All right. Hello, everyone. Good morning, and thank you all for joining us during the Lytham Partners Spring 2026 Investor Conference. My name is Robert Blum, managing partner here at Lytham Partners, and up next here, we welcome Wolf Regener from Kolibri Global Energy, who will be walking through the company slide presentation. As a reminder, Kolibri trades under the ticker symbol KGEI on the Nasdaq. Wolf, thanks so much for your participation here today. The floor is all yours.
Great. Thanks for having us. Appreciate it. Thanks, everyone, for listening here today. Forward-looking information, you can find this on our website. I won't spend a lot of time on disclaimers and non-GAAP measures and all that. It's on our corporate presentation. Like I said, you can find it on the website. Kolibri Global Energy, for those of you that don't know anything about us, we operate a Tishomingo Shale oil field in Oklahoma. A large chunk of our reserves, of our proved reserves, which are about 40 million barrels of oil equivalent, about 71% were in the Proved Undeveloped category. Only 29% was in the Proved Developed Producing category. That basically means we have a lot of running room according to Netherland, Sewell & Associates, Inc., which is our third-party engineering firm that has a great reputation, that does our reserve reports at the end of every year.
Overall, the company, we run it in a financially stable fashion. We keep a low debt to EBITDA. We try to keep that around one and or less. We've had really good cash flow growth over the last few years, and we're looking to continue that. A very high netback production. Fully funded for our 2026 drilling program. We've put out a preliminary program of just drilling three wells, but we'll probably add to that later on this year. We have, Oops, I need to fix that, a $75 million line of credit. We recently got a $10 million credit bump, so that's actually $75 million now. Like I said, we have great reserves here. 40 million barrels proved and 57 million barrels proved probable. Where we're trading here, we trade on the Nasdaq, KGEI, and, also on the TSX up in Canada as KEI.
Share price is a little higher than that. Roughly call it a $220 million market cap here on the U.S. side of things in U.S. dollars. I'll generally talk in U.S. dollars. As I mentioned, we keep our debt to EBITDA down low around one. Really why we're a bargain, or we think we are, is our proved reserves at the end of last year for Netherland, Sewell, again, did our reserve engineering report, was $440 million, just on the proved side of things. Almost $600 million on the proved probable side of things. They used price decks, so you can see down here at the bottom of about $58 in 2026, $63 in 2027. Obviously with everything where the oil price, even though it's been up and down, it's quite a bit higher than those numbers now.
That value would be a lot higher if they ran that with these current numbers. A little background here. We originally drilled for what's called the Woodford Shale out here, which is about 350 feet deeper than what we're existing, producing from now. The Woodford was only about 15% oil. We had drilled and participated in about 40 wells out here. We had about 12,500 acres. We sold that, the Woodford rights to Exxon for $147 million back in 2013. We kept the rights to this little shallower interval called the Caney, as well as the Upper Sycamore. We've grown that acreage position to about 17,000 acres. That's where our reserves are now, that 40 million bbl of proved that I had mentioned, 57 million bbl of proved probable. The nice part is here, it's much oilier.
This first quarter that our financials that came out recently, 74% of our production was now oil. We've really transformed from a natural gas producer into a liquids-rich oil producer. Only about 13% in the first quarter was natural gas. You can see where we are here, the Tishomingo Field, that's all the purple around us is Exxon. When they acquired everyone around us, we're the only ones that were able to hold on to the rights to the Caney. They didn't want to pay us what we felt they were worth. We figured out how to make economic wells out here, and it's worked out really well. That's where all those reserves and all that value is coming from now.
2026, we're coming in with a really strong exit rate out of 2025 because we brought some wells on at the end of the year last year. We're paying down debt. We're buying back shares. As I mentioned earlier, we're planning to drill more Caney wells. We have announced a base forecast of three wells. We're also permitting and building other locations so we can increase our activity going forward. Our forecast for the year is, our base case, I should say, forecast was a 10%-20% increase annual production of 4,400-4,800, over last year's number, that 10%-20% revenue growth, 30%-39%, revenues of, call it, $75 million midpoint. Adjusted EBITDA of $55 million-$60 million. This is all based on a $74 oil price. Tried to be conservative in that.
Didn't know where the price was going to go, even though it's been as high as 100 and something. You never know how the year is going to unfold, so we're trying to be conservative on that side of things. For every $5 increase for the year on average prices, by the way, that increases our EBITDA by about $2.8 million. You can see higher oil prices really make an impact to what's going on with us. This is a chart showing our growth in adjusted EBITDA. These little boxes show what our blended price per barrel of oil equivalent has been here over the last few years. You can see we've had adjusted EBITDA increasing nicely even while that oil price had been coming down.
Obviously the oil price has been higher for this early part of this year, that's why our forecast is up, but that's only using the $74 oil price. We've been buying back shares, as I mentioned as well. Here's a production chart showing, on a quarterly basis, everything increasing. Includes the first quarter of this year. Net operating income, same thing. You can see the big jump here even though oil, we only got the benefit of one month of the first quarter of the oil prices being higher. Excuse me. It still had a big impact on our net operating income just because of the increase of prices. Infrastructure all in place out here. Oil is priced at WTI less $1.85 roughly.
It's been very consistent on that, so there aren't big differential changes over the years as there is in some basins across the U.S. Netherland, Sewell again gave us 104 additionally booked Caney locations. 48 of those were proved, 24 probables, 17 possibles. Those are mainly a mile and a half and two-mile laterals. The reason I mention that is originally we were just drilling one-mile laterals. We're drilling down to between eight and 11,000 ft, then going horizontal. We were originally drilling just one-mile laterals. Now we're drilling longer laterals, which are more efficient. We have 35 wells on production. Acreage is 99% held by production. We've had the luxury of being able to drill where we want to, when we want to, rather than being concerned about losing acreage. We also have some upside potential here from other formations.
There's some other intervals that we have the rights to, but we haven't either tested or hasn't been credited on the reserve report. None of these on this screen have credit on the reserve report for us. There's upside potential. Sycamore, some operators to north have made some good Sycamore wells. We're refining some potential Sycamore test locations, for planning a first test well sometime in the future. We have the T-zone out here, which is an interval right at the bottom of our Caney interval that's proved productive. We just don't have that in our development plan yet. It's not in the reserve report. That's a very low risk additional potential that can add to the reserves for us. On the east side, we did test the east side well last year, with the Forguson.
We were the operator, we had a 46% working interest. Exxon participated alongside of us in that well. We made a productive well. It wasn't economic at those numbers where we were last year on oil prices. If we can make more efficient wells out there and oil and gas prices stay higher, then, we can potentially get some benefit out here as well on that side of things. That's not anything we're going to test here in the future, or in the near future, I should say. Just on efficiencies, I'll go through this kind of quickly here. We're going to keep this presentation short today. As I mentioned, we were drilling one -mile laterals. The last four one-mile laterals, we drilled an average cost of about $5.5 million.
You can see back in 2013, it was taking us about 30 days to drill the wells. In 2024, it was down to 12 days. Now we're drilling these longer laterals that are more efficient. In the time we were drilling them, the Lovina wells that we drilled last year were drilled an average of 10 and a half days, so quicker than our one-mile laterals. The Clifton Mack wells that we're drilling currently here, a mile and a half laterals, have a budgeted cost of about $7.2 million. Efficiency continued here. Operating expenses, we keep those low. You can see that these are our industry peers taken from last year's annual reports, both ours and others. You can see we're at the lower end of how much it costs us to get a barrel of oil out of the ground.
The ones around us are mainly natural gas producers. Natural gas kind of flows out of the ground naturally and, while oil producers usually use some kind of lift mechanism. That leads us to how much we make per barrel of oil equivalent, on the calculated netbacks here, again, with those peer companies that are listed at the bottom here. You can see we've last year had a much higher netback than almost all of our peers and right in the top end of where some other good operators are as well. G&A has been coming down year after year. Net revenue, similar to what the earlier graphs were that I showed you. The red is the forecast or the price per barrel of oil equivalent.
You can see with our $74 oil, our blended barrel of oil equivalent price is just under $60 that we are assuming for the year. That still gives us a nice bump on yearly net revenue, and obviously, if the price of oil stays higher for the rest of the year, then that will increase as well, assuming everything performs as expected. A little background myself. I have got over 36 years of oil and gas experience, doing, running oil and gas companies, doing land work, acquisitions, M&A, financing, kind of the works. Gary W. Johnson, our CFO, has over 34 years of accounting experience, over 22 years in the oil and gas side of things, including a stint at Occidental Petroleum, where he was Director of Technical Accounting. Dan Simpson, Director of Engineering, over 30 years of experience all around the world in petroleum engineering.
Allan Hemmy, over 16 years of experience in oil and gas on the exploration side of things for geology. Our board members here, David Neuhauser owns a big chunk of the company through Livermore Partners, he's got lots of capital markets experience. Lee Canaan, a Director, Chair of the Audit Committee. Excuse me. He's come on board here recently, has lots of experience on the finance side of things as well as an oil and gas background. Glen Brown, ex-Continental Resources, lots of exploration experience and acquisitions, A&D, just overall operations experience. Murray Grigg, also a lot of experience from the field, local experience all over shale side of things. They're the recent additions to our board. That kind of sums it up. Pretty simple story from my point of view. Hopefully, you guys think so as well.
KGEI on the Nasdaq, KEI on the TSX. Great reserves. We're an efficient operator, try to keep our debt down low. A lot of drilling inventory that we have. Cash flow has been increasing nicely with oil and gas prices higher than what we have forecasted, that'll just add to our revenue. Have some catalysts coming up for drilling these wells that we're drilling and bringing them on production in the third quarter. We're going to keep doing that, and that gives us lots of optionality to return more capital to shareholders, drill additional wells, just gives us flexibility. That's pretty much it. I thank everyone for joining us here today.
Fantastic. Well, thank you very much for your participation, for the presentation. Thank you to everybody here, of course, for watching. If there are any questions or you'd like to schedule a meeting with management, please send me an email. That's Blum, B-L-U-M, @lythampartners.com. Again, to learn more about Lytham, please be sure to visit our website and follow us on LinkedIn so you can stay connected on future events here. We hope you all enjoy the rest of the conference. Have a great day. Wolf, thanks so much for your time.
Thank you. Appreciate it.