Deutsche Rohstoff AG: Strong Operating Performance and CAPEX Reductions

Deutsche Rohstoff AG reports a robust operating performance and significant CAPEX reductions. The 2024 drilling program in the Powder River Basin achieved notable cost savings. Drilling costs for Niobrara wells decreased by 10%, costing around USD 10 million. Teapot formation wells now cost under USD 7 million, a 35% reduction compared to 2023. Total production reached approximately 14,700 BOEPD in Q3.

The investment budget has been adjusted to EUR 175 to 180 million. Despite this increase, expected revenues remain stable at EUR 210 to 230 million, with EBITDA projected between EUR 160 to 180 million. The successful expansion includes an increase in acreage by about 5,000 acres since late 2023.

With three Teapot wells recently starting production, Deutsche Rohstoff AG anticipates the completion of the drilling program by year-end. This expansion, along with strategic cost management, underlines the company's commitment to improve capital efficiency.