Canada's Spartan Delta lifts 2026 outlook after Q1 oil and gas sales surge

Spartan Delta

05/05/2026 23:42

Overview

Canada oil and gas producer's Q1 oil and gas sales rose 61% yr/yr

Q1 adjusted funds flow increased 79% from prior year

Spartan Delta raised 2026 production and capex guidance, expanded credit facility to C$700 mln

Outlook

Spartan Delta raises 2026 capital program to C$475–C$525 mln from C$410–C$470 mln

Company sees 2026 average production of 52,000–54,000 BOE/d, 45% liquids

Expects 2026 adjusted funds flow of C$380 mln, up from prior C$331 mln

Result Drivers

PRODUCTION GROWTH - Q1 production rose 36% yr/yr, with crude oil output up 217% and total liquids up 59% due to increased drilling and well completions

CAPITAL INVESTMENT - C$122.4 mln capital program focused on drilling, completion, and infrastructure in the Duvernay and Deep Basin drove higher output

ASSET ACQUISITIONS - Recent purchases of infrastructure and producing assets in the Duvernay and Deep Basin provided additional processing capacity and supported accelerated growth

Company press release: ID:nCNWVnCdma

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q1 Oil & Gas Sales
C$147.11 mln
Q1 Net Income
-C$13.64 mln
Q1 Adjusted Capex
C$122.39 mln
Q1 Net Debt
C$257.53 mln


Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 7 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"

The average consensus recommendation for the oil & gas exploration and production peer group is "buy"

Wall Street's median 12-month price target for Spartan Delta Corp is C$14.00, about 3.3% above its May 5 closing price of C$13.55

The stock recently traded at 20 times the next 12-month earnings vs. a P/E of 14 three months ago

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)