Nipisi Production Update "Tamarack has worked diligently to recover volumes at Nipisi that had been shut-in as a result of the April 13, 2024, Mitsue third-party plant incident. Effective May 7, 2024, the Company has been able to restore all but 1,050 – 1,250 boe/d(9) (~60% natural gas) of production that had been shut-in because of the incident. The production recovered to date is the result of the hard work, focus and creativity of our team, and the utilization of various temporary mitigation strategies. These strategies include redirection of gas to an alternative third-party gas plant, gas injection and storage. The Company continues to pursue additional solutions to bring the remaining volumes back on-line.
According to the operator of the Mitsue facility, the preliminary estimate to resume normal operations based on currently available information is June 30, 2024. However, this estimate is subject to change as further information is received and is subject to a number of variables including availability of parts, materials, and third-party contractors.
Tamarack estimates that Q2/24 production will be impacted by 2,300 - 2,700 boe/d(10) and annual average 2024 production could be impacted by 575 – 675 boe/d(11). Reflecting the strong performance of our Q1/24 program and existing base production, Tamarack's budget guidance of 61,000 – 63,000 boe/d remains unchanged, despite the unplanned downtime and impact of the disposition, as the Company continues to track within our original budget volumes."