What is the expected impact on EPS and cash per share if the projected production levels are achieved and maintained? | KGEI (Aug 07, 2025) | Candlesense

What is the expected impact on EPS and cash per share if the projected production levels are achieved and maintained?

Short answer:

The press release you’ve quoted does not contain any specific figures or guidance about how the new Lovina‑field production will translate into earnings‑per‑share (EPS) or cash‑per‑share. Consequently, we cannot calculate an expected impact on EPS or cash per share from the information that is publicly available in this announcement.


Why the impact can’t be quantified from the news release

What the release tells us What we would need to estimate EPS/cash‑per‑share
• Four Lovina wells (9‑16‑1H, 9‑16‑2H, 9‑16‑3H, 9‑16‑4H) have been fracture‑stimulated.
• They are flowing back “through a conservative controlled flow‑back” and are “in vari…”.
• Expected daily/annual production volumes (Barrels of Oil Equivalent – BOE) from those wells.
• Forecasted commodity prices (oil, natural gas, liquids) at which those BOE will be sold.
• Operating cost structure (lifting costs, royalties, transportation, gathering, etc.).
• The wells are 100 % owned (100 % working interest). • Company‑wide financials: total share count, existing debt service, tax rate, and any hedges or other non‑operating items that affect net earnings and cash flow.
• No forward‑looking statements on revenue, net income, cash flow, or per‑share metrics. • Management’s explicit guidance (or a disclosed financial model) that links incremental production to incremental earnings and cash.

Because none of the above quantitative inputs are disclosed, any attempt to project the EPS or cash‑per‑share impact would be purely speculative.


How EPS and cash‑per‑share are normally derived from a production increase

  1. Estimate incremental production (e.g., X thousand BOE per day).
  2. Apply commodity price assumptions (e.g., $ 75 / BOE for oil, $ 2.50 / MMBtu for gas).
  3. Subtract operating expenses (lifting cost per BOE, gathering, royalties, taxes).
  4. Convert the resulting net earnings to per‑share terms by dividing by the diluted weighted‑average share count.
  5. For cash per share, start with operating cash flow (earnings + non‑cash items – working‑capital changes), then subtract capital expenditures required to maintain the new production, and finally divide by the share count.

Without step‑1 (production volume) and step‑2 (price assumptions), steps 3‑5 cannot be performed.


What you can do next

Action Reason
Check recent quarterly or annual filings (Form 10‑Q, 10‑K, MD&A) for Kolibri Global Energy. These documents often contain “production guidance” and sometimes a “per‑share impact” table.
Look for a management commentary or earnings call transcript after the release date (early August 2025). Management may have discussed the expected contribution of the Lovina wells to earnings and cash flow.
Monitor any subsequent press releases that provide production numbers or financial guidance. Companies frequently follow an operations update with a “production update” that includes volume figures.
Use analyst consensus estimates for commodity prices and operating costs to build a simple model. Even an approximate model can give a ball‑park figure for EPS/cash per share, provided you have a credible production estimate.

Bottom line

  • The operations update confirms that four Lovina wells are now flowing, but no quantitative production or financial guidance is disclosed.
  • Therefore, the expected impact on EPS and cash per share cannot be determined from this announcement alone.
  • To answer the question accurately, you’ll need additional data (production volumes, price assumptions, cost structure, and share count) from the company’s more detailed financial disclosures or from management commentary.

Other Questions About This News

Are there any strategic plans for additional drilling or acquisition in the Tishomingo field following these results? How do the fracture stimulation costs for the Lovina wells compare to the company's historical average and to peer companies in the region? What is the expected sustainable production rate from these wells after the flow‑back period ends? Is there any impact on the company’s debt covenants or financing arrangements due to the current capital deployment? How did the actual drilling and completion costs per foot compare to the company's original budget and to regional benchmarks? Will the results of the Lovina wells trigger any changes to the company's 2025 production guidance or capital spending plan? What are the potential regulatory or environmental risks that could affect the future development of the Lovina wells? How does the performance of these wells compare to recent wells completed in the Tishomingo field or other Oklahoma assets? What impact will the current well results have on the company's quarterly revenue and cash‑flow forecasts? How might this operational update affect analyst consensus estimates and target price for KGEI? What is the estimated net present value (NPV) and internal rate of return (IRR) for the Lovina drilling and completion program? What is the timeline for completing the remaining steps (e.g., post‑flow‑back testing, production ramp‑up, and tie‑in to the gathering system) for each Lovina well? Are there any indications of reserve additions or revisions to proven reserves (P90) as a result of this update? What were the actual production rates (e.g., barrels of oil equivalent per day) achieved in the initial flow‑back of the Lovina wells?