Buccaneer Energy (AIM:BUCE), the AIM-listed oil and gas producer with onshore assets in Texas, has completed a reserve valuation update tied to its credit facility with WAFD Bank, reporting an 18% increase in total net proved reserves and a 27% rise in forecast cash flow.
Net present value at a 9% discount rate (NPV9) reached $11.8 million under WAFD's pricing assumptions, which use a near-term oil price of $70 per barrel for 2026, rising at 3% annually to a cap of $70 per barrel.
WAFD confirmed the borrowing base at $4.45 million under its senior facility, with an interest rate of 6.75% indexed to the WSJ prime rate.
The valuation was prepared by third-party engineering firm APN Energy Consultants, effective 1 December 2025, and covers assets including the Pine Mills and Permian Basin interests alongside the Carlisle-1 well, which Buccaneer acquired in March.
That acquisition increased the company's equity position in the Fouke enhanced recovery area and lifted proved undeveloped reserves by 68%.
The Fouke project is expected to come onstream in the fourth quarter of 2026, with the board anticipating the borrowing base will expand further as production and cash flows grow.
"This strategic acquisition has increased our equity position in the Fouke enhanced recovery area," said chief executive Paul Welch, who noted the Texas portfolio's low operating costs continue to support performance in the current pricing environment.
