CALGARY, Alberta — January 7, 2026 — Leads & Copy — Prairie Provident Resources Inc. (TSX:PPR) has provided an operational update on its drilling program in the Princess and Michichi areas.
The company successfully drilled and completed one Ellerslie multi-leg open hole horizontal well, 102/03-24-018-11W4M, in its Princess core area. Initial production results are summarized in a table provided in the press release. Production continues to increase as the well cleans up, with the latest daily production at approximately 290 boe/d (185 bbl/d of heavy oil) based on field estimates at the wellhead.
To date, initial production from 102/03-24-018-11W4M has been constrained due to limitations on the natural gas takeaway volumes. The company expects the flush natural gas production to decline in the near term, resolving the natural gas takeaway issue.
At Princess, Prairie Provident installed and commissioned a water disposal facility at 10-23-018-11W4M, which included the tie-in of the 102/10-23-018-11W4M Pekisko water disposal well. The company anticipates annual area operating cost savings of approximately $600,000 from this project by eliminating produced water trucking and third-party water disposal charges.
In the Michichi area, two one-mile Basal Quartz horizontal wells were drilled off the 4-31-30-18W4M surface pad site at 03-30-30-18W4M and 02-30-30-18W4M. Both wells encountered high-quality Basal Quartz reservoir as evidenced by the geological strip logs; however, production casing failures occurred during the primary cementing operations at both wells.
Downhole camera visualizations show casing shearing/deformation at similar depths on a casing collar. The company is still investigating but believes these are separate events that may have been caused by an oblique slip in a system of critically stressed sub-seismic faults triggered by geo-mechanical factors.
Prairie Provident has adhered to the standard offset well drilling design for single-leg cased-hole Basal Quartz horizontal wells in the Michichi/Drumheller area. The company believes the 03-30-30-18W4M and 02-30-30-18W4M wells are unlikely to be salvageable in their current configuration. The company is assessing the impact of these geo-mechanical events on its future drilling design in the Michichi area and will provide operational updates regarding future Basal Quartz development.
Dale Miller, Executive Chairman can be reached at (403) 292-8150 or investor@ppr.ca for further information.
Source: Prairie Provident
