Predator Oil & Gas Completes Trinidad Acquisition, Secures Revenue Stream with No Cost Exposure

Key component	Detail
Completion effective date	29 August 2025
Upfront cash to Challenger	US$0.5 million
Deferred consideration	US$0.5 million (31 Aug 2026), US$0.25 million (31 Dec 2026), US$0.25 million (31 Dec 2027)
Assumed liabilities (by WIEGL)	US$4.25 million (no residual exposure for PRD)
SPA warranties	12 months from 29 August 2025
Current gross production	285 bopd
Revenue share – existing production	30% after royalties and taxes
Revenue share – incremental production	15% until cost recovery, then 30%
Planned operations	Up to 13 HWOs over 12–24 months; infill drilling to meet licence obligations

Strategic fit: Cory Moruga growth and Snowcap rigline support

The Trinidad platform adds the practical kit Predator needs: gathering stations, sales tanks, service equipment and workover rigs. That downstream logistics is explicitly flagged as support for Snowcap, enabling development and sales into a pipeline entry point. It is a tangible piece of the execution puzzle.

Meanwhile, T-Rex Resources (Predator’s wholly owned subsidiary) is in final negotiations to reactivate and commission the T38 rig to drill Snowcap-3 in early 2026. The final contract is expected on submission of regulatory documentation to the Ministry of Energy next month. This coordination between asset base and rigline matters for timelines and cost control.

Cory Moruga remains the big prize

Predator reiterates 2P/2C unrisked contingent and prospective oil resources of 14.31 million barrels at Cory Moruga, with a projected peak production rate of 3,000 to 4,000 bopd based on the adjacent Moruga West analogue. “Unrisked” means the numbers are before probability or commercial risk adjustments.

Today’s deal strengthens the infrastructure and in-country presence needed to appraise and develop Cory Moruga and sell oil into a pipeline. That is a clear through-line in the strategy.

My take: positives, watchouts, and why it matters

What looks good

• Immediate, low-risk cash flow: 30% share on existing barrels with zero opex or capex exposure is attractive for a junior.
• Carry on growth capex: Up to 13 HWOs and infill drilling are funded by the operator partner until cost recovery, giving PRD leverage to a production uplift.
• Clean legacy exposure: WIEGL assumes US$4.25 million of represented liabilities; PRD avoids a typical acquisition tripwire.
• Staged consideration: Only US$0.5 million paid now; the rest is deferred into late 2026 and 2027, reducing near-term balance sheet strain.
• Strategic synergy: Logistics and field services to support Snowcap and ultimately Cory Moruga are now in place.
• Macro tailwind: Management notes ExxonMobil’s fresh Trinidad interest and spend. That could sharpen industry focus on the basin.

What to keep an eye on

• Delivery risk: The 40% uplift is an objective, not guidance. Execution of 13 HWOs and new wells will be the proof point.
• Cash flow timing: PRD only takes 15% on incremental barrels until NABI recovers costs, so the uplift may not translate immediately into higher cash receipts.
• Scale: 285 bopd gross is modest; material cash generation likely hinges on successful workovers and Cory Moruga progress.
• Disclosure gaps: Netbacks, realised prices and royalty rates are not disclosed; investors will need reported revenue data to assess margins.
• Warranties window: SPA warranties last 12 months from completion – standard, but it sets a near-term period for any claims.

What’s next on the newsflow

• Finalisation of the T38 rig contract after regulatory filings next month; Snowcap-3 targeted for early 2026.
• Kick-off of the HWO programme across Goudron, Inniss-Trinity and Icacos, plus drilling to meet licence obligations over two years.
• Technical review of the SVG portfolio to identify fresh targets and missed intervention opportunities.
• Morocco: review of MOU-3 “A” Sand data in September to plan the next operational phase.

Bottom line for PRD shareholders

This is a sensible, de-risked way to add near-term barrels and cash flow while preserving capital for higher-impact drilling. The absence of operating cost exposure and the carry on work programmes tilt the risk-reward in Predator’s favour, even if the starting production base is small.

If the HWO programme does its job and Snowcap-3 stays on schedule, Predator will have both a growing Trinidad cash stream and a clearer route to unlocking Cory Moruga. That combination is exactly what you want to see from a junior with a larger prize in sight.

Company site: www.predatoroilandgas.com