Debt-free heavy-oil pure-play focused on the Clearwater fairway in Alberta's Greater Marten Hills (Marten Hills, West Marten Hills and Greater Nipisi), using low-cost multilateral wells and waterflood/polymer-flood secondary recovery to deliver a low-decline, ~93% oil-weighted production and reserves base, plus a small legacy natural-gas asset at McCully, New Brunswick.
FY2025: average production 22,776 boe/d (record Q4 24,259 boe/d), total sales net of blending ~C$594M, adjusted funds flow C$326M, net income C$153M, capex C$228M and free cash flow ~C$69M. Ended the year debt-free with a ~C$24M adjusted working-capital surplus, C$748M equity, a C$0.44/sh dividend (raised to C$0.47/sh annualized in Q2 2026, ~3.5% yield) and modest buybacks. Year-end proved (1P) reserves 68.3 MMboe (before-tax PV10 ~C$1.75B); 2P 104.5 MMboe (PV10 ~C$2.69B).
Its EV/EBITDA of 8.8x is above the 5.9x median across the 142-company universe, the free-cash-flow yield of 2.2% is lower than the 6.5% median, and at $33.68/boe of proved reserves it is richer than the $13.51/boe median.
On a balanced screen across the universe, Headwater Exploration Inc. scores 63/100, strongest on growth (92/100). Sub-scores: value 27, quality 78, growth 92, risk 16 (higher = riskier).
Headwater Exploration Inc. holds approximately 0.07 billion boe of proved (1P) reserves with FY2025 production of about 23 thousand boe/d (92% liquids), a reserve life of roughly 8.2 years. Break-even: ~$40 (WTI FCF breakeven) — Low-cost Clearwater multilateral wells with high operating netbacks and modest sustaining capital keep the corporate free-cash-flow breakeven around US$40 WTI, funding both the dividend and organic growth with no debt-service burden.
For Headwater Exploration Inc., no SEC standardized measure is disclosed (non-US filer or listed NOC), so a public-source proved-NAV floor is not computable from US filings. See the interactive screener's NAV tab for peers where an SEC figure exists.
| Country / region | Prod. share | Country risk | Key jurisdiction risk |
|---|---|---|---|
| Canada | 100% | 8 | Stable; pipeline egress constraints, oil-sands emissions policy. |
Enerquill Advisory provides asset valuation, petroleum fiscal modelling and risk analysis for oil, gas and LNG transactions — including bespoke, deal-specific NAV and acquirer–target screens that go well beyond this public data.
Work with us →About Enerquill| Asset | Location | Type | Notes |
|---|---|---|---|
| Marten Hills Clearwater | Canada | Heavy oil | Core Clearwater play; low-cost multilateral wells, primary + waterflood recovery |
| West Marten Hills | Canada | Heavy oil | Clearwater development area extending the core fairway |
| Greater Nipisi | Canada | Heavy oil | Emerging Clearwater expansion/exploitation area |
| Polymer & waterflood (EOR) | Canada | Heavy oil (secondary recovery) | Waterflood and polymer-flood schemes to lower decline and raise recovery |
| Clearwater exploration lands | Canada | Heavy oil | Undeveloped Clearwater fairway acreage for future development |
| McCully Field | Canada | Natural gas | Legacy conventional gas, Sussex, New Brunswick (former Corridor asset) |
| Infrastructure & facilities | Canada | Infrastructure | Owned oil batteries, gathering and water handling supporting Greater Marten Hills |
| Metric | 2021 | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|
| Production (mboe/d) | 8 | 15 | 18 | 20 | 23 |
| Proved reserves (bnboe) | 0.03 | 0.04 | 0.06 | 0.06 | 0.07 |
| Revenue ($bn) | 0.1 | 0.3 | 0.3 | 0.4 | 0.4 |
| EBITDA ($bn) | 0.1 | 0.2 | 0.2 | 0.3 | 0.3 |
| Net income ($bn) | 0.0 | 0.1 | 0.1 | 0.1 | 0.1 |
| Free cash flow ($bn) | 0.0 | 0.0 | 0.1 | 0.1 | 0.1 |
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✓ FY2025 figures verified against primary sources: