Knowledge Energy Inc. (“Knowledge” or the “Company”) has engaged Sayer Energy Advisors to assist it with a sale of the shares of the Company.
Knowledge is a highly focused junior oil and natural gas company producing light oil and solution natural gas from its non-operated Charlie Lake play in the Balsam area of Alberta (the “Property”).
In the Balsam area, Knowledge primarily holds a 9% non-operated working interest in approximately 86 largely contiguous sections of land. The majority of the Property is operated by Bonterra Energy Corp.
The Property has proven, low-risk middle Charlie Lake development, presenting an opportunity to drill up to 31 wells and additional upside in the upper Charlie Lake and from a potential gas flood. This is supported by extensive geological studies of the Property.
Current average daily production (April 2026) net to the Company is approximately 413 boe/d consisting of 156 bbl/d of oil and natural gas liquids and 1.5 MMcf/d of natural gas, with the latest wells coming on production in February and March 2026.
Forecasted annualized operating income net to Knowledge on a proved developed producing basis for the year ended December 31, 2026 is approximately $2.5 million.
As at December 31, 2025, Knowledge had no bank debt, positive working capital and as at April 1, 2026, total tax pools of approximately $8.9 million. There are no office lease or severance obligations associated with the Company.
Sproule ERCE (“Sproule”) prepared an independent reserves evaluation of the Property (the “Sproule Report”). The Sproule Report is effective March 31, 2026 using an average of GLJ Ltd., McDaniel & Associates Consultants Ltd., and Sproule’s forecast pricing as at April 1, 2026. Sproule estimated that, as at March 31, 2026, the Balsam property contained remaining proved plus probable reserves of 459,000 barrels of oil and natural gas liquids and 3.2 Bcf of natural gas (991,000 boe), with an estimated net present value of $10.3 million using forecast pricing at a 10% discount.
The Company has operatorship in 4 abandoned wells at Balsam. Knowledge does not operate any facilities at Balsam. Knowledge’s Licensee Capability Assessment as of March 31, 2026, had a current estimated magnitude of liability of $218,457 with low risk for financial distress and liability magnitude. The Company has a security deposit in place with the Alberta Energy Regulator of $28,984.
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, June 4, 2026.
For further information please feel free to contact: Ben Rye, Sydney Birkett, or Tom Pavic at 403.266.6133.