Obsidian Energy Ltd. (TSX:OBE) has entered into a purchase and sale agreement to acquire Peavine and Gift Lake Clearwater production and sections of land for CAD 76 million on May 28, 2024. Total consideration paid for the Acquisition is expected to be approximately CAD 76 million (net of closing adjustments) composed of approximately CAD 46 million for base production and CAD 30 million for undeveloped land value. The Acquisition will be funded through debt financing and is expected to close no later than July 14, 2024.

Obsidian Energy Ltd. (TSX:OBE) completed the acquisition of Peace River Peavine and Gift Lake Clearwater production and sections of land for CAD 80.5 million on May 28, 2024. As per terms, the cash consideration for the Acquisition was funded from our syndicated bank facility and a $50 million term loan (the " Term Loan "), which matures in June 2025. Royal Bank of Canada, Bank of Montreal and Canadian Western Bank provided the Term Loan financing related to the Acquisition. RBC Capital Markets Inc. acted as financial advisor and Burnet, Duckworth & Palmer LLP acted as a legal advisor to Obsidian Energy Ltd.