Prairie Operating Charts New Course Amid Leadership Transition

Prairie Operating reports 121M boe in proved reserves valued at $1.22B (PV-10) while undergoing a major executive leadership transition, including a new interim CEO.

The energy producer Prairie Operating has released its year-end 2025 reserve report, providing a fresh operational baseline for the company. This financial snapshot arrives concurrently with a significant overhaul of its executive team, presenting investors with a dual narrative of solid underlying assets and managerial uncertainty.

Executive Suite Overhaul Precedes Data Release

Just days before the reserve figures were made public, Prairie Operating announced sweeping changes to its leadership. Edward Kovalik stepped down from his roles as Chief Executive Officer and Chairman of the Board. The company also confirmed the departure of President Gary C. Hanna.

In response, the board has appointed an interim leadership team. Richard N. Frommer will serve as the interim President and CEO, while Erik Thoresen has been named the new Chairman. The board has initiated a formal search process to find a permanent chief executive.

Independent Audit Confirms Substantial Reserve Base

The newly published data, independently evaluated by the consultancy Cawley, Gillespie & Associates, outlines the company's resource foundation. As of December 31, 2025, Prairie Operating's total proved reserves stood at 121 million barrels of oil equivalent (boe).

This reserve total breaks down into several components:
* 60 million barrels of oil
* 195 billion cubic feet of natural gas
* 29 million barrels of natural gas liquids

For the purpose of this evaluation, the company used Securities and Exchange Commission (SEC) pricing benchmarks of $65.34 per barrel of oil and $3.387 per million British Thermal Units (MMBtu) for natural gas.

Financial Valuation and Production Metrics

The audit also calculated the pre-tax present value of future net cash flows, discounted at 10% (PV-10), in accordance with SEC guidelines. This key financial metric reached $1.22 billion. Of this total, approximately $860 million, or 71%, is attributed to developed reserves. The estimate for future pre-tax net cash flows before discounting amounts to roughly $2.41 billion.

On the production front, Prairie Operating was producing at a rate of approximately 28,000 boe per day at year-end 2025. This production figure encompasses both company-operated and non-operated wells.

The release of this comprehensive operational data establishes a clear benchmark for the incoming leadership as they steer the company's strategic direction forward.