) before waterflood, 256,000 with the waterflood.
- Increases Buccaneer's interest in the proposed Fouke waterflood unit from approximately 33% to greater than 50%.
The Carlisle-1 well is located within the Pine Mills Field in East Texas, adjacent to Buccaneer's existing Fouke area wells and producing from the same reservoir horizons as the Fouke 1 and Fouke 2 wells.
The Well is currently producing approximately 25 bopd, generating strong cash margins due to low operating costs. Based on current field prices of approximately US$92/bbl, the Well delivers a netback of approximately US$65/bbl, equivalent to approximately US$50,000 in monthly net cash flow.
Operating costs for the Well were approximately US$6.23/bbl in 2025, highlighting the strong margin profile of the asset.
A third-party reserve report estimates proved developed producing (PDP) reserves of approximately 51,000 barrels of oil, with a PV10 valuation of approximately US$910,540 using a conservative bank (WAFD) price deck (See below). This estimate does not include any reserves associated with the Fouke area waterflood, which are anticipated to be approximately 225,000 barrels under waterflood development or from Buccaneer's Organic Oil Recovery ("OOR") programme.
The report was prepared by APN Energy to the SPE PRMS standard and dated 2 March 2026.
|
Category |
Gross Oil and condensate (Mbbl) |
Net oil and condensate (Mbbl) |
|
Proved Developed Producing |
50.58 |
38.38 |
|
Total Proved |
50.58 |
38.38 |
|
Category |
Future Net Income (USD) |
Net Present Value 10% Discount Rate (USD) |
|
Proved Developed Producing |
$1,224,120 |
$910,540 |
|
Total Proved |
$1,224,120 |
$910,540 |
The Acquisition further consolidates Buccaneer's position within the proposed Fouke waterflood unit, where the Company anticipates its working interest will increase from approximately 32.5% to greater than 50% following the addition of the Carlisle-1 well.
The Well is expected to benefit from both waterflood development and Buccaneer's OOR programme, which has already demonstrated significant production uplift within the Pine Mills field.
|
|
|
Image 1: Pumping Unit on the Carlisle-1 Well |
Paul Welch, Buccaneer Energy's Chief Executive Officer, said:
'The completion of the acquisition of the Carlisle-1 well immediately increases our production and cash flow while strengthening our strategic position within the Fouke area of the Pine Mills field.
Carlisle-1 is a high-margin producing asset with low operating costs and attractive reserves and increases our interest in the proposed Fouke waterflood unit to greater than 50%, enhancing our operational position as we continue to develop the area.
The Acquisition increases our working interest production to approximately 155 bopd, and with strong oil prices and low onshore operating costs, Pine Mills continues to generate attractive cash margins for the Company. Based on the latest reserve update using the conservative WAFD bank price forecast (shown below), it increases our current NPV10 PDP reserve value to approximately US$10.5 million.
Carlisle-1 also offers attractive capital efficiency, with a projected payout period of approximately 9 months at current pricing.
The Board believes Buccaneer's current market capitalisation of approximately £1.55 million does not yet reflect the value of its existing producing reserve base, as set out in the latest reserve update using the conservative WAFD bank price forecast, and before any contribution from recent oil price increases, the proposed Fouke waterflood unit, OOR optimisation or broader field development upside. Our focus is on disciplined execution to narrow that value gap through production growth, cash generation, and enhanced recovery initiatives.'
Source: Buccaneer Energy
