On December 18, 2025, the Court of King’s Bench of Alberta granted an order pursuant to the Companies’ Creditors Arrangement Act, (“CCAA”) appointing KSV Restructuring Inc. (“KSV”) as the monitor (the “Monitor”) of Cabot Energy Inc. (“Cabot” or the “Company”). As part of the CCAA proceeding, the Company has engaged Sayer Energy Advisors to assist it with a Sales and Investment Solicitation Process (the “SISP”).
The SISP is intended to solicit interest in, and opportunities for a sale of, or investment in, all or part of Cabot’s oil and natural gas interests and facilities, or an investment in Cabot, which may include a restructuring, recapitalization, or other form of reorganization of the Company. All offers received at the bid deadline will be reviewed by the Monitor and the most acceptable offers may be accepted by the Company, subject to Court approval. A copy of the SISP is found on our website at www.sayeradvisors.com.
The Company’s oil and natural gas interests are located in the Rainbow area of northern Alberta (the “Property”).
Average daily sales production net to the Company from the Property for the 12 months ended October 31, 2025 was approximately 188 bbl/d, consisting of oil and condensate.
Operating income net to the Company from the Property for the 12 months ended October 31, 2025 was approximately $47,200 per month or $566,000 on an annualized basis. Cabot’s net production and cash flow in 2025 was lower than previous periods due in part to wildfire events during the past year. Cabot has identified current production capability in excess of 300 bbl/d of oil from fully equipped active wells.
Cabot has identified workovers including pump and tubing repairs, recompletions and reactivations which would increase production to 500 bbl/d of oil. Additionally, drilling opportunities have been identified for oil in the pinnacle reefs of the Keg River Formation. There are also many tuck-in acquisition opportunities of shut-in wells and pipelines in the area that are synergistic to the Company’s operations. Cabot believes that production may be increased and maintained at 1,000 bbl/d through low-risk drilling and prudent acquisitions.
As of January 11, 2026, the Rainbow property had a deemed liability value of $27.0 million with $12.6 million of that liability associated with active assets.
McDaniel & Associates Consultants Ltd. (“McDaniel”) prepared an independent reserves evaluation of the Property as part of the Company’s year-end reporting (the “McDaniel Report”). The McDaniel Report is effective December 31, 2021, using an average of GLJ Ltd., McDaniel and Sproule ERCE’s January 1, 2022 forecast pricing. McDaniel estimated that as at December 31, 2021 the Property contained remaining proved plus probable reserves of 1.9 million barrels of oil (1.9 million boe), with an estimated net present value of approximately $19.9 million using forecast pricing at a 10% discount.
Summary information relating to this divestiture is attached to this correspondence. A package of more detailed confidential information will be sent to any party executing a Confidentiality Agreement (copy attached).
Offers as outlined in the SISP relating to this process will be accepted until 12:00 pm on Thursday, February 12, 2026.
For further information please feel free to contact: Ben Rye, Sydney Birkett or Tom Pavic at 403.266.6133.