Brookside Reports 1,920 BOE Daily Production and A$18.1M Quarterly Cash Receipts

Strong Reserve Growth and Operational Momentum

Brookside Energy Limited has delivered a robust quarterly performance for the three months ending 31 March 2025, highlighted by a remarkable 50% increase in Proved Developed Producing (PDP) reserves to 2.65 million barrels of oil equivalent (BOE). This surge underscores the company’s effective capital deployment and operational efficiency within its core Anadarko Basin assets in Oklahoma.

Alongside this reserves growth, Brookside’s net production averaged 1,920 BOE per day during the quarter, reflecting steady output from its operated SWISH Play wells and a significant contribution from its non-operated Gapstow wells. The Gapstow wells, in which Brookside holds approximately a 16% net revenue interest, produced around 27,500 BOE net to the company over their first 90 days, with a liquids content of 73%, reinforcing the liquids-rich nature of the portfolio.

Bruins Well Drilled Ahead of Schedule

Operationally, Brookside advanced its drilling program by spudding its ninth operated well, Bruins 2-11-1S-3W WXH1, in February. The well reached a total measured depth of 16,718 feet within 30 days, ahead of schedule, and production casing was installed promptly. Surface facility construction commenced after the quarter, positioning the well for completion and flowback in Q2 2025. With a 76% working interest, Bruins is expected to materially enhance production and cash flow upon coming online.

Financial Performance and Capital Discipline

Financially, Brookside generated A$18.1 million in cash receipts from sales volumes of approximately 285,132 BOE at a realised price of US$39.91 per BOE. Net operating cash flow stood at A$4.55 million, supported by disciplined cost control and high-margin liquids production. The company closed the quarter with a strong cash balance of A$12.7 million, up from A$11.3 million at the end of 2024.

Investing activities amounted to A$5.6 million, primarily directed toward development in the SWISH Play, including the Bruins well, partially offset by A$2.55 million in contributions from working interest partners. Brookside continues to emphasize capital discipline amid a lower oil price environment, balancing near-term cash generation with operational efficiency and measured development pacing.

Hedging and Risk Management

To mitigate commodity price volatility, Brookside implemented a conservative hedging program during the quarter. Natural gas volumes of approximately 60,000 MMBTU per month were sold at US$4.25/MMBTU from March through October 2025, while oil volumes of about 7,800 barrels per month were hedged at an average price of US$62.73 per barrel from April through September 2025. This strategy aims to protect cash flows from the upcoming flush production, particularly from the Bruins well.

Progress Toward US Listing

On the corporate front, Brookside is making solid progress toward a planned listing on the New York Stock Exchange (NYSE). The company is nearing completion of PCAOB audits for the 2022 to 2024 financial years, a critical step for US regulatory compliance. It has engaged key advisors, including US legal counsel, an investment bank, a depositary bank, and PCAOB-registered auditors, and is preparing the SEC registration statement. The listing is expected to enhance Brookside’s access to capital markets and broaden its investor base.

Trading volumes on the ASX remain modest but have shown slight improvement, with the top 20 shareholders holding about 31% of issued shares. Interest from international investors is growing, reflecting renewed sector enthusiasm and confidence in Brookside’s strategic direction.

Outlook

Brookside Energy’s first quarter results demonstrate a company advancing its operational and financial objectives with discipline and strategic foresight. The combination of strong reserve replacement, steady production, prudent capital management, and progress toward a US listing positions Brookside well for the challenges and opportunities ahead in a volatile energy market.