Okay. Patrick O'Rourke from ATB Capital Markets again here. Pleased to introduce another one of the companies we have a buy rating on here, Spartan Delta. Very exciting things happening at the company, particularly in the Duvernay, although the Deep Basin asset is not to be forgotten. Company has a CAD 2.7 billion market cap out of CAD 3 billion EV, a little under a turn debt to cash flow today, and we see that improving. Q2 production was just under 53,000 BOE a day, and ATB is estimating 2027 production over 62,000 BOE. Quite the growth story that they've been through and still have going on. For that CAD 2.7 billion market cap that we talked about, here's the number that's a little bit eye-popping. I actually had to double-check this. 555,000 acres of Duvernay acreage. Hand it over to you, Martin.
Thanks, Patrick. I'm Martin Malek. I'm the Chief Operating Officer at Spartan Delta Corp. Appreciate everybody being here in attendance today. A bit bigger crowd than last year, so appreciate that. Thanks, Patrick, for the intro. Spartan Delta Corp. is a smid-cap company located in Canada. We have a sole mandate to grow. We don't pay a dividend. We don't do share buybacks. Our return to shareholders is primarily solely through growth of production, cash flow, and inventory. Our strategy, very simple, and it consists of three pillars that you see on the screen. The first one I'll talk about at length is the Duvernay play. As Patrick mentioned, over the last two and a half years here, we've amassed over 550,000 net acres in this play that I'll go through in detail, so we're very proud of that.
I think depending on the day and the disclosure, we're either the number one or number two Duvernay land holder in Canada, which we're very proud of, especially given the size of our little company and our market cap. Not to be forgotten, as per the introduction, we have a legacy asset that really kickstarted this iteration of Spartan, and it's a Deep Basin asset, liquids-rich gas. It's really been the foundation of this iteration of Spartan since we started in December of 2019. Lastly, if anybody's followed our Spartan franchise, we are very transactional. At any given time, we're buyers or sellers or traders. We're a very commercial team. A snapshot of the company is what you see on the screen. Patrick mentioned it, 54,000 BOE a day. We're just shy of 53 exiting Q2 with a capital budget of about CAD 550 million.
That capital budget's really designed there to leave us with at or below one times debt to cash, which is our internal threshold there for leverage. You could see on the map two different colors. All of our assets are located in Alberta. The yellow assets is that legacy asset that I mentioned, really the foundation of the company. Overlaying top of that is what you see on the screen as the green acreage. That is the extent of our Duvernay. Not all of the acreage is shown on the screen. We continue to accumulate, but this is what's disclosed here, and you can see that those two assets are located almost identically in the same jurisdiction. For us, the Duvernay requires some infrastructure.
We've been able to limit that amount by picking this jurisdiction where we had some incumbent infrastructure, existing infrastructure in the play already. For us as well, operationally very flexible. We have operators that work in between both assets. From a geographical workability perspective, for those that have been to Canada, familiar with Canada, this asset, it's right in between our two largest cities in the province of Alberta. What that means practically is we have all-year-round access. There's paved roads, infrastructure's there, and for access and legacy infrastructure for gathering and processing our hydrocarbons. So fantastic zip code to operate in and forms the snapshot of our company. A little bit of background on the slide here is we're not new at this. This is the fourth iteration of the Spartan franchise.
There's been franchises with the Spartan name before this one, each that had grown in attractive acreage and inventory and production and ultimately monetized. This being the fourth one followed suit. You could see there's a chart on the bottom left there. Started in December of 2019 with the acquisition of that liquids-rich gas asset. Quickly, the company pivoted into acquiring a resource play called the Montney . You can see the production grew over time, and ultimately, we decided to monetize that asset. We refocused into our Deep Basin foundational asset, and that's where we grew the Duvernay from.
I'm just going to spend a bit of time here on this slide here. Since 2019, at the end of 2019, the company has raised CAD 635 million of equity. To this date, what's happened is we've returned back CAD 1.8 billion to shareholders in the form of dividends. We've spun out a sister company in the Montney called Logan Energy, which I believe today has a market cap in and around CAD 700 million. We maintain this company that's now grown again to be CAD 2.7 billion in market cap value. So from CAD 635 million, a tremendous amount of value being created by this team over the last six, seven years. Just to reiterate, this speaks to the fact that our team has been able to do this over and over again.
Part of our strength is identifying these opportunities, accumulating these positions, and if the time is right, we're not afraid to transact. Just some highlights here for the last 12 months or so. Like I mentioned, we are solely focused on growth, no other return to shareholder than through growth. So, you can see it visibly here from Q2 of last year to the end of Q2 this year. We've grown our production about 37%. However, I will mention we have this legacy liquids-rich gas asset, and we are transforming our portfolio to 70%-80% liquids Duvernay growth. So that growth of 37% Q2 to Q2 is accompanied by closer to 160% growth in the oil and condensate. So it's not just the absolute growth that's important for us. We're obviously positioning ourselves for higher value BOEs.
The composition of that growth is weighted towards BOEs, and hence netback is not just growing at a good clip every year. You are getting the absolute production growth, but you are getting netback growth on top of that, which is very exciting for us. In fact, from Q2 2025 to Q2 2026, it is modest, but we were producing 4,500 barrels of oil and condensate. We finished Q2 over 10,000 barrels, and we are just at the precipice there of some pretty exciting exponential growth. This complements my statements, just a visual representation. You could see the company was very gas-weighted there back in Q2 2024 with a little sliver of green on the chart on the top left. You could see that that sliver is growing.
When you expand that chart on the top right, you could see that we are making quite the headway in terms of growing those liquids. Why that matters to us, pretty obvious. Our gas market in AECO is pretty depressed, so we are motivated to bring on those high-value barrels, and you could see our production to revenue split reflects that motivation. 2026, guiding towards 54,000 BOE a day, and you could see the highlights in the table on the right. Almost 30% growth in production year-over-year, but to emphasize, it is really the doubling of oil and condensate production year-over-year that makes Spartan a fairly compelling growth co. Not many growth cos left in Canada from the public perspective. We are one of them, and I will reemphasize we are growing in absolute BOEs, but a big rate of change in the oil and condensate growth.
This is what we are really proud of here. We have been able to grow to being number one or two in terms of land holdings in the Duvernay in the country, and you could see the evolution here that has happened. We started at the end of 2023 through a few small acquisitions and Crown land sales. We have grown almost doubling every year. You could see at the end of 2025, we were 450,000 net acres in the Duvernay in a contiguous land block. Happy to say at the end of second quarter here, we are over 550,000. So we have added 100,000 net acres just in the first half of this year alone. Much of it contiguous to what you see on the screen at the moment. Very proud of that accomplishment.
We exited last year in the Duvernay going from zero in 2023 to over 14,000 BOE a day in December of 2025. I will say we have doubled our on-stream activity in 2026 compared to 2025. So we are just at the front, I like to say the second inning of our Duvernay development, having over 500,000 net acres to develop, and just being at the start of that program. We took a very methodical approach to delineating our acreage, which I will go through on a follow-up slide. This chart on the bottom right or this little S-curve is maybe even a little outdated. Outside of Gold Creek, most of the acreage that you see on the screen, we have high confidence in, we have delineated, and it is now in development mode. This map on the right goes to that statement that I mentioned.
Lots of call-outs. The purpose here is to show that we have drilled across our acreage, north to south, east to west, delineated what we believe to be our core land holdings here in the Duvernay, and we are not shy to share those results to demonstrate the consistency of the play. We have drilled across all of our acreage, and you can see we feel confident. No matter where we are putting our wells, we are getting in excess of 1,000 BOE a day. Most of that being light oil and/or condensate with consistency. Very proud of that. The punchline is that internally, for the size of our company, two and a half years ago, we were sub 40,000 BOE a day. Just on this asset alone, we have ambitions to grow north of 50,000 BOE a day by the end of 2030.
Pretty lofty goals there, but it is backed by what you see on the map on the right. Very delineated, very consistent results. High conviction that we are able to perform and deliver those results. Again, incredible rate of change. These are oily barrels starting from a position of 35%-40% liquids as of the first half of this year. Lots of rate of change in terms of absolute growth, inventory growth, reserves growth, and netback growth. Lots of inventory. We are obviously very excited in the Duvernay, what we have been able to build. In addition to growing the inventory itself, the Duvernay, which has been around for over a decade in Canada, has seen multiple phases of development. What I wanted to demonstrate here is that technology has really made now the time to develop the Duvernay.
The chart on the top left, you could see the first generation pre-2018 when industry was buying land, delineating, trying to prove up the resource. You could barely see it. Average rates in our part of the world were over 100 barrels a day. This chart is, by the way, it is oil and condensate cum chart here. No BOEs, no gas, just oil and condensate. You could see the resource was there, but challenging to get out. From 2018, 2019, 2020 to 2023, you could see the evolution in technology, the step change of developing this, drilling longer wells, applying newer frack technology. That is what gave us the comfort that there was something there to develop. We noticed an arbitrage technically that we could incorporate into our plans here and create better wells.
You could see our first campaign here in 2024, the yellow line, markedly improved step change over the previous years. Last year, 2025, an incremental step change. I do not think that trend is slowing down for us. We continue to tweak our recipe for drilling and completion. It is not just us. Other folks in the Duvernay and other shale plays, we are all learning from each other. By amassing this 500,000 acre position allows us to take advantage of that as technology improves. Very proud of identifying that, accumulating the position, and being able to deliver these kind of results, improving the results year-over-year. We improved on those results. Meanwhile, we are dropping costs. On the map previous to this, you could see we delineated across most of that acreage. Not very efficient from a development perspective.
These shale plays require what I call a Ford assembly plant style of manufacturing to really drive costs down. What we did in 2024 and 2025 was largely still delineate and prove up that the resource was there and it was commercial. We are now in a position that we are employing those assembly plant-like procedures, drilling multiple wells on a pad, investing in water infrastructure to be able to drive costs down even further. I think the confluence of getting the acreage, proving up that the resource is there, improving on the results, and driving costs down is a trend that you will continue to see out of Spartan going forward. I am not going to forget the second pillar of our strategy, which is the Deep Basin. Hopefully the Duvernay is exciting. We are excited about it.
We get asked, the Deep Basin, how does that fit into your portfolio? Is it just a free cash flow machine to fund the Duvernay? Absolutely. It accomplishes that task with spades. But very quietly, what we have done over the last 18 months or so is nearly double our acreage in this conventional play type, and we did it for almost zero cost basis. The majority of the acreage here came for free from acquiring Duvernay rights as we were drilling on our campaign. If you recall on my first map sheet, our two assets are intertwined geographically, so we are able to benefit from drilling one of the deeper zones here. There is a cartoon on the right-hand of the screen showing the vertical stack, the opportunity that exists. The Duvernay is at the bottom.
By us buying this Duvernay land, we essentially picked up everything that we could uphold for free, for no cost basis, zero cost basis, and we get the first look as we drill through it. From a shareholder perspective, it is not just a free cash flow machine to fund the Duvernay. We have actually added new reserves, and we started drilling on these lands immediately. These are all new wells, new reserves. Again, doubling the land, new reserves, and the targets that we are drilling are, to our surprise here, very oily, very economic. They also benefit from a lot of the Duvernay infrastructure that we are building out. So fantastic story to pick up all these serendipitous zones that we liked. We got it for next to no cost. We are developing them right now. They are adding to our reserve book, and they are very economic.
So a lot of value building for the investor there while they are looking at the Duvernay growth. This is not an asset that we are sitting on and just harvesting for cash flow. We are building value as we move the Duvernay agenda forward. So how are we getting to those growth metrics? You could see here, I am just going to spend a little time on the Deep Basin. I mentioned we doubled that acreage. There is a table on the bottom left there that shows some of our results out of that legacy conventional asset and how they have performed. You could see the liquids compositions are very high, and that is what has attracted us to be able to drill almost exclusively on those new lands, is that we are getting very economic products that are piggybacking on the infrastructure in the Duvernay. Speaking about infrastructure.
Those big, lofty growth plans do need some infrastructure to service that development. Reiterating the synergies between those two assets that we have. We have legacy assets that have incumbent infrastructure in it. We have a legacy gas plant that is state-of-the-art, built a decade ago, 250 million a day of deep-cut processing capacity, lots of gathering lines that you see on the screen. We were fortunate enough being in the jurisdiction that we are, there was ample legacy third-party capacity and infrastructure that allowed us to delineate our land without spending any money, any meaningful dollars on infrastructure. We did that. And we are being very selective on how we develop going forward. Here in Q2, we closed another transaction where we purchased a gas plant on the southeast end of our field there.
It is a 52 million a day gas plant, and over 30 km of gathering lines and four compressors that came, all with a price tag of CAD 12.7 million. For us to be in this jurisdiction, the cost of infrastructure, being able to pick off a lot of legacy hardware that is at surface for a fraction of what a new build would cost. Another benefit to being in this part of the world is we are not dealing with hundreds and hundreds of millions of infrastructure costs. We will cherry-pick what makes sense in addition to building out our own infrastructure. Lastly, we have a third pillar that refers to our history to be transaction based. On the left is a competitor map of the Duvernay as a whole. I am going to make one statement here.
If you were to measure out the tip of the Duvernay, as Spartan has it on the top in the gold color there, the top right, all the way down to where the purple is. The scale of that is very similar to the Eagle Ford in the U.S., just to put that in perspective. A lot of similarities between the two plays, but there is an immense amount of resource that exists there in the Duvernay on that map sheet alone. Very proud of the land position we have been able to accumulate over time, and we will see how much more damage we could do. We continue to add acreage.
Like I mentioned, we have added over 100,000 net acres in the first half of the year, and we do that by having the first-mover advantage that feedback on our own well results on a thesis on what the subsurface looks like. If those are successful, we continue to post, add more, do creative transactions. Fantastic little position there. And then I will just touch on the Deep Basin. Great legacy asset. I have mentioned how we have added value quietly over the last 18 months. While the Deep Basin is a vast resource in Canada here, and where we are positioned is a nice, fantastic area of the province, also ripe for consolidation and M&A. With that, I will close out and we will do a Q&A session in the breakout room. Thank you very much.