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10101906 Manitoba Ltd.: Strategic Alternatives Process

June 2, 20256:51 AM BOE Report Staff

10101906 Manitoba Ltd. (“101” or the “Company”) has engaged Sayer Energy Advisors to assist it with a strategic alternatives process. The Company is open to reviewing all alternatives including, but not limited to, a corporate transaction resulting in the sale of all of the shares of the Company or the sale of the Company’s oil and natural gas assets, in whole or in part.

101 is a private junior oil and natural gas company with predominantly operated working interests located in the Greater Manson area, specifically the Elgin, Gambler, Linklater, Manson, McAuley, North Hargrave and St. Lazare areas of Manitoba (the “Properties”). 101 was incorporated on June 15, 2021 under the Corporations Act of Manitoba and commenced operations on March 18, 2022. The Company acquired the Properties in 2022.

Average daily production net to 101 from the Properties for the year ended December 31, 2024 was approximately 105 bbl/d of oil.

Operating income net to 101 from the Properties for the year ended December 31, 2024 was approximately $900,000.

As at September 30, 2024, 101 had total unused Canadian income tax pools of approximately $5.9 million, including $2.8 million of non-capital losses.

Additional upside has been identified in the Miniota Unit No.1 through expanding the waterflood in the Amaranth Formation, which should improve productivity and increase the reserves. Water injection started in November 2019 and immediately resulted in an increase in total fluid production. The well Elcano Miniota 100/05-06-013-26W1 has been identified as a candidate for water injection. Potential infill drilling locations on Section 01-013-027W1 could reduce per well operating costs for the area. Infill drilling of up to four additional production wells in the Miniota Unit No. 1 is also possible.

Summary information relating to this divestiture is attached to this correspondence.  More specific information is available at www.sayeradvisors.com.  A package of more detailed confidential information will be sent to any party executing a Confidentiality Agreement (copy attached).

Proposals relating to this process will be accepted until 12:00 pm on Thursday, July 3, 2025.

For further information please feel free to contact: Ben Rye, Sydney Birkett, or Tom Pavic at 403.266.6133.

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