WAFD Bank – Borrowing Base Reserve Update

Buccaneer Energy

28/01/2026 07:00

RNS Number : 6288Q

Buccaneer Energy PLC

28 January 2026

 

 

Buccaneer Energy Plc

("Buccaneer" or the "Company")

28 January 2026

 

WAFD Bank - Borrowing Base Reserve Update

Reserve Volumes Increase - NPV10 - $9.6m

 

Buccaneer Energy (AIM: BUCE), the international oil & gas exploration and production company with a portfolio of production and development assets in Texas, USA, is pleased to announce that it has completed a reserve valuation update in connection with its credit facility with WAFD Bank ("WAFD"), formerly Washington Federal Savings and Loan.

 

The updated valuation confirms an increase in proved reserve volumes and supports the continued strength of the Company's asset base, notwithstanding a more conservative oil price outlook applied by the lender.

 

Paul Welch, Buccaneer Energy's Chief Executive Officer, said:

 

"We are encouraged by the outcome of the latest borrowing base review, which demonstrates the underlying strength and resilience of our asset base. Total proved net reserves increased by 6% while forecast cash flows remain broadly stable year on year, despite WAFD's near-term oil price assumption being reduced by $7.45 per barrel, or 14%, to reflect its outlook on global oil markets.

 

Our onshore Texas assets continue to benefit from low operating costs, enabling the business to perform well in the current pricing environment. "

  

Highlights

•
Total net proved reserves increased by 6%, based on the latest independent reserve review
•
NPV10 of US$9.6 million, reflecting stable underlying cash flows
•
Borrowing Base confirmed at US$4.25 million under the WAFD senior facility
•
Conservative lender price deck applied; near-term oil price assumptions reduced by 14%
•
Texas asset base continues to demonstrate low operating costs and resilience

 

WAFD Bank Valuation (WAFD Pricing)
Buccaneer Valuation - $60 Flat
•
Future Net Income: $21,478,370
Future Net Income: $21,321,860
•
NPV9: $9,279,920
NPV10: $9,561,740

                                                    

WAFD Senior Facility

•
Borrowing Base of $4,250,000
•
Current Interest Rate: 6.75%

 

Senior Facility & Corporate Valuation

The size of the Facility and Borrowing Base will continue to be reassessed at least twice yearly. The Board anticipates that the Facility and Borrowing Base will continue to expand as the Company's production, cashflows and reserves increase. The current interest rate on the facility is 6.75% and is indexed to the WSJ prime rate. The Facility is not restricted to any geographical region and can expand further with the acquisition or development of other producing assets.

 

Asset Valuation

WAFD has updated its borrowing base using a report from a third-party engineering firm, APN Energy Consultants LLC ("APN"), effective 1 December 2025. APN prepared the report for the Company to submit to WAFD.

 

Assets included in the borrowing base are as follows:

 

Asset
Operator
BUCE Interest (%)
Status
Lease expiration
Total Acres (gross)
Pine Mills
BUCE
100%
Producing and Development
HBP
2,320
Fouke
Cypress
32.5%
Producing and Development
HBP
160
Permian Basin
BUCE
53%
Producing and Development
HBP
160

 

Future Net Income attributable to the Company's interest, as determined by WAFD using the price deck listed below, is calculated after deducting estimated future operating and development costs, production and ad valorem taxes, but before Federal income taxes.

 

Category
Future Net Income (USD)
Net Present Value
9% Discount Rate (USD)
Proved Developed Producing
$13,750,450
$5,506,670
Proved Developed Non-Producing
$6,103,300
$3,225,700
Proved Undeveloped
$1,624,620
$547.55
Total Proved
$21,478,370
$9,279,920

 

 Future revenues were estimated using a WTI oil price forecast supplied by the lender:

Year
Oil ($/bbl)
2025
$56.30
2026
$55.20
2027
$55.45
2028
$56.75
2029
$57.95
3% Price Escalation to Cap
$70.00 CAP

 

Dec-24
Reserve Class and Category
Gross Oil and Condensate (Mbbl)
Net Oil and Condensate (Mbbl)
Proved Developed Producing
1,128.35
438.58
Proved Developed Non-Producing
177.77
137.38
Proved Undeveloped
145.84
54.36
Total Proved
1,451.96
630.32
Dec-25
Reserve Class and Category
Gross Oil and Condensate (Mbbl)
Net Oil and Condensate (Mbbl)
Proved Developed Producing
1,048.08
472.13
Proved Developed Non-Producing
344.26
141.36
Proved Undeveloped
145.84
54.36
Total Proved
1,538.18
667.85
Difference
Reserve Class and Category
Gross Oil and Condensate (Mbbl)
Net Oil and Condensate (Mbbl)
%
Proved Developed Producing
(80.27)
33.55
8%
Proved Developed Non-Producing
166.49
3.98
3%
Proved Undeveloped
0.00
0.00
0%
Total Proved
86.22
37.53
6%

 

 

For further information, contact:

 

Buccaneer Energy plc
Paul Welch, CEO
Email:
Investor_relations@buccaneerenergy.co.uk
SP Angel Corporate Finance LLP
(NOMAD/Joint Broker)
Stuart Gledhill / Richard Hail / Adam Cowl
Tel:
+44 (0) 20 3470 0470
Oak Securities (Joint Broker)
Robert Bell / Nick Price
Tel:
+44 (0) 20 3973 3678
Celicourt Communications
(PR/IR)
Mark Antelme / Charles Denley-Myerson
Tel:
 Email:
+44 (0) 20 7770 6424
 BucEng@celicourt.uk

 

 

Technical Glossary

 

$ - US Dollar

 

bbl - barrel

 

Borrowing Base - the amount of money that a lender is willing to loan a company, based on the value of the collateral the company pledges.

 

Future Net Income or FNI - the  projected Gross Revenues expected to be realised by the Company during the productive life of the asset less the sum of the Operating Costs payable.

 

Gross - total quantity or amount.

 

HBP - Held by Production.

 

Net - quantity or amount associated with Buccaneer's interest.

 

Net Present Value or NPV - the difference between the present value of cash inflows and the present value of cash outflows over a period of time.

 

WSJ - Wall Street Journal

 

WTI - West Texas Intermediate crude oil benchmark price in $/bbl.

 

 

 

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